Do you want to know how much your land is worth? Finding the market value of raw or vacant land can be challenging, especially in a fluctuating market. Many factors come into play when estimating land values, leading to overpricing by landowners and longer time on the market.
In this guide, we will provide you with tips to effectively price your land and attract potential buyers, including developers and investors. By following these steps, you can sell your land quickly. Let's dive in!
Comparable Land Sales
Determining land value can be made easier by looking at comparable sales in your area. Online search engines can provide a rough idea of past land sales and the duration of listings on the market. If you're having trouble finding recent sales that are comparable to your listing, consulting an experienced real estate agent specializing in vacant land appraisal values can be beneficial.
Where to Find Comparable Land Market Values
If a general online search doesn't yield the expected results, you may need to explore specific websites. Two popular land value search sites are:
Landwatch
Landwatch is ideal for valuing properties located in rural settings. It offers listings for vacant land, farms, ranches, and mountain properties.
Zillow
Zillow is a comprehensive real estate website that caters to potential buyers and sellers, providing property listings, mortgage lenders, and recent sales data.
Both sites allow you to search for land values based on ZIP code, state, county, and acreage. This way, you can find recent sales specific to your area. Remember that the ultimate value of a property depends on the agreed-upon price between the buyer and seller.
Factors That Affect Raw or Vacant Land Values
Apart from comparable sales, there are other factors to consider that can increase the value of your land. Here are a few:
Acreage
If the land you are selling is several acres or larger, its potential for selling at a higher price significantly increases. Buyers looking to build new homes or developers and investors seeking commercial development opportunities are willing to pay more for larger lots. Additionally, individuals looking for country living or farmland may value larger properties.
Utilities
Access to utilities is an attractive feature for many land buyers. If your land already has utilities on-site or nearby, such as electricity and water, it can boost its value. However, if the land is intended for recreational purposes, buyers might not require utilities, saving you the cost of unnecessary improvements.
Topography/Usable Space
Desirable locations, such as those close to the beach or popular attractions, can increase the value of your land. If your land doesn't fall into this category, highlighting special features such as stunning views, ample space for recreational activities, natural habitats, or nearby wildlife can add value.
Road Access
Easy access to your land is crucial. Buyers prefer land with road frontage and existing driveways, as this saves them time and effort. Providing road access can significantly increase the value of your land. Even simple improvements like adding a gravel parking area can make your land more desirable.
Surrounding Area
The value of your land is also influenced by its location. It may appeal to different buyers based on its proximity to specific amenities or attractions. Pricing your land at fair market value and targeting the right buyers, developers, or investors is key to selling it effectively.
Land Property Use
The intended use of your land plays a significant role in its value. For example, land suitable for recreational purposes may not fetch as high a price as land near major attractions or prime building locations.
Hiring a Real Estate Appraiser
If you're still having difficulty estimating the value of your raw or vacant land, it might be time to hire a real estate appraiser. Ensure that the appraiser specializes in vacant land appraisal and holds a valid license. You can verify their credentials with the real estate governing board in your state.
By following the tips mentioned above, estimating the value of your land can become a straightforward process. Conduct thorough research to find the value of your property, set an appropriate price, and watch the potential buyers come to you.
Now that you have the knowledge, it's time to make the most of your land's value!