Table of Contents
HOW YOU ARE GOING TO FIND YOUR DEALS?
Consider how are you going to find your deals. There are numerous methods in finding those deals, one method I have success with is using Mailers.
Reaching out to land owners, sending out a blind offer and waiting to whether they respond or not. There you can decide which land you want to buy.
Another method is going to tax auctions and finding deals there. There will be properties there for investors to buy. If the state is a Tax Deed State, you can get the property right away as long as you pay the auction bid amount. If its a Tax Lien State, you get the rights to the property tax lien.
HOW YOU ARE GOING TO DECIDE PRICING YOUR OFFERS?
Deciding what to price your offers is as important. You want to get the comparables, researching what prices per parcel of land was recently sold. This gives you an idea to what amount you can price your offers. Similar to what Realtors do whenever there is a residential sale.
HOW ARE YOU GOING TO FUND ALL YOUR DEALS?
After acquiring where to find your deals and what the price is for your offer, you need to fund those deals. There are numerous ways to go about funding your deal:
You can just use your own capital. A simple way to fund your deals is to just have the funds come out of your pocket.
When you don’t have enough capital or running out of capital the next method is using Fast Cash. The way fast cash works is you get a property and hold it under contract, you find a buyer who is willing to buy it, and get a fast cash partner to put in the money to buy the property and then sell it, after which you split the profit.
WHAT IS THE PROCESS YOU ARE GOING TO GO OVER FOR DUE DILIGENCE?
There are things you need to consider when buying land. Consider whether the property you are about to buy have back taxes. Sometimes there are land with a lot of back taxes placed on it and you have to consider whether you can make a profit with that piece of land.
The next thing to consider is Titles, confirm if the person you are buying the land from is the owner of the property. There are cases where people think they own a piece of land because of inheritance.
When buying land consider if it has access or not. Having access to the land itself is very important and some land properties have no way or very limited access. Whether the prospective buyer is able to go to the property. This land will be much harder to sell
You would want to find whether that property has access utilities. Check from utility companies beforehand if it has utilities because it is more important to have those access to utilities especially if its closer to urban areas.
Lastly the zoning. Make sure that the property has nothing weird going on there. An example is you can only build on it with a certain amount of acreage or something close to that.
HOW ARE YOU GOING TO MARKET YOUR PROPERTY?
After finding and buying land. You need to consider how you are going to market your property. It is important that you can market your property to a lot of people. Without marketing your property you cannot make a land sale.
There are land listings sites that are dedicated to buying and selling land such as land.com. They garner more traffic and most buyers looking for land go there. Some sites such as Facebook Marketplace and Craigslist are alternatives for these land listing sites.
DO YOU HAVE ALL YOUR PAPERWORK READY?
What you need to have is all your paperwork ready for the land deal. A Purchase Agreement(Buyer), a Purchase Agreement(Seller), a Land Contract, and a Promissory Note. These are all the necessary contracts need to buy property and sell it for cash or for terms.
HOW ARE YOU GOING TO CLOSE ON THE PROPERTY?
The last land investing question is how you are going to close on the property. Self closings especially if you know how to, are recommended because following up title companies can take up your time, as well as attorneys are expensive.
