Parentless

Written by: David Strickland
2/17/2010 4:06 PM 

Looks like we are headed for another up hill battle. I suppose I'm not surprised. We need to purchase land so we can create a self-sufficient environment for the orphanage and widows home. We estimate that with about 10 acres of land we should be able to grow enough food and supplies to eventually support the home almost independent of any funding from us. We are only in our 30's but eventually we will have to stop working and unless we do something now in 20 years when we retire the home will die.

We have been working with the banks to get a loan to buy the land. I didn't really anticipate the problems we ran into. The first hurdle was the fact that I'm not an Indian citizen. I am thus not able to buy any agricultural land. Also since the bank has no legal leverage on me I can't even Co-Sign a loan nor is my income or experience included in the evaluation. My wife is a citizen of India and as such she can purchase ag land. We've estimated that the 10 acres of land we want would cost between $60,000 and $120,000. We have about $10,000 saved and were estimating that if we had 20% to 30% of the purchase price we should be able to get a loan for the rest. Based on our household income. Thus I am now back stateside trying to get a job hoping to save up the remaining amount we needed for the down payment.

Things aren't always clear in India, you talk to one person at the bank and get one answer talk to another and you find out something completely new. Mercy yesterday got a chance to talk to manager at one of the branches of our bank. Now there isn't a pre-approval process at least not one we have found. You have to establish what land you want to purchase and the purchase price and then go to the bank and apply for the loan. We thus didn't know for certain any of our information we have been basing our plans on and wouldn't until we had selected the land we wanted. However the general oppinion of everyone we talked with at the bank is that we shouldn't have any problem based on our income getting a loan once we had at least 10% to put down. What we didn't realize is that this is only true for residential land. Talking to the manager at the bank Mercy has found that based on the fact that she is not from an farming family they won't give her a loan no matter how much down she has. In short she's from the wrong caste so we can't get a loan. In the state of Karnataka you can't even legally buy land if your not from the farming caste. Looks like in the rest of India you can buy it but you have to pay cash as the bank won't give you a loan for it.

So now it looks like we are going to need 100% of the purchase price, we will likely need to buy less land and will end up stateside far longer then we first thought.

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