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Updated over 1 year ago on . Most recent reply
![Jennine Booth's profile image](https://bpimg.biggerpockets.com/no_overlay/uploads/social_user/user_avatar/2775940/1694686897-avatar-jennineb1.jpg?twic=v1/output=image/cover=128x128&v=2)
Purchasing land with all the utilities available
Hello, I am trying to find ways that I can purchase land for an RV campground and convince a lender that this is an excellent idea. there are so many ways to monetize it.
for instance:
Rv storage, personal belongings storage units, boondocking, full/partial hookups, laundry, showers, bathrooms, RV wash stations, monthly clubhouse fees with gym equipment swimming and party pavilion access, camp store. etc
what are some platforms/avenues i can take to raise say idk 375k and maybe a little extra for start up cost? how can I convince a lender that I can do this? Are there cool tricks I can use like a dscr loan but for land and this situation?
FYI: it is already zoned correctly, it is off two major interstates. All utilities and internet present, beautiful surroundings. I just literally need the funds to purchase this thing and I have several free apps and websites to get it occupied along with other social engineering tactics.
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I build a lot of parks and there are a few things to consider. The SBA will not loan on real estate speculation so the park must be for overnight camping only or at least a large percentage of the income must come from nightly rentals. I own over 800 pads and I can tell you our average stay is close to 5 months so that makes SBA loans very difficult. Your local lenders or partners are your best bet on the finance side but most lenders will want more than 20% down and it is hard to find lenders who will even loan on them. Independence bank finances the KOAs but you have to have experience.
I am building one now in east TN and it was appraised for almost double what I paid for the land and I still had to pay 50% down and I have a lot of cash and experience so it is hard to get them financed. If you are not just dead set on that particular parcel of land I will tell you a trick. Look for a run down mobile home park with junk trailers in a county close to a major metro that has no zoning. If they have income you can use the income to get the loan approved and then convert it over to RV's. I have done this many times and you will save hundreds of thousands of dollars and a lot of time.