Showing posts with label Land Buying Tips. Show all posts
Showing posts with label Land Buying Tips. Show all posts

Wednesday, March 23, 2016

Getting Started In Buying Land - Part 02



Developed And Undeveloped Lands

The land you are considering  may be completely undeveloped with no representations from the seller about its characteristics or usability –typically called “vacant land.” Or you may be looking at a fully developed lot in a subdivision with sewer, water, power, and gas already brought to the building site, along with a commitment to buy a design/build package from the developer. Or anything in between –  for example, a lot in a rural development with a partially built unpaved road, designated lots,  and no other improvements.



There are pros and cons to each. In general, vacant land will be less expensive but requires much greater knowledge and diligence on the part of the buyer.  A developed building lot in a subdivision requires less investigation by the buyer, but is usually purchased at a premium. The more “developed” a lot is, the less development cost and risk the buyer assumes. Not surprisingly, you will pay a premium for that – for both the infrastructure at the site (e.g., earthwork,  well, and septic) as well as the  peace of mind that the work has been done. However, a piece of “vacant” land can end up costing a lot more than a lot in a subdivision by the time you pay for the necessary permitting, infrastructure development, and utility hookups.



The lure of a large lot in the country is compelling for many people planning a custom home. The attractions are many: open space, beautiful views, peace and quiet, privacy, garden space, and perhaps room for a shop, studio, or even a horse barn. Also, you can generally get more land than you would in a subdivision for the same or less money, although after you add up all the development costs, some or all of those savings will disappear. Figuring your real out-of-pocket cost for a piece of vacant land takes a lot of homework.



A piece of undeveloped land can hold many secrets and requires a thorough investigation by the buyer. Caveat emptor (Let the buyer beware!) is the rule here. If you are not experienced in this area, and don’t wish to take time to educate yourself, and are not prepared to spend a lot of time and possibly some money investigating potential building sites, then you are probably better off buying land in a subdivision. The list of  potential surprises that may come with a piece of land is long. Many will restrict what you can do with the land, most have cost implications, and others will affect your quality of life on the land. The most important issues are covered below, but there may be others unique to your particular town or region. So look carefully before you leap in this direction.

Thursday, February 18, 2016

Getting Started In Buying Land - Part 01


Once you have a preliminary house design and budget in mind, your next step toward creating your new home is often to find the right piece of land. Buying land is very different from buying a house or condo, where most common problems can be easily recognized by a competent builder or home inspector. With vacant, undeveloped there are a host of other issues that affect the cost of development, and what can and cannot be built.


Even if you are very familiar with home construction, an undeveloped piece of land can hold many surprises both on and below the surface. Often the biggest surprise is the site development costs, which can be jaw-dropping. Your first job is to educate yourself at least enough to know what questions to ask – so you don’t get blind sided by the “unknown unknowns.” 




ESTABLISH PRIORITIES


Before  you begin your search, take the time to establish a list of priorities. You probably can’t afford your perfect dream site, so you’ll need to decide where to compromise and where to stick to your guns. Some key factors to consider include:
  • Commuting distance: How close, or far away, do you want to be from shopping, restaurants, doctors, and other businesses you visit regularly. How far are you willing to commute to shopping and work?
  • Schools: Are you happy with the local school system?
  • Physical characteristics. Are you looking for a wooded site, open land, high on hillside with views, near access to water?  Are views important?
  • Neighbours. Do you want a lot of privacy in a rural setting and room for horses? Or would you be happier in a densely settled development where you will see your neighbours regularly and where kids can will find plenty of playmates nearby?
  • Municipal services: What private and municipal services are available: water, sewage, electricity, natural gas, cable, high-speed internet?
  • Taxes and fees: Are local tax rates acceptable? Are you aware of the fees you will pay to build in this area: water, gas, and connection fees, impact fees, special assessments?
  • Size: How large a lot do you need? Would a small lot adjacent to a large area of conservation land be preferable – it will probably be less expensive.


Once you find a building lot you like, run through the Land Buying Check list to help you identify pros, cons, and open questions. Talk to neighbours and town officials about your plans. Get the opinions of town officials (building, planning, and health departments),  in writing in possible. If questions remain, talk to local well drillers and septic system designers, and if necessary, geo technical engineers familiar with the area. Eliminate as many uncertainties as possible before making an offer. Buying the wrong piece of land can be a very expensive learning experience.

Thursday, February 11, 2016

Be an Educated Buyer!!!


Consult professionals to immerse yourself in the details of your purchase.  There are many experts available to guide you through the purchase process. Never leave yourself open to costly and unpleasant surprises – always consult a professional.  National Land Partners Land Consultants are well versed in every aspect of land acquisition




The Bottom Line

ALWAYS… Discuss the availability of owner financing. Many real estate companies can arrange proprietary financing or partner with a bank familiar with your property. 


