Don't fall in love with it. Until you close the deal, it's just an investment. If it doesn't happen, there will be others, and there will aways be something that comes along that is even better. NEVER FALL IN LOVE WITH IT!!!!!!!!!!
Access, easments and leases that are in existance are crucial. Be sure to find out about all of them and be ready to walk away if anything sounds like it's something you don't want to deal with. Access is extremely important. If you can't get to the place, 24/7, then what's the point in having the land. If anybody controls any of the land that you have to use to get to the land, then it's just a matter of time until you have a problem. It might not be the current owner, or the next, but it is guranteed to come up one of these days. If others have easments through the land, then there is nothing you can do to stop them, and what they do on your land wil be an ongoing headache. Again, it's one of those things that you will have to decide on how much and how bad you can deal with. Utility easements are very common and they are the easy to deal with. It's the neighbors and access easements that cause most of the problems. There might be a lease on the land that ends soon, but is included in the sale. Read it very carefully if its there. People who lose access to land that they have been using for awhile will sometimes do stupid things.
Be 100% of your utilities and the ability to get them to the land. I had to get a neighbors permision to run power across his fenceline to my property for electricity. I had assumed that the power company would just come along the fenceline, but they said that they had to be inside the landowners property to run power. That one almost snuck up and bit me. One guy that I know had to replace all the waterlines on the road for about a mile before they would allow him to get a water tap. The existing line was maxed out and they refused to allow him access to it because it was too small of a pipe. He had to pay for the materials, but they covered the labor. That was a huge surprise to him.
Can you build on the land? and what will it cost to build there? Are there code restrictions and access issues? Can a cement truck get to the pad site? or will you have to build a new road to get it there at a huge expense to you?
Know what homes cost to build, and if there is anybody in the area to build it. Another one of those things that you would think is covered, but I've been to a lot of houses that were built by some guy down the street who said he built houses, but in realty, he didn't have a clue. Be sure you know who you are talking to and if they can do what they say they can.
Know what the actual property taxes are. Not a guess, and not what anybody just tells you. Know for sure what they are from the tax assesor. Find out what they will go up to when you build on the lot. Will they just raise the property taxes on a small portion of land that you build on, or will the entire parcel go up? What will the taxes be on the size home you want? Don't guess and don't trust anybody who pretends to know. If you buy the place, you will have to go to the tax assesors office anyway, so you might as well make the trip now and get the information from the source.
Drive the neighborhood. Crack houses are pretty easy to spot from the road. Visit some of your potential neighbors and ask about theft. Talk to the constible or sherrif about crime in the area. Drive the road from there to work, and find out if there is an issue that you never thought of. Where are the closest train tracks?
Are you looking at the land with your real estate agent or the listing agent? Make sure to have somebody on your side who knows the area and what some people try to pull. A good agent is worth his price. A lousy one will just agree to everything to make the sale happen. Find one who asks questions and looks for problems. If you don't dig for them, and turn a blind eye, you will get screwed.
Go look at the comps. Don't just read about them, and don't tust anybody else to tell you what land is worth or what it's listed for. Listed and asking price is often a joke. I know people that list their places all the time with homes of some out of state idiot buying it sight unseen because it's cheaper then where they are from. Keep looking at other properties. Never commit to just one place, and never want it more then you need it. Common sense and better judgement are things that disapear when emotions take over.
DON"T FALL IN LOVE WITH IT!!!!
ALWAYS BE WILLING TO WALK AWAY FROM IT!!!!!!!!!!!!
Good luck,
Eddie
