Finding a place to call home isn’t an easy task. Most of the time you spend will be in front of the computer, perusing through online listings, or attending open houses to get a feel for the house and its surroundings.
Even then, it’s still not a guarantee you’ll find the lot of your dreams.
Finding a place to call home isn’t an easy task, but at Santa Cruz Properties, we make it a little easier with all of the spacious owner-financed lots we have available in Hidalgo and Starr County. Since 1993, we have offered a helping hand to many responsible people, like yourself, looking to settle down on a piece of land they can call home.
Throughout those years, we have learned quite a bit of valuable information on what you should and shouldn’t do when purchasing a vacant lot. And in order to save you some time and money, we want to share that knowledge with you.
What You SHOULD DO When Purchasing Vacant Land
Purchasing vacant land isn’t as hard as one might expect. Consider these solid tips when looking for new property.
1. Do work with a professional who knows the land.
You need a real estate agent that’s worth his or her salt; someone that can sift through the finer details, negotiate, satisfy legal requirements and other forms of due diligence, and close the deal. At the same time, you want this person to be trustworthy, giving you accurate information about your potential property. Luckily, you don’t have to look too far.
For over 20 years, Santa Cruz Properties has helped many responsible people, like you, unlock the next chapter of their lives – becoming landowners. Take that next step with us for a much more pleasant experience for you.
2. Do consider the value of homes in the area.
Owning land and building your dream home on it is great because you get to customize the property however you want. But you should consider your neighbors and build with a bit of constraint.
Take a look around at the homes in the area. Do they all abide by the same taste that you have? If so, start building. Otherwise, consider that if you build your dream home according to all of your customizations, it will raise the value of your house beyond the value of all the other houses within the neighborhood.
If it is overpriced, you may have a harder time getting a construction loan or the value on a resell may be lower than you anticipated.
3. Do take utilities into account.
Many people are accustomed to the common utilities. If you have always lived in a city, you’ve probably never had to put much thought into how you would get your running water, electricity, and sewage needs met. All you generally have to do is go down to your local city hall and contact an energy provider – and voila – utilities connected.
The same can’t be said when your purchasing a vacant lot. Sometimes, these utilities are not a given and it may require for you to build the necessary infrastructure to have your utility needs met.
What You SHOULDN’T DO When You Purchase Vacant Land
Take these tips into consideration when you are preparing to purchase a vacant piece of land.
1. Don’t expect to get a loan.
Loans aren’t guaranteed, especially if you are working to get one through the bank. A bank will only approve a loan for you if you have a near perfect credit score and agree to usually high interests rates. Many individuals may be working towards improving their credit scores but they may not be able to purchase land or a home because of some small mistake in their past.
Besides, a land purchase cannot be leveraged in the same way that a home purchase can. This means that you may have to pay cash upfront if there is no structure on the lot. If you’re lucky, the bank may give you a chance at a loan for 40% to 50% of the total value of the land, but more than likely, you will receive zero.
Luckily, there are other options. Save yourself the headache and call Santa Cruz Properties today to discuss the owner-financed lots we have available.
2. Don’t skip out on surveying or environmental tests.
It is imperative that you conduct environmental tests on a vacant lot and reach out to a surveyor to find out where the property boundaries are. Both of these are important to find out where you can build a home, or if you can even build a home on that property to begin with.
Testing the environment on the property gives you a clue on whether the soil itself has been tainted by previous owners. For example, if the property used to house a gas station, gasoline could have leaked into the soil, contaminating it. Residential homes cannot be built on contaminated soil, as exposure is possible.
If your soil checks out clean, you still have to get a surveyor out to the property to determine where the boundaries are situated. Over the years, overly-ambitious neighbors may have built over into the lot – knowingly or unknowingly. If that is the case, the neighbor must be made aware of the encroachment.
Normally, construction mistakes can be easily corrected. Other times, the neighbor may not care, and if you don’t act within a certain period of time, as per certain state laws, that piece of your property can become theirs. Of course, if they refuse to fix the issue, you may have to issue a trespass lawsuit, which isn’t a great way to befriend the neighbors.
3. Don’t automatically assume you can have the property rezoned.
Your local government has zones, codes, and ordinances for a reason, and you’d do well to follow them. These regulations state what can and cannot be built on any property.
Instead of trying to change the rules, try to work your vision within the existing guidelines that are provided by the local government. Otherwise, seek out land that will allow you to complete your wildest dreams. Believe us – at Santa Cruz properties, we have plenty of those to go around.
It pays to be savvy when you are looking to purchase vacant land. But it’s an easier experience to recruit Santa Cruz Properties for all of your property needs.
Trust us, owner-financed property is the easiest way to get the land you want to construct the home of your dreams. Don’t let poor credit keep you from owning property.