Have you always dreamed of purchasing a plot of land and building your dream home? Whether you’re a budding micro farmer, seasoned rancher, or simply want a home designed exactly for your needs, purchasing land can help you realize that dream. If you’re wondering whether to buy land, we’ve created this guide to help you make an informed decision.
How Do You Pay For Land?
Typically, the best way to buy land or buy a home in Ohio is with cash. This is especially true if you plan to build a house. Financing both a land purchase and home construction can be problematic. In addition, construction loans are often short term and must be converted into a “permanent loan.” Having to take two loans out can also mean paying double the loan expenses. With this in mind, paying for the land in cash is preferable to financing.
How Do You Find the Best Piece of Land?
When it comes to land, quality counts. Where land is located ultimately determine its desirability and value. If you’re simply buying a plot in a new construction subdivision, your decision will be relatively straight forward. However, buying land elsewhere means you’ll need to evaluate it as a developer would. Even if you love the idea of living off the grid, you’ll still need to consider utilities and resale. You should consider the property’s proximity to highways, grocery stores, schools, emergency services, and gas stations.
What Is Land Zoning?
City, county, and state zoning ordinances can heavily impact what you can and can’t do with a plot of land. For instance, if you have dreams of setting up a micro-farm, it’s crucial that you confirm there are no zoning ordinances that make it impossible. In addition, land development plans can give helpful insight into the future value of the land. For example, a new highway could have a positive impact on land value. In comparison, plans to build a dump nearby would likely reduce land value.
How Do You Know What Land To Buy?
The ideal type of land depends on what you plan to do with your land. Land topography relates to the type of soil, amount of foliage and trees, bodies of water, and the elevation of the terrain. If the land is uneven or in a flood zone, the construction will likely be more costly. Alternatively, if you plan to operate a farm, you need to ensure the soil is of good quality and free of contaminants.
What About Utility Services?
Very few people can live comfortably without modern utility services. If the land doesn’t have access to city water and sewage systems, or electricity and cable lines, you’ll have to create your own access. This means investing money and could take significant time. Before deciding to buy land, it’s crucial to evaluate the existing utilities.
Is There Easy Access?
Accessing land can be a tricky game. This is especially true if the roads leading to the land are located on someone else’s private property. In this instance, you’ll have to negotiate with the landowner to create a legal easement to a property. A title company or real estate attorney will be able to advise you and guide you through the process. It’s important to remember that legal permission to use another’s road will probably mean shared road maintenance costs, as well as legal expenses to pursue an easement.
How Do You Prepare Land To Build?
Depending on the type of land you purchase, it may need lots of work to get it ready for building. This is especially true if the land is entirely undeveloped. In addition, if there are no clear spaces on the land, you’ll also have clear trees to make room for your construction. It’s essential to consider the cost and time involved in making land buildable. Even demolishing existing structures can make a sizable dent in your budget. Doing your due diligence and preparing for every eventuality will ensure you don’t face any unexpected surprises.