How to Buy Land?
By admin on Jan 12, 2011 in Home Buying Guide
While many may consider land to be a universal piece of property with no distinction between various lots, that is not the case. A number of factors influence the value of the property and the ability to be built upon.
Of course, location is the primary indicator of the property’s value. A beachfront piece of land will grossly outweigh a lot on the outskirts of town in terms of price. More specifically, lots in close proximity to certain structures, such as schools, theaters, etcetera, will fetch a higher premium. Also keep in mind that a home built on a piece of property in a remote area will have additional charges; a septic tank costs a great deal to install, and utility lines must be run to the property. Since the location of the home is the greatest influence on the purchase of land, it is important to keep these factors in mind at all times.
Also, the condition and topography of the land will heavily influence its usability and value. Wet or rocky soil and steep terrain will increase the necessary labor and the overall cost of improving it. Even after the extra expenses are paid, soil trends are permanent, so even an improved lot with wet soil will present some complications later on. Sewage lines and access to public roads are another feature that need to be taken into account. Unless utility vehicles can access a home, the homeowner is alone in the care of the property.
How to Buy Land?
But who can land be bought from? Unless a property is owned by an individual, the most likely scenario is that the city or a company owns the land. In this case, purchasing is simple, for the transaction takes place through an organization. If, however, in individual is selling the land, some precautions must be taken. First of all, one should find out why the owner is selling the land; it may be a simple change of scenery, or it could be because there are some problems with the land that were recently noticed. Just like buying a used car, do some research on the land before purchasing to make sure everything checks out. Also, inquire as to what type of deed will be included with the purchase. Unless the buyer obtains a deed, they do not own the property, so this is a critical step. Insurance is another topic to ask about. Is insurance included? Can it be purchased separately? Most likely, land insurance will be an extra expense.
Finally, are there any land or neighborhood codes to abide by? Certain locations, due to historical significance or wildlife protection, will be prohibited from major renovations or change. Violators of these policies may incur a hefty fine. Many subdivisions have their own standards as well. Outlandish home colors, unkempt landscape, or other such offenses may result in fines as well, so be aware of the individual policies of the area. To avoid hassle and deceit, it is advised to purchase land from the city or company. Should the situation arise, however, be wary when conducting transactions with individuals.
As angst and anticipation of a new home begin to take hold, make certain that the purchase of land is not done in haste. Major complications my appear later on, even if they are not apparent at the present time.