Suppose you have 40ac of land that is 1D1 Ag and you want to build a house in the middle of it. Can you homestead the entire 40ac and keep your Ag exemption from a tax standpoint are are you better of surveying off 1/3 ac to build your house on and keeping the rest of the property separate?
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from my experience at least with Hays and Blanco county they will make you survey out 1 acre for your house and leave the rest on AG. I was also able to homestead the 1 acre. I have done this several times and they would never let me section out less than an acre. Your county tax office will give the best and most correct information.
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Good question. We will be going through this on my 20 acres soon. I have a few questions on this topic as well.
Is it true that you actually don’t have to survey out the 1 acre? Even when getting a mortgage on the house? What would happen if someone foreclosed on the house? How would the bank know what 1 acre they claim? This is assuming you own the land outright.
For people who role their land loan into the mortgage, if they were to foreclose, would the bank get the entire property? Even if the amount rolled into the house mortgage was way less than the value of the entire property?
Also, I assume you have to survey out the driveway so the bank has access to the house they are lending on?
Just curious how the lender protects themselves in a situation like this.Last edited by 44mAG; 07-19-2021, 04:27 PM.
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Originally posted by 44mAG View PostGood question. We will be going through this on my 20 acres soon. I have a few questions on this topic as well.
Is it true that you actually don’t have to survey out the 1 acre? Even when getting a mortgage on the house? What would happen if someone foreclosed on the house? How would the bank know what 1 acre they claim? This is assuming you own the land outright.
For people who role their land loan into the mortgage, if they were to foreclose, would the bank get the entire property? Even if the amount rolled into the house mortgage was way less than the value of the entire property?
Also, I assume you have to survey out the driveway so the bank has access to the house they are lending on?
Just curious how the lender protects themselves in a situation like this.
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Originally posted by Briar Friar View PostLender will require a survey
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Lender will require a survey. I refinanced on the last 18 months. I want to break off some part of the land with house free and clear. I found out any subdivision of your land has to be approved by the county commissions and the part you break out has to have access to the road. The title company stated it was a recent law.
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