The real estate industry is one of the most elaborate sectors of every economy. This explains why it is important to make all decisions regarding real estate with care. Professional advice is required in most cases. Here are a few tips and tricks of selling your raw land that will ensure that you get the maximum benefit from the sale
1. Seek professional guidance. There are several professionals in the real estate industry, and all of them will have something to offer you if you want to know how to sell your land fast. Perhaps the most important professionals in this case will be real estate valuers, because it is very important that you know the value of your land before you can think of the modalities of selling it. Value in real estate is defined as the net present worth of the future benefits of owning real estate property. The value of a raw land will depend on demand forces, utility or usefulness of the land, scarcity and transferability, among other factors.
This value is helpful in determining other aspects such as financing, investment analysis, taxation and property insurance. There are various methods of valuation of real estate property, and you have to use the one that is applicable in the specific area where the land is located. You can use sales comparison method for example, where you will value your land depending on recent sales of similar property. Always remember that raw land is different from other real estate properties, because it can be put into a wide variety of uses. It is not the same as an already constructed house which is basically valued depending on other simple pre-determined factors.
2. Consider the design that suits your raw land. Construction of domestic and commercial structures these days follows elaborate design guidelines that are consistent with the building codes and standards of the area in question. For instance, in a planned city, development of structures depends on the specific guidelines issued by the city engineer. It is important to consider these design specifications when planning to sell your raw land.
This is important in valuing your land, so that you sell it at the highest possible price. Fully-fledged architectural designs for instance will require a lot of social and economic considerations. Precisely, availability of transport and space, uncertainty scenarios and the existing regulations on the development of structures must be considered. Other factors include technical complexity and social intricacy. All these factors will have a direct bearing to the value of your land.
3. Strategic, tactical and operational factors. After the consideration of the design, you need to consider other strategic, tactical and operational advantages or disadvantages that your raw land could be having. For instance, the land may be located in a place which has been earmarked for development projects. This is a big plus for you. On the other hand, its location may be convenient for application of some sophisticated architectural tactics, given the recent developments in the Computer Aided Design (CAD) and Computer Aided Manufacturing (CAM). It may also be suitable for specific operations. All these factors will improve your bargaining power when you will be negotiating the price of the land.
4. Legal considerations. The real estate industry has had several legal issues in the past, and it is important to consider these issues before you make arrangements for selling your raw land. Get advice from a well-known lawyer, preferably one who has dealt with land related issues in the past so that your process of selling the land will be legal from the word go. Areas that may lead to legal issues in the future include title deed issues, boundary issues and involvement of unscrupulous real estate agents in the sale process.
5. Environmental issues. We are living in the global warming world where everything that relates to the environment is a very serious matter. This explains why the environment where your land is situated will have a direct bearing to your ability or inability to sell it at the maximum price. For instance, if the land is located near a dumping site, you will have to think of other aspects of the land that will make it so appealing to the buyers that they will ignore the impact of the dumping site.
6. Societal issues. Even after considering all the factors above, you will still have more fish to fry. Real estate belongs to the community, and everything about it must be aimed at fulfilling some functions in the society. This is a very tricky issue because it may require you to sell the land to specific buyers only.
7. Soil bearing capacity issues. There are some aspects of soil that make lands more valuable or less valuable. You need to consider the engineering aspects of the soil so that you will be able to advice the buyer of the property appropriately. A case on point, there are some soils that are inappropriate for the development of certain structures.
8. Prepare your land for sale. Once you have considered all the afore-mentioned factors, it is now time to prepare for the sale itself. Ensure that your land is at its best. Where possible, remove all the debris from the land and make it as presentable as possible.
9. Market your land appropriately. Come up with a marketing plan that will lead you to the best seller. Be equipped with the visual tools that will display your land as a very valuable real estate property so that you will attract the right buyers. If there are communal amenities in the area, be sure to reveal them to the prospective buyers. Have maps and boundaries ready, and avoid the negative aspects of the land as much as you can.
10. Sell the land yourself. If you want to understand how to sell your land, don’t sell it through a third party. Instead, sell it yourself. Most people would like to buy land directly from the owner, not through an agent.
All said and done, owning raw land is one thing, and selling it at the maximum benefit is another. If you are wise, you can sell your land at high prices by taking advantages of these tips.