How to Sell Your Land By Owner
October 29, 2009
Got land? Do you have a piece of property that you are considering selling? Lately, a lot of people have been trying to “cut the costs” associated with selling their land. In a recession like the one we are in right now, housing prices and land values are down. It certainly can be a smart move financially if you are able to cut some costs when selling your land or property. But do you really need to hire a real estate professional in order to sell? Here several considerations when deciding on whether you really can sell your land “by owner” or not.
Do you have the time?
Going through the whole entire process of advertising, dealing with potential buyers, dealing with offers, and then dealing with all of the paperwork of the transaction can take time. Do you have the time to spend selling your land by owner? Would your time be better spent working at your job or doing other tasks? Consider the value of your time and whether or not it make sense.
Do you have the experience?
There are a lot of potential issues that could arise while trying to sell your land or property. Do you have the experience in negotiating a deal with potential buyers? You might want to hire a real estate professional who has been through it all before: and knows how to handle certain situations professionally.
Are you able to show the property?
Do you live or work near the property you are going to sell by owner? It might not be feasible to meet buyers at the property to show them the land if you live in another State or not within reasonable driving distance. Would it make sense to hire a real estate professional near where the property is located?
Do you have what it takes?
Even though it only takes one buyer to purchase your land, finding that ready, willing and able buyer is not always as simple as it seems. You must have a grasp on the current market conditions and be able to detach yourself emotionally from the land. Sometimes that is what it takes in order to do what is necessary to sell your land by owner quickly.
In order to sell your land by owner quickly, here are some additional tips:
1. Evaluate your local market conditions. Look for similar properties, properties with a similar price, similar features, and a similar location. Research recent sales (get comps).
2. Under price your property. Set your asking price below the current average of recent sales.
3. If you are able, offer “owner financing”. Especially in this economy where it’s difficult to get a loan, many buyers are willing and able to pay for the land: as long as they can pay it out over time.
4. Reach out directly to potential buyers. Contact neighbors, contractors, and land developers who are building houses in the area. They may be potential buyers. Ask if they are interested in the property or know someone who might be interested in purchasing the land. For example, Bluegreen Communities is a land developer that does buy large acreage or large amounts of land for residential developments in several markets across the United States. If you are interested in finding out more information about their land seller program, you can find more information for land sellers here on the Bluegreen Communities website.
5. Contact a real estate professional. Although you have already decided on selling your land by owner, consider contacting some real estate professionals in the area. Talk to them about their fees, how they would market your property, and the options you have. They may give you some ideas that you have not thought of; and you may be able to apply those ideas and use them when you are selling your land by owner.
Whether you sell your land by owner or whether you hire a real estate professional to do it for you, you first need to do your homework: find out the pluses and the minuses of selling the property yourself. And even if you have bought and sold property before, consider that we’re currently in a much different economic climate now.