Buying land is one of the most important investments a person can make, yet it can also be daunting and overwhelming for a first-timer. From knowing where to start your search to making sure the land you want is actually yours, the process from start to finish can feel like an uphill battle.
Now, buying land doesn’t have to be so difficult. With the right knowledge and a step-by-step plan of attack, you can save time, effort, and even money in the long run. To get you ahead of the game, we’re here to share some savvy tips and tricks on how to find land for sale and give you an edge as a pro land buyer!
Finding Land for Sale the Traditional Way
Finding land for sale the traditional way has long been a popular route for buyers. By scouting out properties on their own, potential buyers can take their time, carefully select the perfect property, and even negotiate lower prices with the seller without having to factor in commissions or associate fees. On the other hand, some buyers may find that this method requires too much legwork and it could be difficult for them to access accurate information about the marketplace, zoning regulations, and taxation of a particular area.
Though some buyers find success through self-scouting out the land for sale, others may benefit from engaging the services of a broker who specializes in land transactions––not all real estate brokers specialize in both residential and commercial land. Working with a qualified broker typically helps speed up the process of finding the right property and simplifies the negotiating process as well. Moreover, brokers will have access to up-to-date information on zoning laws, taxation, market trends, and more. For this reason, it may be advantageous to consider working with experts whose job is to navigate these issues.
Regardless of whether one chooses to search for property independently or opts to work with a broker, thorough research should always be done before committing to any purchase. It’s best to weigh both options carefully when deciding which route is best for your needs. But if you decide that you’d rather remain independent in your search for land for sale, then familiarizing yourself with local zoning laws as well as understanding how local tax rates will affect your budget would be wise steps towards making an informed decision.
Whichever course you take when searching for land for sale, understanding how local regulations and taxes apply will help you make an educated purchase while helping to ensure that your investment pays off in time. As you proceed with your search process, keep those key factors in mind while considering enlisting the help of an experienced broker to assist you along the way. Ultimately, taking heed of these tips will ensure that you are able to buy the right piece of land at the right price.
Now that we have explored finding land for sale the traditional way as well as considered effective strategies around researching local zoning laws and taxes, let us turn our attention to what might be one of your most powerful resources when hunting down ideal properties: working with brokers.
Working with Brokers
When it comes to finding land for sale, working with a broker is one way to go about it. Brokers can work with buyers and sellers to help facilitate the buying and selling of real estate. Many times, brokers know about properties that aren’t listed on the open market so working with them may give you access to properties you otherwise wouldn’t have known about. Additionally, they can be an invaluable resource if you’re new to the process of buying real estate as they can often provide guidance and advice throughout the transaction.
On the other hand, there are some drawbacks to using a broker. First of all, they come at a cost and may charge commission fees or require you to pay for their services upfront. Furthermore, in certain areas, brokers may not be as familiar with land compared to residential properties which can be problematic when trying to line up financing or navigate local regulations.
Therefore, it’s important to weigh all of your options before deciding if it’s worth enlisting the services of a broker. While it may not make sense financially in all cases, brokers are certainly a viable option depending on your particular situation and the area you’re looking at purchasing land in.
In either case, whether you decide to work with a broker or not, it’s now time for you to consider another valuable tool in your search for finding land for sale — online resources. With the ever-growing amount of digital platforms available today, searching for land has never been easier. Now let’s take a look at some popular online tools that can help you find the perfect piece of property that fits your needs.
- According to the National Association of Realtors, the median price of vacant land across the nation was $25,300 in 2018.
- A survey conducted by Trulia found that the median list price per acre of land in the U.S. is $5,800.
- A study by Land Business Consultants reported that the average price of land for sale can vary drastically from state to state, with Louisiana having an average cost of $2,553 per acre versus California which has an average cost of $14,610 per acre.
Using Online Real Estate Search Tools
Using online real estate search tools is a great way to save time and money when searching for land for sale. Online tools free up the need to spend extra funds on a broker, allowing potential land buyers to take more control of their individual search. Many people find such tools, like Zillow and Realtor.com, more intuitive and user-friendly than relying solely on brokers that can be limited in terms of time or access.
