Transfer land deed before or after applying

[Anonymous]

Hello! Looking to make our first home purchase this summer. Husband was gifted a few acres of land in another state. My question is should we transfer the land to his name before or after the mortgage process? Will it help or hinder an FHA or USDA Loan? Its tax value is about $20,000.

[Anonymous]

I assume you plan to build the new home on this land? If so, from what I was told, if I remember correctly, either way you'll need to deed the land over to the builder until construction of home is complete. I can't say for sure, but I think it would probably make things less complicated if the deed was already in your husbands name. Best of luck!!

[Anonymous]

Actually the land is in another state which we don't plan on moving to. I was just curious if owning the land would hurt or help us when applying for a mortgage.