How to Become a Property Owner

Qualifying to become a property owner is tougher when the property does not have a structure or building on it. As with a traditional home mortgage, your financial and credit status will need to be evaluated. In order to become a property owner you and your property must pass the qualifications screening and then you must qualify for a mortgage. After that you must ensure that your property is taken care of and that you are able to regularly meet your monthly mortgage commitment. Purchasing property is an investment that can take up a sizable chunk of your assets, and as such should be given careful consideration.

A real estate professional can help you search through options to find the property you are interested in purchasing.

Submit an offer and get it accepted by the property owner. Again, a real estate agent can help you come up with a realistic price for the property you are hoping to buy.

Hire a land inspector to inspect your property and to certify that the parcel is safe for building.

Contact local utility officials to confirm that permits for water lines, sewer or septic, as well as electricity can be obtained for your property.

Obtain preapproval from a mortgage company for a land mortgage. The mortgage company will require the information obtained in Steps 3 and 4. The company will also run a thorough credit check to ensure that you are a solid candidate worthy of a mortgage with them.

Go to closing and provide your down payment to the bank. They will write the check to the property owner and have you sign your mortgage papers. Congratulations! You are now a property owner and must begin tending to your property in addition to making regular mortgage payments.


  • Before purchasing property, become familiar with area zoning laws in your town to see how other properties have been developed. For instance, if you are purchasing property with the intentions of building a home on it down the road, be sure that your parcel is not surrounded by property zoned for industrial or commercial use.


  • Getting a land mortgage often requires you to put a higher percentage of money down than you would for a down payment on a home mortgage. You may also have to provide some form of collateral or purchase mortgage insurance to assure the company that you are not a liability risk.