It is interesting to buy recreational land, and on paper, it can seem easy to acquire.
However, if you are a first-time land buyer, there are several circumstances and conditions to consider so that you can make the right decision and avoid mistakes that can cost you when buying your property.
Most land buyers have their own needs and wants when looking to purchase vacant land. The following tips will help you in purchasing the perfect recreational land:
- How is your financial situation?
Assess your financial situation before you shop for a perfect piece of land.
The first thing to consider is the amount of land you need to purchase because buying raw land is different from buying an existing home. It is recommended to pay in cash if you have it because a traditional land loan is more complicated to get than a mortgage.
- Know the amount of space your need for your recreational land
Once you have determined your budget, consider the amount of land you need based on how you plan to use your land.
For example, if you want land for hunting, you need to ensure there is enough space for food plots. The number of hunters should also be considered because too many hunters in a small area are dangerous and can scare the game away.
- What are your long-term plans?
Your land’s immediate plan might be hiking, hunting, or camping, but what about five or ten years down the road? Maybe you might want to build a home in your land someday. There is a lot to think about when it comes to buying recreational land.
Therefore, here are few things to know before proceeding for purchase:
Does the land have adequate space to build? Look at the cost of clearing and building, then check on every aspect that may complicate your construction. Therefore, consult with a qualified builder and check with the local zoning boards to know if you can build a home there.
If the ultimate goal is to live in the space, ensure that all amenities such as sewer, water, and electricity are available. Land accessibility is another factor to consider for your land’s goal. Ensure that there is legal access to the property.
- What land professional will you use?
It is crucial to find a professional to help you with your land buying. The real estate agent may not likely help you with your land purchase, but an agent specializing in recreational land purchases has the knowledge and experience to help find the right piece of land.
An experienced recreational real estate pro understands well what is in the appraisal of a land and its current value. It can also be beneficial to use a qualified land broker to help in zoning laws consideration and other legalities. A broker will help you get the right price that fits into the land.
- Do Tons of Research
When you have narrowed down the land you want to buy, you should research thoroughly and make several visits to the specific land. Ensure environmental and survey testing is done, and zoning requirements are checked to ensure you do what is intended for the land.
“Even if it’s only for building a house, it is good to know that not all areas are suitable for buildings. Before you buy recreational land, be sure to check for soil quality and land drainage because land that floods is not a good investment and if you intend to farm, land with good quality soil is recommended.” – Corey Tyner, DC Land Buyer Consultant
Why should you invest in recreational land?
Recreational land is used for camping, hunting, wildlife, motorcycle, or ATV riding. It can be rent out, land flipped, or you want to enjoy the property with your family.
The following are benefits of owning recreational land:
Tax deductions are offered for vacant lands by most states. Yes, you will cover property tax and other expenses, but the tax amount overall will be lower. Consult a tax expert when you are purchasing recreational land to guide you through the whole process.
Low maintenance as compared to other properties
Recreational land is affordable and easy to maintain because it can be for hunting or camping, which is nowhere near maintaining properties like a commercial or residential building.
A valuable long-term resource
The land cost will not go down if you are using it for a specific purpose. This is because the benefit will increase if you profit from renting it out or using it to enjoy yourself.
Recreational Land is a Great Investment
Recreational land is a land whose value rises as you enjoy using it. Recreational land is suitable for different uses, and it can be the right thing for a land investor. Recreational land is beneficial both on a professional and personal level because other than earning from renting or selling it, you can enjoy the space yourself.