fbpx
Click here for a FREE guide Simply Selling FAQs!

Vacant Land

Let’s Talk Title Insurance

A title search is a crucial but behind-the-scenes part of the home buying process. I’ve asked a local title insurance expert what buyers should know about their services — and the valuable role they play in keeping buyers safe.

Q: First off, what is title insurance? 

A: Title insurance protects you and your mortgage lender from loss — and headaches — if your seller doesn’t own the property outright. ⁣

Q: How does title insurance protect you? ⁣

A: Title insurance protects you from financial loss in the form of: ⁣

  • Deeds by minors or by persons of unsound mind
  • Deeds by persons supposedly single, but in fact, married
  • Fraud⁣
  • Forged deeds or wills
  • Liens
  • Misinterpretations of wills⁣
  • Unpaid taxes or inheritance⁣

Q: What is a title company? 

A: The title company confirms that the title to the real estate property is legitimately given to the purchaser of the property. Typically, the title company conducts the closing on the home and verifies that the seller has the rights to sell the property.⁣

Q: What does a title company do?

A: Since a clean title is required for every real estate transaction, title companies complete a search on every title to check for claims or liens before a new title can be issued. Without title insurance, buyers could be liable for monies owed on the home long after closing.

Q: How much should title insurance cost?

A: The cost of title insurance ranges between $500 and $3,500, depending on where you live, the provider you choose, and the purchase price of your home.

In most cases, the title company works quietly behind the scenes, making sure everything is set for a smooth transaction. No news is definitely good news. ⁣ Have questions about the buying process? Don’t hesitate to reach out – I’d love to help out.

Thinking About Building Your Dream Home? What to Know Before Starting…

You’ve decided you want to build your dream home. Now, you need to hunt down and snatch up that perfect piece of paradise to call home. Here’s how to go about finding just the right spot:⁣
⁣
Consider the general layout of the home you want to build. Sprawling ranch? Front-porch farmhouse? Two-story bungalow? The lot you choose should complement the home you envision.⁣

Save time by narrowing down where you want to live. Then research available lots in those areas.⁣

Link arms with an agent who knows local builders and can help assess a lot’s potential. You want to be well-acquainted with a lot’s slope, drainage, and utilities.⁣

Check with the local zoning office about the land you’re interested in purchasing. Pay attention to surrounding land as well and try to weigh what future zoning and construction will happen in the area. Your agent can help!⁣

If you’re looking to buy in an established neighborhood, research minimum square footage or building materials requirements. Ask about HOA fees or restrictions that could limit your number of pets, vehicles, or home additions down the road.⁣

Meet with reputable lenders familiar with construction loans to learn your financing options.⁣

Work with an agent to write and negotiate an offer.⁣

Attend your closing and break ground!⁣
⁣
If you’re leaning towards new construction, but haven’t found the right lot, I’d love to help. Send me an email and let me know what you’re looking for – zip code, school district, acreage, etc. As I chat with my network of agents and hear about lots, I’ll reach out – you’ll be one of the first to know! I can also set you up to receive email alerts the second a listing hits the MLS that fits your wish list. Can’t wait to hear from you!⁣
⁣

The Do’s and Don’ts of Buying Vacant Land

The Do’s and Don’ts of Buying Vacant Land

Do work with an agent to find the land. Your real estate agent can help to research the property and make sure that you are making a safe investment. Buying vacant land is different than buying a home; work with an agent who knows what questions to ask and knows how to negotiate on your behalf.

Building a custom home is hard work that is rewarded when you move into the home of your dreams. The first step is finding the perfect lot to build on. Before you purchase a lot to build on, be aware of these do’s and don’ts.

Do have your finances in order. You will need to have proof of funds for the purchase amount, so make sure you understand what you can afford to spend on your lot.

Do find out what utilities service the area. If you are looking outside of a developed area, you need to know what utility services are available already, or if any infrastructure needs to be added.

Do find out if incentives are available. In areas where natural disasters have occurred, local governments may offer incentives for building where previous homes have been destroyed.

Do visit the tax assessor’s office. The tax assessor will be able to tell you the estimated value of your lot as well as your projected property taxes.

Do price the neighborhood. Your agent can help you with a market analysis of the surrounding homes. You don’t want your home and land cost to be vastly higher than the rest of the neighborhood.

Don’t expect to finance your lot. Lenders often don’t lend money for vacant land, and if they do, they may only lend up to half the land value. This is why it’s so important to talk to your financial advisors before you start looking.

Don’t skip the soil tests. You should have the soil tested to make sure there aren’t pollutants or foreign materials buried beneath the surface. If you will have a septic sewer system, you will need a percolation test to make sure the property is fit for a septic tank.

Don’t forget to get a survey done. Before you purchase the lot, ask to see a recent survey or have one done to validate property lines and make sure other neighbors aren’t already encroaching on the lot with access roads, fencing, or structures.

Don’t let neighbors know of your plans. Don’t get too friendly just yet. If the land you plan to build on has been enjoyed by nearby property owners for the view, for parking, or for recreation, your plans to build may be met with resistance.

Don’t assume you can have property rezoned. Make sure you know the property zoning regulations for the property. If you are in a rural area and plan to have chickens or horses, make sure that is permitted. Be wary of sellers who tell you that you can subdivide the land or build two homes on one lot, as this may not be the case.

Don’t rely on a drive-by. You need to walk the property, no matter the size or your plans for its use. If you are buying multiple acres, don’t assume that the topography is consistent throughout with no hidden problems. Things to check for include flood-prone areas, environmentally protected-animal dwellings, trash deposits and neighbors that are involved in activities that may affect your enjoyment of the property, such as dog kennels or shooting ranges.