It’s true that some properties may not be listed online, so using a broker may benefit buyers in this regard. However, with the rapid advances seen in internet search technology every year, the available online information grows exponentially. For those with the right skill set, online resources often provide more accurate results with greater ease than relying on brokers alone. With a little extra effort searching online can potentially uncover discounts, deals, and other perks that make the extra effort worthwhile.
The landscape of real estate search tools provides something different for everyone depending on what fits their individual needs best. Whether it be land auction sites or third-party vendors offering low commission rates or even special discounts, an informed decision can lead to a favorable outcome for any land buyer. Whatever tool works best for them, buyers should always remember that gaining access to the right level of information is key in making sure they don’t miss out on an ideal sale.
Irrespective of how it’s done, getting educated about the market is essential in finding the perfect piece of land for sale at an attractive price point. Now that you’ve had an introduction to both working with brokers and using online search tools, it’s time to explore some of the features that go into making a successful purchase decision.
Features to Look for When Searching
Finding land for sale can be an exciting endeavor, especially after you’ve used online real estate search tools to start exploring all the possibilities. But in order to make sure you find the best land for your needs, there are certain features to look for as you narrow down your results.
For example, if you’re hoping to build a home on the property, consider whether it has access to public utilities such as electricity, water, and sewer systems. Additionally, take into account what zoning laws govern the area; some communities might not allow residential builds in certain areas that would be designated for commercial or industrial use. If the land will be used agriculturally, make sure there are adequate resources available to accommodate whatever species you plan on raising or growing. Accessibility and road frontage are also important factors, depending on how close nearby amenities such as hospitals and shopping centers need to be.
When investing in land, it’s also helpful to know the average cost per acre in the given area so that when it comes time for negotiations, you have an idea of what a fair price entails. In some cases, luxury amenities—such as waterfront views or built-in recreation facilities—may increase the price above market value. So take all these points into consideration when evaluating each potential parcel of land you’re considering.
Now that you’ve ascertained a piece of land that fits your criteria and budget, it’s time to begin thinking about negotiations and hammering out the details of purchase and ownership.
Negotiating the Purchase Price
After you’ve identified the land of your dreams that meets all of your criteria, you’ll then have the daunting task of negotiating the purchase price. Great negotiators will account for a range of market influences, allowing them to accurately assess what a fair price is and also have an edge in being able to close the deal at a lower cost. At the same time, some individuals prefer to trust what the seller initially puts on the table. This approach may be easier but is likely to result in paying more than necessary.
When negotiating, it is important to consider a wide range of variables such as location, access, size, and zoning laws. If any restrictions or permits are needed to build on the land, this should also be factored into any negotiation. You also need to think about factors outside of just the land itself, such as available infrastructure like roads and power lines and existing resources like nearby water sources, which can further impact total costs associated with ownership.
In terms of evaluating the current market for similar properties (also known as comparing comps), having an understanding of comparable listings will help guide you when defining an acceptable price range. This can be researched online but always remember to check out specific local trends since geography does matter! Building trusting relationships with relevant people in business such as real estate agents or brokers can be very beneficial for this purpose. They usually come with years of experience dealing with complex deals and loads of information about prices in any given area.
Finally, if a budget has been defined beforehand, it’s helpful to keep that number in mind whenever negotiating. Don’t get caught up too much by what others are doing or saying – focus on making sure that you get the best deal that works within your financial constraints while still maintaining value and respect for both parties involved. Now having considered all aspects related to purchasing land in-depth, let’s move on to exploring other alternatives for those interested in acquiring a plot of land.
Other Alternatives to Finding Land for Sale
After negotiating a possible purchase price, there are other alternatives to consider when looking for land for sale. One of the most common is to search online and in newspapers. Online resources such as Zillow and Redfin offer extensive listings of land parcels available across the country, allowing you to do a thorough comparison shopping. Newspapers also provide helpful information about particular land sales, often including property descriptions and contact details for sellers.
Another option is to speak with a real estate agent specializing in rural or agricultural properties. In many cases, a local realtor may already know about certain listings which haven’t been widely advertised yet, giving you access to unique opportunities. If you don’t have access to a knowledgeable agent, then you can use the internet to locate one who specializes in your location.
