When somebody is in the process of buying and constructing a house, it is necessary to realize the importance of finding the right piece of land. Many development projects are coming up, which provide reliable places to invest one’s money in, but in case you are planning to buy a standalone piece of property, then you will have to be careful that the land you buy is approved from the government to build. So, keeping the following tips in mind you can ensure that you do not end up wasting your money –
* Percolation – When you purchase a property that is located far away from the main city sewer lines, it will require you to build up a septic system for waste disposal. The success of installing a septic system will depend on the percolation of the land. A simple test can be carried out, which will help in gauging the degree of percolation. By digging a hole and filling it with water, the time taken for the water to seep into the land will show the percolation
Many people, who have purchased pieces of land and are planning to sell them, often are not sure which direction to proceed in. In such a situation, it is best to consult a person who has significant experience in the sale of land. There are various ways in which one can put up land for sale ad depending on the state of real estate in your locality a number of methods can be experimented with for getting best results.
The common reasons why people or companies purchase land are, either to build a residence or an extension of an existing building or to keep it for investment purposes. When you own a piece of property, it will be necessary for you to decide which purpose your land is best suited for. This will help you in carrying out appropriate advertising and marketing it in the right direction. However, if you have bought a piece of land for investment purposes, then that does not mean that you cannot look for buyers. Many buyers could be interested in your land and maybe your land could
It really important to have some guidelines to follow when you are starting your career in real estate investing. If you follow the rules, you can never really lose. On the other hand, with experience you may be able to bend the rules and still make good deals.
Investing Rule #1 – Not All Deals Are On MLS
Most small unit residential property gets listed on your local multiple listing service (MLS) website, but not all. This is extremely important in the more competitive markets because the more people who see a deal means the more competition for you. As a new investor, you may not have the ability to compete against the big players, so you may want to focus on alternative methods of finding deals:
- Auctions – Just like MLS, auctions have good real estate deals and bad deals. The number of potential buyers at an auction is much lower but everyone there is an investor. Additionally you will need to have enough cash available to pay.
- FSBO – Some owners list their properties without the help of a real estate salesperson
If you are looking to purchase land, there are several important items to consider.
What is the cost of the land? If I pay $1,000,000 for 10 acres to build a shopping center does that cost fit within my budget? Or is $500,000 the most I can pay and still have a profitable project?
Does the location work for the intended use? For example if someone is trying to build a convenience store is the site in a high traffic area? Or if someone wants to build expensive homes is the location suitable for million dollar homes or is it too close to commercial uses?
What jurisdiction is the land located in? The City Limits? Is it in the Extra Territorial Jurisdiction (ETJ) of the City? Is it in the County? The jurisdiction that the property is located in will dictate which rules and regulations need to be followed. It might be advantageous to be in a particular jurisdiction (City A vs City B) rather than another. There may also be state and federal laws that will impact the property as well.
If the property is in the City, what is the zoning category
There are times you think you are incompetent doing some things that are not your field or expertise. On this venture you come to prove something to yourself. Selling a property is crucial but if done with proper documentation, legitimacy, good faith and consent of both parties buyer and seller, transaction will complete in due time.
In my own venture, it took around ten months more or less to sell a house and lot of the transfer of property from parents to heirs of a clean title. You can seek the assistance of a broker, a lawyer, or a realty firm, among others, to help you with the processing of papers. Each office takes two, three or a month to stamp approval or release.
In the process of documentation, you need a set of photocopies of applications, receipts, affidavits, claim stubs, and other certificates. Label them in safe folders and keep in a bag so any time an office requires a copy, you have one available. Should a file be lost, certified true copies could be sought from the proper government offices.
Here are three steps from Attorney Glicerio Alarkon Jr. (San Beda College of
Real assets of all kinds, including land, have performed well, years after the financial crisis. But managers of these assets need to know their category.
Real asset managers are different from financial brokers in many regards. Chief among them are how they understand the assets themselves, beyond performance metrics. Rare antiques and art require people who are versed in art history, for example. For people who trade in gold, an understanding of the market and global geopolitics is a requirement. A real asset manager who works in land investments is perhaps the best example of this distinction.
For investors, this might be reassuring because of the heightened degree of interest in land and property. Particularly now – more than a half-decade since the global financial crisis – land investments retain an attraction to investors for several reasons:
• Land assets outperformed securities – In the first 13 years of the 21st century, the world equity index (performance adjusted for inflation) generated an annualised return of only 0.1 per cent. Bonds did better, with an annualised return of 6.1 per cent, benefiting from a low-interest rate environment that could change soon. Real assets including land can
WHAT IS AN EASEMENT?
