People invest in lots for sale if they want to develop the property, build a retirement home on it, or hold onto it for investment purposes. Investing in a piece of land is a smart thing to do, assuming you research carefully and make a smart buy.
Not all pieces of land are considered a good investment. In fact, some can be a burden. If you don’t research a piece of land prior to purchasing it, you could be stuck with a plot that will not appreciate in value. Here are some things to consider when looking for land to purchase:
1. Location is everything. If you're looking for an investment, try and find land that's in a prime location where demand is likely to grow.
2. The quality of residential or commercial land for sale is significant too, as it will be more attractive to buyers and elevate in value faster. Look for land near water, such as a stream or pond, good soil for growing crops, or land you could develop.
3. Find out who is responsible for maintaining the infrastructure, including roads, water systems and sewage, and whether you are required to share in the cost of upkeep.
Look into the zoning rules that apply to any lots for saleIf you're interested in building on a plot of land for sale by owner, agent, or the government, make sure any applicable zoning ordinances allow you to do so. Some communities won't allow you to construct any structure on small acreage parcels. Additionally, ask about the possibility of future zoning plans, such as shopping centers, airports or changes in neighboring land usage. Such plans may compromise your own plans, as well as the value of your land.
Find out what hidden utility costs come with a plot of land for saleKnow your water rights, and find out whether you're allowed to dig a well. If wells are permitted, determine the depth of your water table and how difficult it would be to dig. You might need to hook up to a sewer or install a septic system. Also, check into the cost of bringing in electricity and setting up a generator for emergencies. If you don't have access to gas lines, find out how much you'll need to spend on a propane tank. Finally, find out how much it would cost to set up telephone or cable services, assuming they're not available in your area.
USA.gov. They offer commercial buildings, investment properties and land the government has seized or no longer needs. USALandSale.com allows customers to sign up to receive upcoming auction notifications.
Partner with a realtor who can help you negotiate the purchase of land for salePartnering with a real estate agent can save you time and money on a land sale. Rather than searching for land for sale on a daily basis, you give the realtor a commission to do that work for you. Make sure your agent knows exactly what you're looking for in a plot of land so neither of you waste your time viewing properties that don't meet your needs.
- Whether you finance the land purchase through a conventional lender or with cash, get an appraisal to determine the value of the residential or commercial land for sale before you make an offer.