how do developers usually purchase land? what i’m asking is, when a home developer wants to purchase land from you, what is the most appealing way for them to acquire property? [other than obvious - cheapest price]
hope this question makes sense. like, do they prefer some kind of seller financing, i.e. they pay X with interest after they build and sell?
Depends on the developer. Huge developers have their own money/private investors and have huge lines of credit available from banks that want their business, and they are usually very attractive interest rates. I don’t think an established developer would need owner financing.
Another way they may structure it is with an option to purchase. Developers have to look way out in the future, like 5 - 10 years, and project what the housing growth rate will be. They may want to option the purchase, depending on their overall status of their land portfolio.
we’re talking a sale price of less than 13,000…for one lot…residential
so i mean, it’s not like i’m selling 10 lots for a million.
i put in the ad “seller financing available”, but i wasn’t planning on a developer being interested in that.
and honestly, i did not put it in there thinking anyone would be interested in seller financed land deal with PP of less than 13k…
i don’t think i’d be interested in any option deal. if they (or anyone else) wanted to finance it, what would you suggest an appealing deal would look like?
the process would be something like?
reason i’m asking is because i’ve never sold any seller financed property. (i know i know, then why the hell did i put it in my ad - i want to learn the process)