Easements are one of those seldom thought-of items that when they do rear their ugly head can be a source of frustration and even litigation. The right of a third party-a person or entity-to access and/or use land that you own for a specific purpose, easements come in many varieties of scale and impact. Some are minor, such as a neighbor needing part of your driveway in order to gain entry to his yard; others, falling under the term “easement appurtenant,” could be as potentially disruptive as a beach access road or path open to the public crossing over your property.
Among the most common property easements are those held by utilities and the Department of Transportation. Such easements allow power companies to install and maintain towers and power lines and entitle the DOT to expand a road and replace water pipes as the need arises. Property owners can still utilize this portion of the land as long as their use does not impede the easement holder’s ability to use its easement. Erecting a non-permanent fixture such as a fence is permissible, while putting in a garage or other
If you’re looking at land for sale with a thought of buying, you’ll want to understand the property’s zoning. In the United States, federal, state, or local governments have a say in how land can be used. Depending on your plans, this information is essential as you consider the purchase.
Generally speaking, property can be designated for residential use or commercial use. So based on whether you’d want to build a home or to open up a business, knowing the zoning is crucial. If the zoning is not listed in any of the paperwork advertising the land for sale, or if you’re not sure your intended use for the land is allowed, you can find the answer by contacting your local planning agency.
Plans for Your Business
Real estate that is set aside for commercial use can be used for retail, offices, or other commercial uses. If your purchase will be used for industrial property or manufacturing, there are further regulations that may need to be applied. There can be restrictions related to the advertising signs you display, parking, use of hazardous materials, or noise, so you’ll want to become familiar with those details.
As a child I received a piece of advice from my mother. She told me never sell your mineral rights or your water rights on a piece of real estate you own. She also said don’t buy a piece of land where those rights don’t convey.
This may not be the kind of advice little kids usually receive from their moms, but it is very good advice.
My mom was the daughter of a farmer. People tend to think of farmers as ignorant rubes. In fact good farmers have to be pretty savvy about property legalities and scientific matters like soil conservation, plant propagation, animal care and biology, too.
As an adult I was a Master Gardener with our local county Agricultural Extension office. In my training course we learned that plants need somewhere between 16 to 18 minerals to be present in soil to grow. Most farms use fertilizers that include only 3 minerals, nitrogen, potassium, and phosphorous.
About 14 years ago I read the annual report of a large mineral company. In it they said that when they mined minerals from a piece of land it is so devoid of nutrients that
Adverse Possession – Protect Your Forefather’s Land
Many years ago, my great-great-grandfather was given several acres of land with the distinct understanding between him and the seller that the property is never to be sold. No one warned my generation to refrain from “neglect.”
The land has been worked year after year and yields a well-known company billions of dollars while our family has sat by scrambling to get by. Some family members have discouraged their children from going to college. Others have forfeited vacations. They simply can’t afford it.
When I was a kid, I used to watch old westerns. One of the issues encountered was people squatting on land they didn’t own. Lately, I’ve been dreaming about those westerns and I didn’t understand why until I received my monthly check from leasing proceeds.
I wondered if the proceeds from our property were fair. That thought made me nervous. After all, if there’s a problem, I might have to do something about it. I ditched the idea and focused on finishing my novel. My novel only acerbated the issue, because until now, I hadn’t realized that all the dreams, worries, and questions I
Land is very important in real estate. When buying land to construct a house you need to consider a number of factors. Some of these factors include:
Here you need to check with the local authorities and determine the zoning ordinances. You should also find out if you are allowed to construct the type of house that you have in mind. The future is very important; therefore, you should ask whether there are plans to improve the infrastructure in the area. For example, you should enquire whether there are plans of constructing airports and shopping centers.
You should contact the authority in the area and obtain a natural hazard disclosure. The disclosure will tell if the land is ideal for building. As rule of thumb you should stay away from a land that is prone to natural hazards.
When determining the natural hazards in the area you should also find the elevation of the land. If the land is located near a hill you should determine the chances of the land moving. Remember that the slab of your house can easily crack if the land is unstable.
Buying your first piece of land brings a new set of challenges. It is a little complicated task especially if you are looking for a land where you will be developing a new home, but no more worries because this article is made to serve as a guide for first land buyers. It explains how to go about purchasing the land in the first place before the development and selling process.
As a real estate agent, I know how important choosing the land where you will be building a new home is. Say it’s cliche, but the three most important factors to consider in real estate are location, location, and location. When you got the right location for your property, you have the greater chance of selling it fast and at a higher dollar price.
This article contains some tips that you could try applying when buying your first piece of land. You should know that these are off from the real deals and there are more important things to consider but as a new land buyer, it is vital that you know the following listed below before you could move on to the more complex
First and foremost you may be wondering, “Why vacant land?” After all, isn’t vacant land worth a lot less than houses? While it is true that vacant land is less expensive than houses, that is a blessing when it comes to your startup capital. It is much cheaper to buy vacant land than it is to buy houses, apartments, or commercial buildings.