ALWAYS… Ask for a recent survey. The more recent the survey, the more accurate and reliable it will be.  In addition, a property should always be marked for your inspection. 


ALWAYS… Insist on reasonable access. Frontage on a state, town, country, or private road is desirable. 




ALWAYS… Require a warranty deed. You cannot buy better protection than a warranty deed.


ALWAYS… When a warranty deed is unavailable, title insurance is a must.



ALWAYS… Establish a good working relationship with your seller. Deal only with a seller you can trust. 

Typically purchasing a land and build a home or a building is usually the single largest investment you will ever make at one time. With the constant change in market values and real property laws, enrolling in the services of a Realtor will benefit you throughout these years. I encourage all buyers to take an active role in the buying process. 




Always Remember, 
An Educated Buyer is a Confident Buyer!

Tuesday, January 19, 2016

ඉඩමක් මිලට ගැනීමේදී ඔබ මේ ගැනත් සිතනවාද?

තමන්ගේම කියා නිවසක් ඉදිකරගැනීමට සිහින දකින බොහෝ දෙනෙක් මුලින්ම සිදු කරන්නේ ඒ සඳහා ඉඩමක් මිලදී ගැනීමයි. ඉඩම් මිලදී ගැනීමේදී මේ කරුණු ගැන ඔබ කොතරම් සැළකිළිමත් වෙනවාද?

මෙම ඉඩමේ යම් කිසි ඉදිකිරීමක් සිදු කළ හැකිද?
 
ඔබ මිලදී ගන්නා ඉඩම සංවර්ධනය කර විකුණන ඉඩමක්ද? නැතිනම් සංවර්ධනය නොකරන ලද හිස් ඉඩමක්ද? එම ඉඩමේ ඔබ බලාපොරොත්තු වන ආකාරයට ඉදිකිරීමක් සිදු කළ හැකිද? මේ කරුණු ගැන ඉඩම මිලදී ගැනීමට පෙර ඔබ සැළකිලිමත් විය යුතුයි.

ඉඩමේ මායිම් නිවැරදිව සටහන්ව ඇත් ද?
ඔබ මිලදී ගන්නා ඉඩමේ මායිම නිවැරදිව, ක්‍රමානුකූලව සටහන් කර තිබෙනවාද? එය ඉඩමේ පමණක් නොව ඉඩමට අදාළ ඔප්පු තිරප්පුවලද නිවැරදිව සටහන්ව තිබෙනවාද යන්න පිළිබඳව ඔබ සැළකිළිමත් විය යුතුමය. එසේ නොමෑතිව නිරවුල් නොවූ ඔප්පුවලින් යුත් ඉඩමක් ඔබ මිලදී ගත්තේ නම්, තවත් විශාල ධනයක්, ශ්‍රමයක් සහ කාලයක් කැපකරමින් එම ඉඩම් නිරවුල් කරගැනීම සඳහා අධිකරණය හමුවේ පෙනීසිටීමට ඔබට සිදුවනු ඇත.


ඉඩමේ සිට ආසන්නතම මහා මාර්ගයට සම්බන්ධ වීමට නීත්‍යානුකූල ප්‍රවේශ මාර්ගයන් තිබේද? එම ප්‍රවේශමාර්ගයන්හි අයිතිය සහ නඩත්තුව සිදු කරන්නේ කවුරුන් විසින්ද? 

නිවසක් හෝ වෙන යම් කුමනාකාරයේ ඉදිකිරීමක් සිදු කිරීමට ගියත්, ඉදිකිරීම් සඳහා අවශ්‍ය වන සැපයුම් (ගල්, වැලි, සිමෙන්ති, යකඩ, ගඩොල්) ද්‍රව්‍ය එම ඉඩමට ප්‍රවාහනය කරගත යුතුවේ. මේ සඳහා ප්‍රමානවත් මාර්ගයක් තිබේද යන්න පිළිබඳව සැලකිළිමත් විය යුතුය. නිවස ඉදිකිරීමෙන් පසුව ඔබ එම නිවසේ ජීවත් වන නිසා ආසන්න ප්‍රධාන මාර්ගයට සම්බන්ධ වන මාර්ග නීත්‍යානුකූල මාර්ගද නැතිනම් තාවකාලික මාර්ගද යන කරුණ නියමාකාරයෙන් විසඳාගත යුතුය. එමෙන්ම අදාළ ප්‍රවේශ මාර්ගයන්හි අයිතිය සහ නඩත්තුව සිදුකරන්නේ කුමන පාර්ෂවයන්ද යන වගද පැහැදිලිව තේරුම් කරගත යුතුය. ශ්‍රී ලංකාවේ බොහෝ මාර්ගයන් අදාල ප්‍රාදේශීය සභාවන්, නගර සභාවන් හෝ පළාත් සභාවන් වැනි රාජ්‍ය ආයතන ඔස්සේ පාලනය සහ නඩත්තු කෙරේ. නමුත් එසේ නොවන මාර්ගයන් අදාළ ඉඩමේ හිමිකරුවන් විසින් කඩත්තු කරගත යුතුවේ.

