Wholesale marketplace for vacant land & cheap houses.

International Properties

Unique Development Opportunity in Butler Bay, St. Croix, United States Virgin Islands!

Do you believe that dreams come true? That there is paradise on the Earth? That there is a place where you can escape from cities and just enjoy nature how it is?.

International Properties

Are you Interested in International Real Estate?

Take a look at what you can buy in Honduras and consider investing in a luxury vacation resort home.

International Properties

Retire Today at the "Enclave at The Palms" - one of the world's best place to live & play

Want to retire in Belize? The Enclave at The Palms is our current development of 20 homes, and as of today we have completed the first home and wanted to take the opportunity here...

What Do First Time Land Buyers Need to Be Aware Of?

Articles

Published on Thursday, December 31, 2015 by Land Century

The excitement that first-time land buyers feel is difficult to put into words. When you first dive into this long-term investment, you know that you’re buying something that actually has value. You can touch the land under your feet, and you can use it to build a home, farm or simply hold onto it and sell it in the future. It’s far more exciting to own land than a stock; an investment you never actually get to touch.

And when you own the land, you have full control over what happens to it. This is an investment that I recommend to everyone, and real estate in general has been a very profitable vehicle for investors. It’s not something that is new either – people have been owning land since the beginning of time.

But there are a lot of different factors that first-time buyers need to be aware of before they make their purchase. It’s simply not enough to give a random stranger your cash, and not really know what you’re going to do with the land. Land can be an amazing investment, or it can be a major bust – just like what happens with the stock market. You wouldn’t invest in a random penny stock you knew nothing about, but you may invest in Facebook stock because you know about the company.

The moral of the story: you need to know little bit about the land and the buying process before you get started.

Traditional Loans for Land Are Difficult to Obtain

Land is not viewed as low risk by banks. Banks will provide you with a loan to buy your home, but they're not likely to give you a loan for land. Why? It matters what you do to the land to increase its value. Lenders know that they can sell a home if you don't pay your mortgage, but it's much harder to sell land, and it doesn’t provide the same return on investment that a home would in most cases.

You’ll have a few avenues to pay for your land:

* Owner financing
* Cash payment

What many people choose to do is buy a small lot of land, and learn about the land buying process. They’ll flip this property, and reinvest into a new property until they buy a substantial piece of land. This the perfect situation because it allows you to understand the land buying process and what makes land valuable.

Start saving now, so you can buy a property.

If you're planning a commercial venture, you may be able to get funding for the land itself. Lenders may be able to provide you with a loan, but I wouldn't rely on traditional lending practices when buying a piece of property.

Easements

Easements are very difficult to understand, but they're essential for any homebuyer to become accustomed to before buying. Essentially, an easement allows you access to your land. If your property is in between two different parcels of land, an easement may be in place that allows you to use your neighbor’s road to access your property.

There are also different types of easements:

Express Easements: A written agreement between the land owners granting the easement.

Implied Easements: An implied easement is when an easement would be granted for the enjoyment of the land. This often occurs when a piece of property is divided and sold.

Prescriptive Easements: An easement that is been granted because an individual has utilized an easement for a given time period.

You need to know what easements exist on your property, and ensure that you’ll be able to use the property accordingly.

Liens May Exist

Whether you’re buying a home or a piece of property, you need to know if any liens have been taken out against the property. This normally occurs when the previous owner does not pay their taxes accordingly. If there are property taxes outstanding on the property, you'll be responsible for paying these property taxes as the new owner. Always make sure that the property is free and clear of any liens before you purchase it, or at least be notified of them prior to finalizing the purchase.

Property Taxes Can Be Expensive

Property taxes are normally much less expensive on a raw piece of land, but you also need to ensure that you know what the current property taxes are for your particular property. Property taxes can go up yearly, and you’ll want to know what the tax rates have been for the past three years.

You need to know this information so that you can understand how much you’ll be responsible to pay to the government every year. If the property taxes are immense, this may negate the return on investment that you would get as the property increases in value.

Land Drainage

Land drainage will be a very important factor when buying land. You don’t want to buy land that routinely floods because it will not be a smart investment. This type of land is obviously less desirable, and not the best option for any piece of farmland or even residential land.

Soil Quality Matters

In the event that you're buying farmland, you'll want to ensure that a soil test has been performed. This will help you understand the quality of the soil, and what needs to be done to the land to restore it to a premium quality.

This is most important with farmland, and you should consult with an expert before buying farmland to ensure that it's a quality property.

Land Enhancements

Land enhancements will be one of the following:

* Utility line hookups
* Water lines
* Septic systems
* Road access
* Cleared land

All of this information is very important when buying land. If there are already utility lines in place, this means that you'll have to spend less if you want to build a home or structure on the property. Cleared land also allows you to quickly start the building process if you wish, and is far more desirable than raw land if using the property for residential purposes.
Share this Article
Great development opportunity in The Enclave at The Palms, Northern Belize!

