How To Make an Offer on a Parcel of Land

Here are the steps in making an offer on a parcel of land and winning that much coveted real estate:

The Parcel. First, you need to have a clear idea of the parcel of land that you are trying to secure. First of all, you need to know the exact location. Another thing to consider is the the boundaries and territory enclosed by the property you are planning to buy.

Owner. If the land still has an owner at the time of your consideration, it is best to contact the owner first before deciding to take any action on the lot. You can be assured of a smoother transaction if you are able to talk to the owner of the parcel beforehand to ensure that the land you are eyeing is saleable and very much up for grabs.

Real estate sales agent. In cases where there is already an explicit "For Sale" sign on the property, contact its real estate sales agent so that you can get a good estimate of the property. How much it is worth, its market value particulars and other good qualities of the parcel can be discussed with a well-versed real estate sales agent.

Development companies. Minnesota Power Land is a good example of a reputable development company, among many other land development firms. You may have an edge on the property if you are able to contact the developers of the land and do the research yourself. There are still some things that a real estate sales agent may not be able to tell you. If you are transacting with a land development company, you will know more of what's in store for that property. 

Escrow or titling. The titling or escrow company will tell you if you have rivals or existing legal issues on the property you are trying to secure. It will be very unwise to get a piece of land without tracing its legal history. Make sure that it is not under some form of dispute.

Vicinity research. Vicinity research involves talking to the people who are surrounding the property. Other land owners, tenants and government officials within the vicinity of the land may give you information on road access, trade, industry standards and other specific information that you may need.

Pending plans. Pending plans of the state or county may cover that particular land. There are lands under their jurisdiction and require a different policy altogether.

Inspections. Your own personal inspection or of an expert such as a city planner, licensed surveyor or lawyer may help you make better assessments on the true worth or value of the lot. This will help you come up with a fair price.

Financing terms. Loans, cash or other bank transactions come into play when everything has already been cared for in the beginning of your offer making process.


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