Unique Log Cabin Financing Options

Pennwood Cabins values our customers and is always on the look-out for ways to help you remove barriers to making your dream log cabin become a reality. Financing is an issue that pops up regularly. Construction loans can be harder to get and trickier to navigate than traditional mortgages. One of our 2024 goals is to find new ways to remove barriers to log cabin financing options. We've recently come across a couple of unique financing options may be new to you.

USDA Farm Service Agency (FSA) Loans

Many of our customers are building log cabins on property that has potential to be farmed. We're not talking about large commercial farms. If you have an interest in market gardening, hydroponics, aquaponics, microgreens or vertical gardening (just to mention a few), there are government loan options available that may fund your cozy cabin dreams.

According to the FSA, farm ownership loans funds may be used to purchase, expand or maintain a family farm. There are variety of loans available for U.S. citizens and qualifying noncitizens, each for different purposes and different qualifications. A list of loans can be found at Farm Loan Programs (usda.gov). Among those listed are:

• Beginning Farmer and Rancher Loans

• Emergency Farm Loans

• Farm Ownership Loans

• Microloans

• Minority and Women Farmers and Ranchers

• Native American Loans

• Youth Loans

Specialty Lenders

Specialty lenders are non-bank lenders that provide financing solutions to borrowers who are not well-served by traditional banks. These lenders typically focus on specific industries and may have more flexibility than traditional lenders. Pennwood Cabins has partnered with Hearth, a specialty lender working with contractors to provide their customers with financing.

Hearth is a great option for a tiny house purchase, or smaller cabins. It's also perfect for customers who only need a portion of their cabin financed. Credit score and income are the main determining factors for loan approval. They are easy to get and quickly dispensed. Better yet, they require to equity. You can check your eligibility without impacting your credit score.