When buying land what are some things that I need to consider or ask the seller?

Question

My wife and I have a 1 acre lot that we're interested in possibly buying to have a custom home built on it within the next year or so. The propert use is residential land. When dealing with buying property what are the do's and dont's? If the list prist for the acre of land is $33,000 how much should I offer, or how much do you think the seller will come down on the price?

Answer 1

i agree with the post above. you need to leave leeway for counter offers.

you need to do research. getting an inspection of the land as far as where the lines are, making sure that it is suitable for building, making sure that none of the land inside where you believe you own isn't belonging to the government without your knowledge (sorry, there is a term for this, but i can't remember). basically, you don't want to just ask the owner of the land these questions, but you also want to do your own homework. the owner may not know everything about the land, or they may lie about the land. you can find out some information in local records at courthouses and other such buildings. some may be on-line depending upon where the property is located.

you want to make sure the land is large enough for the size of house you want to build on it. i know someone who bought a piece of land that did not have enough to it to build their desired ranch-style house according to the local codes, so they had to sell the land & buy another less desierd parcell. depending upon where you build, there must be a certain amount of footage between houses.

Answer 2

Get a realtor to advise you on price. As to questions, you want to know if there are any easements on the land, whether you can get public water or sewer; if you can't get public sewer, then will the land perk?; if you can't get public water, how much will it cost to drill the well and add the water treatment; whether there is electric or gas service available; does it slope properly or does it have standing water; what plans exist to develop nearby land (such as housing developments, airports, etc.); is there public or private trash pickup; are there any zoning or building restrictions that will limit the kind of house or other structures you can put up; how far away are the nearest stores and schools. If you hire a builder, make sure you get a good written warranty from him, and find out if he is in compliance with any relevant builder licensing laws. That's all I can think of at the moment.

Answer 3

Have an attorney write your offer. Make it lower than the asking price and with a short time to accept. The attorney will include all the normal things that you will need to worry about. (perc test, pollution, surveys, zoning, ect) That should not cost more than $150 to $200 and is a critical part of avoiding a major screw up.

Answer 4

Offer the seller $10,000 less. That gives him the opportunity to give a counter offer, which results in bargaining and a lesser price than the first asking price., in most situations.

Answer 5

Check to see if it has deed restrictions, is it flood prone, is it surveyed, are there any liens on it, Real Estat right now is not moving so if the seller is motivated offer way lower, you can always go higher if you are really interested. Good Luck!!!