Most real estate owners have very little experience selling land. As a result, they usually emerge from the sales process having learned a lot – and often wishing they’d have done some things differently to save some money along the way.
In our experience, here are the four areas in which people commonly spend more than they planned in selling their property:
1. Realtor Fees
The average realtor charges 4.5% to 4.9% of the sales price, although sometimes those fees can go higher – especially on deals below $50,000, when fees can go as high as 9% or 10%. Yet there are ways to negotiate lower fees, or even avoid them altogether. It’s helpful to work with a buyer who appreciates this and is willing to work with sellers to lower or cover fees. When working with Solterra Property, you won’t have to worry about these commissions. Real Estate Commission on Land Sales: 5 Facts You Need to Know
2. Time
The sales process has many steps, and getting through each of them requires an investment of time. There’s marketing a property, and having pictures and/or videos done…vetting and hiring the right agents…negotiating with buyers and vendors…doing the proper due diligence and homework before the sale…correctly valuing a property…and much more. Every hour a seller spends on the process is an hour they’d almost always prefer to spend on something else. How to Buy Land: A Step-By-Step Guide
3. Surveys
For properties of any size, it’s important to have a proper survey on file to help identify boundaries, terrain and other key features of the land. A simple boundary survey can cost anywhere from $3,000 to $8,000, and can cost more if additional work or complexity is involved. Like realtor fees, a savvy buyer or third-party can help cover the costs or find ways to have a quality survey done at a reasonable cost. Before Buying Vacant Land: Yes, You Need a Property Survery
4. Closing Costs
Traditionally, when it comes to selling land parcels, a buyer will pay most of the costs associated with closing. Yet some will not, or will expect a seller to share the burden. It’s hard for the average seller to know what a buyer will do, or what questions to ask of them early in the process, to help them know exactly what to expect. Who Pays Closing Costs on a Land Sale? 17 Things You Must Know.
At Solterra Property, we want to help you minimize these costs – and that all starts with knowing the ins and outs of the selling process, having strong relationships across the industry and knowing how and where costs can be cut without compromising deal safety or quality. This is the balance we’re always looking to strike. We want to create and execute deals that produce win-win situations for everyone involved. And we look forward to working with you to do so!
When working with us, there are no realtor commissions, closing costs or due diligence costs. We will take care of all of those!
If you’re looking for more information here is a link to another great article about these unforeseen costs: 4 Hidden Costs of Selling Vacant Land
Solterra Property helps real estate sellers unload their property easily, efficiently and safely. Contact Callan Faulkner and Jon Kattke at 612-662-4542 or [email protected].
