Linsey Taylor, Fathom Realty REALTOR® in Texas, shares with her clients three steps to selling land.
Disclaimer: Linsey Taylor is an agent in Northern Texas. Be sure to check with your state and local regulations as different laws may apply.
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Read the video transcript here:
Hi! My name is Linsey Taylor, and I'm here to talk to you today about how to sell your land.
Most people have bought and sold cars -- usually through a dealership or broker. Many people will have also bought and sold at least one home in their lifetime. But what about selling land? As scary and unfamiliar as it may sound for most, selling land can be just as easy. With some knowledge of the process and help from your REALTOR®, you can make a lucrative profit on your land investment.
In this video, we will discuss the 3 steps necessary to selling your land. I will tell you when to divide, how to price and how to prep your land for sale. So let’s get started.
Determine whether to sell whole or divided. Once you have made the decision to sell your land, you must decide how you would like to move forward with the sale. Depending on the size of your land, whether a small lot or 100 acres, you need to decide if you would like to sell it whole or in several pieces. Say for example you would like to sell 50 acres. Depending on the area you are in, it may be more lucrative to split up that 50 acres into 10 acres parcels. As a general rule, large pieces of land sell for less money per acre. And smaller pieces of land sell for more money per acre. If you are in an area that is seeing a lot of new homes being built, you stand to make more money splitting up the land. However, if your land is located in a more remote area, large parcels are king. Also, be sure to learn about your local land regulations. In many counties there are regulations in place that require platting in addition to a survey.
Establish Pricing. Once you have decided how you will split up your land (if at all), you will need to work with your Realtor on pricing. As your Realtor, I can help you by providing a comparative market analysis (or a CMA). Within this report, there will be a list of similar properties and what they have sold for in the past, as well as what similar properties are currently listed for. A term we often use in the real estate industry when pricing a property is “highest and best use”. Essentially we’re asking, “What is the best use of this property when listing it for sale?” So consider what type of area your lot/land is located in? Is it in the city or located on a dirt road? Are there commercial buildings nearby or residential homes? This information helps you determine the highest and best use and is vital to pricing your property correctly and competitively in today's market.
Prepare Your Land. Now that you have worked out the details of selling your land, it's time to prepare the land for sale. First item on the list? Clear any unwanted brush. If you plan to market your land for building purposes, the more you can clean it up, the better. Removing brush and mowing the grass can help boost the appeal immediately. There is however an exception to this…. if you plan to market your land for recreational purposes such as hunting, brush and trees may be a desirable option. You can hire a cleanup crew or roll up your sleeves and do it yourself. It all depends on what type of audience you want to attract. But either way, if it does need some clean up, be sure to make it look beautiful.
Thank you for stopping by my guide on how to sell land. Be sure to visit my you-tube channel for more Real Estate guides and how to's. I'm Linsey Taylor, your real estate agent with a heart. Bye for now!
If you would like to contact Linsey, email firstname.lastname@example.org, or call (940) 399-9743.