And as any landlord can attest, owning rental property comes with a myriad of headaches, from clogged toilets to evicting deadbeat tenants. Raw land has the advantage of being maintenance free while increasing in value over time. And if you can find cheap land, then there is almost no reason to not get involved with vacant land.
One thing to keep in mind with land is that like all types of real estate, location is everything. One tenth of an acre in Manhattan could cost millions of dollars, but travel a few counties away from the cities and you can get many acres often for a few thousand dollars. The sweet spot is when you can find an area that’s close enough to a metropolitan area to be desirable, yet far enough that you
One of my mentoring Clients is negotiating a deal and asked me how to handle a situation that actually comes up quite frequently: the seller wants some time to think about it.
I thought you may benefit from the answer as well.
Here is the scenario:
My Client just made an offer to the homeowner that was well below market and below what the seller thought he could get. My Client did a great job of reviewing the benefits of working with him: no fees; no commissions; no repairs required (and this house needs a lot); no inspections; no financing contingencies; no closing costs; no termite letter; closing is flexible and can be quick or delayed – whichever is best for the seller.
My Client went on to discuss that if he wants to get market value for the house, he is going to have to pay to have all of the repairs done to the house – and that will all be money out-of-pocket, with no guarantee when the sale will occur.
He’ll have to pay a realtor commission; and pay closing costs for the buyer. And it still could take months
If you are looking for investments options that have a high return you should consider investing in real estate. Traditionally property investments is a good high return investment. Yes, the prices of investment property can fluctuate down and up in the short term but over the long run you can make a profit. Being the owner of a section of land is an investment that eventually you can bank on because it will acquire value through the development of the other properties in the vicinity. One thing to note is that with any investment properties in Los Angles it comes with its share of risks, which cannot be eliminated entirely. Although through researching and planning the risk can decrease.
• The first thing that you should do is study the wide range of investment options in the real estate sector that you are considering. There are several ways you can invest, such as buying commercial properties, apartments, residential homes, condominiums, or just investment in land..
• One of the most important decisions is do you buy to sell again and make a profit or buy to rent. Investing in residential properties you can have a source of
When young people are asked this question “What career would you like to choose in the future?” you will get to hear many answers. Doctor, pilot, president, business person, jet fighter pilot, astronaut, scientist, computer genius, surfer, swimmer, athlete, footballer, rugby player and even a hacker sometimes. The one answer that you will fail to hear a child replying is that they want to be a real estate professional.
A majority of the people today will attest that what they answered in that question when they were young is not what they are doing today. The good thing is that as an adult, you can finally make a wise decision based on income, passion, adventure and growth.
Below are 5 reasons people choose Real Estate Investment as their job.
The professionals have a lot of freedom since they can be their own bosses if they are not working for another real estate professional. Apart from that, one can design their own work schedule that will fit their day to day timetable. This means that they can work as much or as little as they want. While this is a good thing for
“I’m from the federal government and I’m here to help.” Scary words for many, but there is a little-known program that has helped almost a quarter-million struggling homeowners stay in their homes.
The Hardest Hit Fund was established in 2010 to provide $7.6 billion in targeted aid to 18 states and the District of Columbia. These unlucky 19 were hardest hit by the collapse of the housing bubble and the ensuing Great Recession.
Each state (and D.C.) created its own program to administer the funds, which were targeted to help their residents avoid foreclosure, stabilize neighborhoods and eliminate blight.
So how is this related to the note business? Well, these distressed homeowners have been skipping payments for in some cases years and have a huge debt to repay with interest. The fund will pay off all the arrearages (up to a maximum of $30K) and in some states it can pay for as many as 12 future payments. The money is paid directly to the bank, the lender, or in our case, the note holder.
The delinquent promissory notes that were signed to buy the houses are now called non-performing notes (NPNs). Since they’re
Buying a luxury home is a little different from buying the average tract house. Obviously the expense itself is a large concern, but more and more luxury buyers are using the home as an additional asset in their overall investment portfolio.
In the 1950s the dream was to find a home and pay off the mortgage, now many financial advisors recommend using the mortgage as a way to not only offset income taxes but to leverage capital for other investments. For those just entering the luxury home market, it’s important to know what to look for so that the home not only provides a pleasant living environment, but also appreciates in value.
First and foremost… location. Cities, communities, neighborhoods are all very important factors in purchasing a luxury home. More than many home purchases, finding the right real estate agent can make a huge difference. Your agent should be able to direct you to homes in areas with appreciating value and know the reasons why.
Communities and neighborhoods are also very important. Many luxury buyers look for gated communities; security and privacy are important aspects to the home’s location. If you are looking in a