Buying hunting land: the how to's?
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Buying hunting land: the how to's?
I'm not really sure where to start this conversation as my mind is racked right now with thoughts but long story short I have access to about 50 acres of woods and the owner who is a single lady has mentioned about wanting to sell at some point and is giving me first chance.. without getting into financial talk, what is the best approach to getting my "purchase foot" in the door without stepping out of line with questions, assumptions etc etc. I have never bought hunting land and want to pick the brains of some who have. Is there any more I can do besides wait? Thanks
- ThePreBanMan
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Re: Buying hunting land: the how to's?
If she is selling. Ask her how much? Then of you like the price and can afford, buy it. No different than any other real estate transaction. Get pre-approved if you need to finance, etc...
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Re: Buying hunting land: the how to's?
Sorry should of clarified. There wasn't a time line just came up in conversation. I am unsure how to pursue this. Example is i could ask how much and make her mad if she isn't thinking to sell for say 5 years but at same time i could not ask and have her forget etc. I have bought a house through an agent. I've not played the game of cat and mouse with a private sale especially with land
- justdirtyfun
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Re: Buying hunting land: the how to's?
Have your financial end ready. Keep in the circle with appropriate calls or visits.
Find out how she wants the land treated so you don't say anything negative in her perspective.
Owning land is a challenge that I dream about, good luck.
Find out how she wants the land treated so you don't say anything negative in her perspective.
Owning land is a challenge that I dream about, good luck.
You don't have to be the best, just do your best.
- Hawthorne
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Re: Buying hunting land: the how to's?
Let her know your interested when she decides to sell. Sellers will contact potential buyers first before they put it up with an agent.
- Lockdown
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Re: Buying hunting land: the how to's?
I'm not an expert on land transactions but I do know you'll want to keep an agent out of the equation if possible. She may not know the crazy prices that some hunting properties go for, but real estate agents do! They earn off commission and will probably want to put it up for auction. Not sure what your financial situation is but have fun competing with doctors and lawyers in an auction.
The only time I've dealt with this was about 15 years ago. Couldn't strike a deal quick enough (dad was dealing, not me) and the landowner put a "hunting land for sale" ad in the star tribune. Game over. Hunting land is a hot commodity these days.
I definitely wouldn't wait the situation out...
The only time I've dealt with this was about 15 years ago. Couldn't strike a deal quick enough (dad was dealing, not me) and the landowner put a "hunting land for sale" ad in the star tribune. Game over. Hunting land is a hot commodity these days.
I definitely wouldn't wait the situation out...
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Re: Buying hunting land: the how to's?
I would do my research and find out what I value the land at. If It is then a matter of preparing yourself financially, will it be cash or finance? Banks do not like recreational land loans they normally want a large percentage down and prefer higher adjustable interest rates.
Once you have money figured out on your end, tell her you are very interested in purchasing the land. If her asking price works for you I would sit down with a contract attorney and prepare an official contract. Cover everything that will stay or go with the land and every possible small detail.
Make her provide an owners title insurance policy that states clear title to the land. Make sure nobody holds any special easements or rights to the minerals etc.
This is all easily done without a real estate agent.
Once you have money figured out on your end, tell her you are very interested in purchasing the land. If her asking price works for you I would sit down with a contract attorney and prepare an official contract. Cover everything that will stay or go with the land and every possible small detail.
Make her provide an owners title insurance policy that states clear title to the land. Make sure nobody holds any special easements or rights to the minerals etc.
This is all easily done without a real estate agent.
- ThePreBanMan
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Re: Buying hunting land: the how to's?
Keeping a realtor out of the equation is a good idea if possible. They take a cut from the sale price - which the seller typically pays. I'm sure if the potential seller is a property owner she already knows this. So there is some motivation to not have a selling agent. Especially since no listing/work would be required. It's now just between you, her, maybe a bank, and a lawyer. Once a selling agent is involved - expect the price to get jacked. They work to advance their own best interests - which is getting the maximum price. One could argue that is also in the seller's interest - but not always. After the realtor takes their cut the seller may end up with less then if they just sold it themselves for a lesser price. Of course the selling agent never tells the buyer that.
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Re: Buying hunting land: the how to's?
