Buying land Eastern Washington help with guidance : RealEstate

I posted this already in financial planning and had no response, I could use your help.

I want to purchase 10 acres of land in Eastern Washington to eventually build a house. The parcel I want to purchase is 120k. The seller is offering.

” Owner financing is available with 20% down, 7% interest, 20 year amortization and an 8-year balloon payment (due in full). “

My questions are

  1. Is it best to just pay the 20% down, and wait for the balloon payment at the end to pay it off?

  2. If I put more money each month to help pay down the loan, is it only going to the interest and not the principle in a balloon payment?

  3. Do I have to take the balloon payment, or am I allowed to use my own financing to find a better rate?

  4. Is there better options to find funding to pay for the land?

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