කොතරම් වටිනා ඉඩමක් වුවද නියමා කාරයෙන් ප්‍රවේශ මාර්ගයන් නොමැති වූ විට කිසිදු වටිනාකමක් නොමැති හිස් බිම් කැබලි බවට පත්වේ.


Thursday, January 7, 2016

Best Tips to Buying a Land

If you’re planning to build a new home, selecting your site is as vital to the completed project as the design of the structure. For most of us, the appeal of a home comes not only from the building itself, but also from the surrounding environment and how the home is situated on the plot. A satisfying design always considers the aesthetics of the land and integrates with the environment in an organic way.



But the problem with a development is that you rarely have a green light in terms of what and how to build. You can expect to have to comply with restrictive covenants that will dictate many of your aesthetic choices, and there likely will be an architectural review committee in place that will limit your vision. Moreover, you’ll simply have less control in choosing your natural environment.

Choosing to build on land allows you to find a site that appeals to you in terms of its views and scenery, and gives you infinitely more leeway to make aesthetic choices in your design. The trade off is that with every freedom afforded by the land, you’re faced with potential challenges. Building on raw land is not simply a matter of picking a spot with a lovely view and plunking your home down on it. The good news, though, is that you can build on just about any spot, no matter how physically or logistically challenging — assuming your budget can meet these challenges.

The First Step

Many individuals searching for land for sale use a variety of methods to find available property, including scanning local newspapers and researching bank foreclosures, tax sales or evictions.
For most people, a real estate agent is the best source for identifying sites, especially when your search covers an area far away from your current residence. No matter how you look for an appropriate site, once you’ve identified some candidates, your primary allies are due diligence and common sense. You wouldn’t buy a car without actually seeing it or taking it for a test drive, and the same is true with the land. Plan to visit and walk over any property under consideration.
You should also plan to investigate adjoining properties. Imagine buying a plot of land without realizing you’re downwind from a commercial farm or landfill! In my own experience, an uncle owned one of the most beautiful and historic homes in the county — within hearing distance of an airport.

Agents and Attorneys



Aside from showing you what’s on the market, it’s the real estate agent’s responsibility to inform you of material facts, such as easements or highway improvements. An easement grants the right of someone other than the property owner to use a tract of land.

Another key ally in buying raw land is a real estate attorney. Legally speaking, you can do title searches yourself, but land records, overseen by the Registrar of Deeds in the county seat, can be extremely confusing. A real estate attorney is equipped to search and interpret titles, and many local attorneys actually have the transactions in their community memorized.

Moreover, attorneys will also have connections with title insurance companies, which insure you in the event of a defect or hindrance with your purchase.
An attorney is also vital, of course, in drawing up a contract. While there are standard forms dealing with the purchase of residential properties, an attorney will need to draft any contingencies that might be attached to the form. Examples of contingencies include the stipulation that a normal drain field for a sewer septic system is build-able on the land, or that road access to your property is feasible. If these contingencies are not met, you have a way out of your offer to buy.

Sewer and Water Issues

 

Before you can build a home, a health inspector will visit your site to conduct a perc test that will establish the land’s rate of drainage for purposes of a septic system. This will dictate where you can place your primary and repair drainage fields, or determine if you have to install a custom system, which can raise sewer septic costs by up to five times.

Without hiring someone to evaluate your property, you can do some things on your own to get a sense of the type of system the property can accommodate. It is by no means an immutable law, but it is a general rule that what your neighbour has, you’ll have. Ask neighbours about their sewer and water issues. Check to see what their living conditions are like in terms of the water table and flooding, and find out how deep they had to dig for their well.

Electricity


Electrical connection is generally more expensive than septic and water considerations. You might be able to connect to lines on an adjoining property, but your neighbour has the sole right to grant or deny an easement. Fortunately, utility companies will send an engineer to a property to calculate the installation expense based on distance and number of poles. It’s also worth asking the power company what expansion is planned and if they are willing to help subsidize installation in order to inspire future development. 

Road Access


Aside from having the title analyzed to be sure your property is not land-locked, you’ll need to do some research in terms of road access. Will a special road need to be built to bring in the equipment to dig a well? Will a forklift need to be brought in to lift the heavy? If so, you’ll need to factor in the cost of building one-time access, which might run into five figures.

You’ll also want to investigate potential expansion of public roads on or around your desired site. The state department of transportation’s engineering department can answer your questions about future development, since proposals are docketed years in advance.

Environmental Issues

 

Environmental regulation is another potential hindrance to where or how you can build. While beyond the scope of this article, be sure to ask your agent, attorney, neighbours, and regulatory government agencies about these concerns.


Happy Buying!