Advice and information for buying land

As a real estate agent and registered forester, I have some qualifications to write about buying and selling rural real estate, primarily land. I have sold millions of acres as a realtor and managed millions of acres as a ranger since 1973.

If you are considering buying rural land, this article can help you with some great advice and information. The points below will give you basic information and an idea of ​​what to look for and consider when buying land.

Land Type. Do you want a farm, timberland, development potential, home site, hunting, agricultural use? A tract of land can rarely be all of this. Think about what you plan and go from there. Of course, most treaties will have multiple uses, but sometimes local usage restrictions need to be considered.

Access. Hopefully you have road frontage for access. Some extensions may have only one easement. If so, look at the layout of the deeded easement and the width of the easement. A 20′ wide easement to a property you later want to develop is a major negative if the county requires, for example, a 50′ wide easement for a street.

Utilities. Water, of course, is essential, but for drinking and for livestock. Is there an accessible waterline? If not, what are the costs of a well drilled in the area and are there any water quality issues in the groundwater? Will there be water in a drought? Is there a cattle stream and does it flow year round? Does anyone have the water rights? Is there electrical power available? Internet, cable, cell or landline? Easy to check now, difficult or impossible to get later.

Property income. As a ranger I know the value of wood. When looking for rural land, take a good look at the wood and, if there is a significant amount, have a local consultant forester assess it for you. I have seen lumber worth up to 3/4 of a property’s selling price, even in recent years. Make sure your purchase contract states that the existing lumber goes with the sale. It may have already been sold! Look for other potential income, such as hunting leases, which can easily pay for property taxes and minor management costs. There are also agricultural leases. Always make sure the deed to the land includes all mineral rights.

Make an offer. Find out what the local sales have been on similar and nearby land. If you are not using a buyer representation real estate agent, you may want to consider one. Usually, your fee is paid from the seller’s funds, but not always, so check this out. Check if land values ​​are going up or down in the area. Allow yourself inspection time and the right to go to the property by yourself or others you hire to perform inspections. Give yourself a way out of the contract if inspections fail. Make sure wood and minerals are included. Don’t make a low ball trying to steal the offer, you’ll just piss off the seller. Make a viable and fair offer and go from there.

Closure. Use a real estate attorney to verify title and close. They will know what to look for in deeds, easements and liens on the property. Ask the seller any questions that occurred to him and if he has any reports, old plates and maps that he may have. Ask about the history of the land before you lose it, as you may never see the seller again if he moves on.

Leave a Reply

Your email address will not be published. Required fields are marked *