First-time sellers of raw land face unique challenges, whether it’s a pristine wilderness plot adjacent to a national park or land compromised by environmental or commercial issues.
Some of the steps and language are the same across all types of real estate sales, but you’ll need a more robust checklist and access to professional expertise to close a successful deal on undeveloped land.
If you’re considering a land sale, read on for pitfalls to avoid throughout the process of planning, preparing for, and closing your sale.
Mistake #1: Skipping the Research
Unless you have clear records and hands-on knowledge of your land, you may need to invest more time than anticipated into some homework and preparatory research.
Raw land sales typically take longer than developed or prepared land. But you can cut down on delays by having a detailed presentation kit available for prospective buyers. Be sure it includes information and reports such as1:
- Completed title search showing clear ownership
- Survey by a registered professional land surveyor (RPLS)
- Current zoning
You could also review reports and studies relevant to available resources and potential land use, such as2:
- Details on the local process of land reclassification or up-zoning for other land usage
- Soil studies and vegetative production history
- Flood plain study
- Utility company estimates
Mistake #2: Pricing Too High or Too Low
Mistaken pricing can lead to a property either sitting ignored for too long on the market or being sold below its profit potential.
Accurate pricing for raw land may include these steps:
- Determine your goals, especially whether you have a time limit or minimum walkaway
- Review similar properties that have recently sold and compare their features to yours
- Look up your parcel number for the assessed value per your property tax authority
- Work with an agent who understands market trends and the local market
- Identify the land’s “highest and best” use before pricing it3
- Incorporate research into the land’s resources and potential use into the final price
To get started, simply browse listings for sale and refine the search based on properties similar to yours.
Mistake #3: Using the Wrong Agent
Now is not the time to ask a cousin or aunt who recently obtained a real estate license for help. Selling land is distinctly different from residential real estate.
To reach your sales goal, hire an agent who is:
- Experienced at selling raw land and empty lots
- On top of market trends and predictions at national, state, and local levels
- Familiar with the immediate area’s development plans and economic issues
- Able to offer contacts relevant to land surveys, research, and sales
- Experienced at doing business within the scale and price range of your land
- Networked with investors and other buyers within your target market
- Able to provide a detailed, specific marketing plan
At Land.com, we offer a network of highly experienced brokers and agents across the country to help assist you in the sale of your property. Find a Land Professional in your area to ensure the seamless sale of your property.
Mistake #4: Not Showcasing Your Land
There’s no home to stage with the perfect feng shui, but raw land can still be groomed and showcased in its best light to potential buyers. Consider:
- Large, easy-to-read for-sale signage customized with key facts
- Trash, weeds, and debris clean-up on the land and roads leading into it
- Enhancements such as planting wildflowers and adding or repairing fences, trails, etc.
- High-res, professional photographs highlighting positive features, views, and resources
- Compelling videos, drone footage, or trail cam footage
Along with its current state, you can also highlight your land’s potential with:
- Photographs showing the best of all four seasons and action shots promoting land use
- Surveys, drawings, or income estimates for potential land use scenarios
- Maps, information, and photos of nearby roadways, communities, and attractions
For assistance in marketing or advertising your property, simply fill out this form, and one of our team members can help get you started.
Mistake #5: Missing the Mark on Communication
In addition to partnering with a real estate agent who’s an expert in the land industry, you may need to change your habits and invest time in some networking of your own. You’ll be better able to achieve positive results if you:
- Visit and talk to neighboring property owners personally to invite their bids
- Reach out to builders and developers working nearby
- Answer all calls rather than letting them go to voicemail
- Check your text and email frequently
- Respond promptly and kindly, even if it’s “I received your message and will get back to you by [day/time]”.
Mistake #6: Limiting Payment Options
If you’re selling undeveloped land, consider offering seller financing—accepting a downpayment and then allowing a buyer to make monthly payments to you over time.
If it’s feasible for your financial resources and goals, seller-provided financing can enlarge your buyer pool and result in additional profit.
Partner With Land.com for Selling Success
Navigating the complexities of selling land for the first time is challenging and requires time, consideration, and expertise. At Land.com, we understand the importance of having the right agent by your side and the tools available in your land-selling journey. With over 12 million engaged buyers and top-tier marketing platforms, we ensure that your property receives the attention it deserves. We understand the importance of accurate pricing and effective communication, and we are committed to helping you achieve your sales goals.
Whether you’re ready to list your land or simply want to explore the possibilities, we’re here to help. Our dedicated team of experts and resources can guide you through every step of your journey, ensuring your land-selling experience is seamless and successful.
Visit Land.com to list your property, or contact us to learn more about starting your land-selling journey.
Sources:
- Texas Landowners Association. How to Buy Land in Texas– A Step by Step Guide to Purchasing Rural Land. https://landassociation.org/how-to-buy-land-in-texas/
- Inman. 7 tips and tricks for selling land. https://www.inman.com/2018/05/01/7-tips-and-tricks-for-selling-land/
- Bankrate. How to sell land. https://www.bankrate.com/real-estate/how-to-sell-land/