The Enclave at The Palms is a residential subdivision located in the Corozal Province in Northern Belize. This part of the country is very popular with expats, and The Enclave is l...

Featured Listings

10.15 Acres
Blanca, CO
40 Acres
Model, CO
1995 Sq.Ft.
Corning, CA
5 Acres
San Luis, CO
0.75 Acres
Lehigh Acres, FL
1 Acre
Willcox, AZ
0.3 Acres
Shelter Cove, CA
0.3 Acres
Shelter Cove, CA
1.68 Acres
Sanders, AZ
1.05 Acres
Concho, AZ
0.23 Acres
Coldspring, TX
Be Smart, Live Well in North Port, Florida! Great opportunity!

North Port, Florida, is the place you have been waiting for. One of biggest city in Sarasota County, North Port still feels more like a small town and people hope to keep it that w...

120 acres for sale in beautiful Sierra Blanca, TX

Have you ever imagine yourself in the role of Texas cowboy in popular western movie? Where is just you, desert and wild nature? Or you were dreaming of build your own big rancho wi...

Featured Profiles

Verified Wholesaler

Land Century, LLC

Verified Wholesaler

GreenBridge Holdings, LLC

Verified Wholesaler

Harris Investments, LLC

Verified Wholesaler

BuildFortune, LLC

Unique Development Opportunity in Butler Bay, St. Croix, United States Virgin Islands!

Do you believe that dreams come true? That there is paradise on the Earth? That there is a place where you can escape from cities and just enjoy nature how it is?One of this places...

Beautiful Acreage with Farm House for Sale in Corning, CA

This amazing and commodious property is located in Corning, CA, well-known "Olive Capital of the World", can become your own paradise in California. Corning is a well-situated thor...

SHELTER COVE, CALIFORNIA - THE LOST COAST ON PACIFIC OCEAN IN NORTHERN CALIFORNIA

Shelter Cove is a quiet and beautiful beach community in Northern California, with one of the world's very few exclusive black sand beaches. Properties are not far from the ocean...

Are you Interested in International Real Estate?

Calm Waters Resort – Honduras:In beautiful Honduras, the newly launched Calm Waters Resort project is currently under construction, and are offering several of the resort’s vil...

Retire Today at the "Enclave at The Palms" - one of the world's best place to live & play

5 Reasons Why Moving to Belize is Awesome!The Atmosphere. There is something magical about Belize. All your cares and stresses melt away and you enjoy the laid back atmosphere and...

What are Real Estate Investment Trusts and How Do They Work?

When it comes to real estate investments, you'll see a lot of people talking about REITs, or real estate investment trusts. Some people call them "real estate investment stock."The...

Featured Listings

10.15 Acres
Blanca, CO
40 Acres
Model, CO
1995 Sq.Ft.
Corning, CA
5 Acres
San Luis, CO
0.75 Acres
Lehigh Acres, FL
1 Acre
Willcox, AZ
0.3 Acres
Shelter Cove, CA
0.3 Acres
Shelter Cove, CA
1.68 Acres
Sanders, AZ
1.05 Acres
Concho, AZ
0.23 Acres
Coldspring, TX
Business Ideas for Vacant Land - How to Create Income Producing Assets

Vacant land can become an income producing asset. Land is valuable, and while land may be most valuable when a structure is built on it, this doesn't mean it can start producing in...

How Blockchain Could Change the Real Estate Industry

You've heard of cryptocurrencies – unless you've been living under a rock – but you're not sure how they work. Bitcoin, the world's largest cryptocurrency, is run on what's cal...

Featured Profiles

Verified Wholesaler

Land Century, LLC

Verified Wholesaler

GreenBridge Holdings, LLC

Verified Wholesaler

Harris Investments, LLC

Verified Wholesaler

BuildFortune, LLC

What Does the Right of Refusal Mean in Real Estate?

The first right of refusal in real estate is a provision an agreement or lease that gives a potentially interested party the right to buy the property before the seller negotiates...

Avoid Being Scammed on Craigslist and eBay When Buying Property

Just about anything you can imagine can be bought and sold on eBay and Craigslist, from old toasters to vintage record collections, and yes, even property. While these sites have c...

How to Get into Commercial Real Estate Investing & What You Need to Know

When you think of real estate investing, commercial property is usually the first thing that comes to mind. After all, commercial development is where the money is at. As lucrative...

Flipping Houses or Rental Properties - Which Is More Profitable?

You're ready to invest in real estate, but you've hit a brick wall: you don't know whether to rent out your new property, or flip it for a quick profit. Flipping is tempting - it's...

California Areas for Land & Property Investments in Q1 - Q2 2018

Several cities in California topped the list for the hottest real estate markets in 2017. For those looking to invest in land and property in the state, these top cities are your b...