I am also looking for investors who might have solutions as well.
Example: The land that I am currently looking at is 40 Acres for $80,000 and is zoned for either Commercial or Industrial
My FLAWED plan is with questions:
1- Find Land to buy (where at?) What would you offer to buy it for? I am thinking about starting at 15% of Asking.
2- Send a non-binding letter of intent, that explains what I am doing also send it with a proof of funds letter from a transactional funding source (Who do you use)
3- Negotiate a price
4- Write up and $10 Option contract
5- Run over to a Title/Escrow office to record it, so the Seller doesn’t try to sell it from under me (Is that the right way to protect me?)
6- Due diligence (What sort of information do I need for land sales? And where are free places to get that information?)
7 Find a REAL End Buyer (Where at?) that will place a non-refundable deposit in to Title/Escrow (What is a good amount to ask for $$$)
8- Notify the Transactional Funding site about both my Seller and End Buyer and that the End Buyer has cash in the Title/Escrow Account (Don’t know if this is the right step?)
8- Close and get paid
9 -REPEAT
Thanks for any Help
Steven-Utah
Hi,
Your idea is very flawed as there is more than one parcel of land available at any given time and presumable the seller is asking market value which means he could borrow $40k to $50k on the property.
Their are 7 stages of land development however only two have real distinctive value which is the entitlement phase and the fully developed phase, the first 5 stages have no value until phase 6 where entitlement is granted. Recorded residential, commercial, industrial lot’s!
On the big national stage there are many, many choices so one 80 acre undeveloped parcel is like a blip on the radar, here one second gone the next.
A local developer may be a potential buyer but local guys are aware of everything around them and trying to take advantage for a quick buck is liable to leave you holding the bag, as a big whale will potentially hold your hand and tell you how much they love you just before dropping your property like a hot rock and filing for land divorce.
When you get big enough to have the capital to take raw land and map and entitle it into a fully developed group of lot’s then you can play with the big dogs but one undeveloped 80 acre parcel is like a dime a dozen!
Good luck,
GR
What are you planning on doing with this land? Did you ever even say?