Most residential sales can be completed within 60-90 days. That’s rarely the case with land transactions.
Selling land is challenging, or at least different from all other real estate transactions. If you have ever tried selling raw land, you will understand this issue.
Landowners encounter delays due to specific issues such as legal complications, access restrictions, or title problems. It’s time to get a thorough understanding of these obstacles if you’re planning to sell vacant land. In this article, we will discuss the common hurdles that slow down a land sale. We will also mention the respective solutions. Stay tuned.
How to Handle Common Challenges while Selling Land?
Inherited Land
Are you trying to sell inherited land?
Many people inherit land from a loved one. The land can be located in a different state, and it’s crucial to understand the state laws and the probate process. When you inherit the land, it goes through the probate process.
Probate confirms the inheritance and ownership transfer, but it can be lengthy, especially if multiple heirs are involved. This process often requires legal documentation to prove ownership, which can delay the sale. Planning for probate and understanding what’s required can help prepare for these steps.
You need to inform all the heirs and get the ownership records straight. You also need to highlight land boundaries. You need a land survey, deed, and proper documentation to support your case. An independent appraiser will need to confirm the land price. After the probate process is complete, you can move forward with vacant land sales.
Easements and Rights of Way
Easements—legal rights that allow others access to your land—can sometimes complicate your vacant land sale by limiting what potential buyers can do. For example, if a utility company has access to part of your land, buyers may need to allow ongoing use for maintenance or service.
Think of a scenario where a neighboring property owner has right-of-way across your land. Buyers will want to know about these restrictions and how they’ll impact their ownership and use.
Before you sell vacant land, review any existing easements. Preparing documentation and clearly explaining any rights of way makes it easier to give buyers a full picture of what they’re purchasing. This extra preparation can help smooth out your sale and avoid unexpected delays.
Natural Resources and Ownership Rights
If your land has valuable natural resources like oil, gas, or minerals, this can make buyers more interested—or cautious, depending on ownership rights. Suppose you’re selling raw land in an area known for valuable minerals. Buyers will want to know if they’re purchasing those rights too or if previous owners or third parties still hold them. Researching or consulting with a real estate attorney about these rights before listing the property can help you avoid roadblocks.
Tax Liens or Unpaid Property Taxes
If you owe property taxes, a tax lien could be attached to your property. And title issues will certainly hinder the sale. Resolve tax matters in advance, or at least clarify any issues with potential buyers to make the process easier. You can also dive into tax records for verifying ownership and the assessed value of the land.
Title Issues
It’s always important to have a clear title. If you suspect unresolved title issues, it’s wise to address these before listing. There can be an error in the property’s records. Someone else might have a claim on it. Buyers will conduct a title search before acquiring land, and they will catch those errors that can postpone or cancel the sale.
Landlocked Properties
Access is crucial for marketing and selling your vacant land. When your land doesn’t have direct access to public roads, it’s considered “landlocked.”
Selling landlocked property can be challenging. Imagine you’re selling a lot that requires crossing neighboring properties. Buyers might need to negotiate with neighbors for easements, or they may have to accept limited access.
When listing landlocked property, it can be helpful to note any existing access agreements or legal easements that provide a clear way to reach the property. This clarity can give buyers peace of mind and keep your sale on track.
Market Realities: Why Vacant Land Sales Are Different?
Vacant Land Buyers vs. Property Buyers
Vacant land sales are different from residential transactions. Vacant land typically appeals to investors, developers, or recreational land buyers. This smaller market can mean longer wait times between listing and sale. Understanding that you’re appealing to a specialized market can help set realistic expectations, whether you’re listing vacant lots for sale by owner or working with an agent.
Smaller Market Size and Demand
The demand for vacant land fluctuates based on location and potential uses of the land. Unlike homes, which attract families, vacant land might be desirable to a specific group of buyers depending on their needs. For example, vacant property for sale near a popular hiking trail might interest recreational buyers, while agricultural land in rural areas might appeal more to farmers. Recognize this difference so you can attract the right buyer group for your land.
Setting Realistic Expectations for the Timeline
Selling vacant land often takes longer. It can take anywhere from several months to over a year. You can sell your vacant land fast if you can work with a real estate investor.
Frequently Asked Questions
Can I sell land with unpaid property taxes?
Even with unpaid taxes, you can still sell your land. You can pay off outstanding taxes to make the transaction easier or negotiate with the buyer to handle them. Keep in mind any pending taxes will be paid before the closing.
How do I clear a title issue on my land?
Conduct a title search to figure out the issue first. Talk to a title professional to discuss the solution. Talk to our experienced team, and we can also guide you about possible solutions.
How long does it take to sell vacant land?
It varies, but selling land can take anywhere from 6-12 months. Land in desirable locations or areas with high demand may move more quickly, while rural or specialized properties can take longer. For a quick option, you can contact us for a simple & fair cash offer. We buy land nationwide, and we can acquire yours within a few weeks. Our team will pay cash, and we buy land in as-is condition (in all scenarios).
Can I sell a landlocked property?
It takes a while to find a buyer who is okay with access issues. You might need to negotiate easements with neighbors to sell your land. Reach out for a free consultation to discuss your options and a fair cash offer.
Can I sell my land online?
You can sell vacant land online. The simplest way is to request a fair cash offer from 1-800 Offer. You just need to fill out the simple form on our website, and we will handle the next steps.
You can also try online land listing platforms like Landwatch and Zillow to reach more buyers.
Conclusion
It’s important to understand the common challenges so you can better prepare for the sale. Issues like probate, easements, and market demand can all affect timelines. Research the market. Address any potential legal or access issues, and have realistic expectations, so you can approach your sale with more confidence.