Additionally, it’s worth researching any potential land sales through county records. These can often provide important facts such as total acreage, zoning restrictions, tax obligations, and whether the property has any liens or easements associated with it. Having this valuable knowledge can help you make a more informed decision regarding whether or not it’s worth buying a particular piece of land.
Finally, another alternative is to attend auctions or public land sales in order to get access to deals that may be unavailable elsewhere. With that said, there are risks involved since some auctioned items may come with hidden costs which can add up quickly over time if they’re not taken into account beforehand. As such, be sure you understand all of the terms associated with any purchases before committing to them so that you don’t end up owing more than you expected.
Ultimately, when searching for land for sale there are several different approaches that can be taken depending on individual needs and preferences. Whether it’s through an agent or public sale; researching online or in newspapers; or investigating county records, carefully evaluating all of your options will help ensure the best possible outcome from your purchase.
Frequently Asked Questions Answered
Are there any potential pitfalls to look out for when looking to buy land?
Yes, there are several potential pitfalls to look out for when looking to buy land. Firstly, it is important to understand that land ownership is a long-term commitment and should not be undertaken lightly. Unforeseen issues such as zoning laws, environmental issues, title disputes, and payment terms can arise which could affect the way you can use the land and how much money you will be required to pay out.
In addition, land may also come with hidden costs such as back taxes or building permits. Environmental regulations may also impact usage and construction rights on your land, making the cost of development much more than originally anticipated. It is important to check local government records carefully before signing any contracts or agreements in order to ensure that all of these potentially expensive issues have been identified and addressed adequately.
Finally, it is always recommended that prospective buyers undertake due diligence research prior to making any commitment to purchase land. Property surveys by qualified professionals should be conducted as well as market analysis to ensure you are getting good value for your investment.
What are my options for financing the purchase of land?
When considering financing the purchase of land, there are several options available depending on your budget and preferences.
The most accessible option is to use a traditional mortgage or loan from a reputable lender like a bank or credit union. This will require you to have good credit, sufficient income, and an adequate down payment. Additionally, you may need to provide collateral such as an existing property or other assets in order to secure the loan.
If this type of loan isn’t available or feasible for you, then you might consider financing through crowdfunding sites or crowd-finance lending platforms like Lending Club. This can be a great option for those with less than ideal credit history or no collateral to offer. The process does involve more paperwork, but it can be much cheaper in interest and overall costs than a standard mortgage loan.
You may also consider taking out a home equity line of credit (HELOC), which allows you to borrow against the equity you already have in your existing home. However, this option can be risky and should only be used if you’re confident you’ll be able to pay off the loan in a timely manner.
Finally, if you don’t have any cash up front, then leasing could be an attractive option as well. This involves paying a monthly fee to the owner who retains ownership of the property until all payments are complete. The downside is that you do not get to own the land unless you purchase it outright at some later time.
What tips and tricks should I consider when planning to purchase land?
- Evaluate the Accessibility of the Land: When planning to purchase land, it is important to consider its accessibility. Are there good roads close by? Is the land near any sources of water? Does it have utilities available? These are all important factors to consider before making a purchase.2. Consider the Cost of Ownership: Before purchasing land, you should also consider the cost of ownership. This includes taxes, insurance, maintenance, and upkeep costs as well as any potential legal fees associated with the purchasing process. Knowing these costs upfront can help you determine if the land is a viable purchase for you before investing in it.3. Look Into Zoning Regulations: Zoning regulations can significantly impact how you can use your land once you own it. It’s important to look into what zoning regulations are in place for the area you’re looking at purchasing in so you know exactly what restrictions you may be dealing with once you make the purchase.4. Research The Surrounding Area: It is also important to research the surrounding area when considering a land purchase. What types of businesses and developments are located nearby? Are there any parks or other amenities nearby that could add value to your land? Knowing this information beforehand can help ensure that you are buying in an area that will be desirable both now and in years to come.5. Speak with Experts for Guidance: Lastly, don’t be afraid to speak with experts before purchasing any land. Realtors, lawyers, and other professionals who specialize in real estate can be invaluable resources when purchasing land, so it’s always best to get their advice prior to signing on the dotted line.