Good info guys. I feel as though I am in a strong spot as she has stated she likes the idea of the land going back to someone with a genuine interest and not a stranger. This I hope is a sign of not needing to worry about a agent. A question that would come up is obviously what the dirt is worth. It's hill country, nasty deep ravines and would be hard to be logged etc. I have said I am interested. Maybe I should sit down with her and give reasons why etc? I'm not sure.
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Re: Buying hunting land: the how to's?
I'm in the Real Estate business 25 years now and I'll tell you Hawthorne, Lockdown and PreBanman are giving good advice. I would indicate your interest and try to gently feel her out as for the time frame she's thinking. Don't be aggressive. If you don't have cash (and who does for this type investment) Line up financing definitely but also float the idea to her she can save and earn a lot of extra money in her pocket (saving taxes and making interest) by owner financing to you. IF (and it's a huge IF) she bites on that, You'll save a ton of hassle trying to finance hunting land. Banks typically want at least 30%, sometimes 50% down payment to finance recreational land, and that's the ones that'll even consider it, many won't. (they typically want a developed asset or land that'll be developed shortly, they DO NOT LIKE raw land.) Do you know anything about her financial condition, tax bracket etc? That information would be helpful in preparing a benefits list for her to consider financing it for you. I'd help you do the analysis, just to help a fellow beast member. Above all be nice to her, fair and try to do something before she let's the cat out of the bag to the general public!!! I know many people who lost their place to hunt because the owner had a casual conversation to somebody else.
- Wlog
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Re: Buying hunting land: the how to's?
hunter10 wrote:Good info guys. I feel as though I am in a strong spot as she has stated she likes the idea of the land going back to someone with a genuine interest and not a stranger. This I hope is a sign of not needing to worry about a agent. A question that would come up is obviously what the dirt is worth. It's hill country, nasty deep ravines and would be hard to be logged etc. I have said I am interested. Maybe I should sit down with her and give reasons why etc? I'm not sure.
If she mentioned it to you then it sounds like she is trying to feel out if you're interested or not. I may be reading it wrong but sounds like she is considering selling in the near future. As long as you're not too aggressive about it I don't think it would hurt anything to let her know you're interested and ask if she has an put any thought into an asking price.
Trust in the Lord with all your heart and lean not on your own understanding.
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Re: Buying hunting land: the how to's?
Good info guys I appreciate all of it. I guess I didn't mention she lives there so it has a house. Does that make the financing easier so to speak compared to getting approved for just recreational land? There are a bunch of aspects of that property that play in my favour and against hers in regards to what it's worth. as for say a benefits list.. is there some type of list I should present her for the pros and cons to her land as I see it being valued or is that kinda like saying you have a nice car but the colour sucks?
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Re: Buying hunting land: the how to's?
hunter10 wrote:Good info guys I appreciate all of it. I guess I didn't mention she lives there so it has a house. Does that make the financing easier so to speak compared to getting approved for just recreational land? There are a bunch of aspects of that property that play in my favour and against hers in regards to what it's worth. as for say a benefits list.. is there some type of list I should present her for the pros and cons to her land as I see it being valued or is that kinda like saying you have a nice car but the colour sucks?
I wouldn't go too heavy with the cons because people who have lived on a parcel of land longterm often feel a connection to it. You may also wish to ask her if there's anything she would like to see "live on" in the land, such as a particular grove of trees she may have planted or just simply liked, etc. If she feels a connection, knowing you plan to be a steward of the land may keep her from talking with other potential buyers.
- Killemquietly
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Re: Buying hunting land: the how to's?
Yes it absolutely matter if theres a house on it. It's exponentially easier to finance, assuming she's letting the house go. (some people get worn out with land and want to keep the house and one acre and sell the rest, I see that all the time). Steve Heiting made a good point too, don't beat her up with negatives, and a lot of times if people feel you will "honor" their land by keeping certain features, trees etc, just like he said, they will feel alot better about parting with it. By feel her out, what I meant was to find out if you guys are on the same page financially speaking. It's no good if you're thinking $50k and she's thinking $500K.
- Boogieman1
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Re: Buying hunting land: the how to's?
I had a co-worker years ago who just asked if they would consider a lease to own. Apparently the owner didn't really need the money and the co-worker was the luckiest guy I have ever seen but it worked out for him so I guess it never hurts to ask. My dad has a friend who just baught 300 acres, he leases it out to 5 hunters who pay more than the mortgage, once they pay it off for him he plans on giving em the boot and have a place he never paid a dime for.
Life is hard; It’s even harder if you are stupid.
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