Archive for July, 2009

Can I Buy Land that is Not Listed by a Broker?

Wednesday, July 29th, 2009

As my grandfather use to say, “Everything is for sale. Just depends on how much you are willing to pay”. If you are looking for farms, ranches, or acreages for sale there are many sources other than Real Estate brokers. You can look on Ebay, FSBO websites, and auction websites. You can even approach property owners directly.

Suppose you know of an area that you would like to by a farm, ranch, or acreage. You can go to the courthouse or tax assessor and determine who the owners are of property in the area that you are looking. It is also good to visit with the tax assessor. You will be surprised at the information you can harvest from the locals that will help you in finding the owner most likely to be open to selling and their motivations. This will help you in your negotiations as well.

Another good source is auction companies. There are many companies that specialize in auctions for land. Auctions are a good place to pick up deals but you have to be willing to do your homework. You also need to keep from becoming emotionally motivated and stick to your budget. You must realize that you only want to purchase the property for the specific amount that you set prior to the start of the auction or less. It is too easy to get caught up in the excitement of the bidding and lose track or to let your emotional desire to purchase the property take over and you end up paying more than you should. You need to be willing to walk away if you cannot get the property bought for your set price or less.

Keep in mind that if you are not able to find property that fits your wants and needs through brokers there are other sources but you have to be willing to do some work.

Is it Safe to Buy Land on Ebay?

Monday, July 27th, 2009

Buying land on Ebay is just as safe as buying land from any other source as long as you do your due diligence. Regardless of where you buy land, you always want to make sure that you use competent professionals (ie. brokers, attorneys, title companies, etc.) to help you with your due diligence. Never buy land site unseen. Even if you have seen photos of the property. Pictures are worth a thousand words but pictures also lie. It is too easy to present a property in the best light and leave out glaring faults using pictures.

It is always best to physically inspect the property. You can always put land for sale under contract with contingencies for inspection, financing, and otherĀ  diligence concerns such as environmental considerations, zoning, tax implications, etc. This is where having good professionals assisting you pays off. They are familiar with issues that might arise when buying land. Also, just because land is for sale and listed by a licensed broker dos not make it safe to assume that the property does not have issues that can cause you headaches or even legal issues in the long run.

When buying land, whether it s on Ebay, through a broker or through private treaty, always protect yourself by using competent professionals, doing your due diligence, and physically inspecting the property. If you follow these three simple tips you will save yourself a lot of headaches.

Best of luck and Happy Buying!

Why Selling Now is Not A Bad Thing

Monday, July 27th, 2009

While this does not apply to all sellers, many sellers can take advantage of today’s market. Sellers who have high levels of equity are in excellent position to capitalize on the current real estate market. How, you say?

First you have to retrain your sellers to think differently. During the land boom sellers might have gotten several offers and many times they would end up getting full asking price and sometimes more than asking price. As this became common place, sellers would turn down a lot of offers because they were seeing other sellers get full asking price offers and the property was not on the market very long. Now that we are in a down market sellers still haveĀ  not changed their way of thinking. They are still turning down those initial offers hoping for that higher offer because they do not want to miss out by selling too soon.

However most times a higher offer never comes and they end up lowering their price and many times accepting an offer that is even lower than previous offers. Sellers need to realize that they need to capitalize when they can in today’s market because buyers are more scarce. Also, even though they may be selling at a lower price than they would have a few years ago, they will also be able to buy a replacement property at a lower price than they would have paid a year few years ago. Smart sellers can sell their property and then capitalize by purchasing land, farms, and ranches at significant discounts especially if you find a seller who passed on the first few buyers and now are anxious to sell.

Buyers have much more bargaining strength in today’s market. However, many of your would be buyers need to be freed of their fear to act so they can capitalize on the buyers they are able to attract and become buyers themselves to take advantage of the opportunities that are available now.