Who Buys Land?

There are two types of real estate buyers out there: one who wants to buy a property with a house already built on it and one who is ready to go through the arduous but fulfilling process of building in order to achieve the home that they want. These two markets are totally different since they both have specific requirements that are unique to each other.

For someone selling raw land, your effort will be much harder compared to selling already developed properties. The market is kinder to those developed properties since there exists a higher number of potential buyers looking for homes. But don’t be disheartened, there are a lot of ways that you can sell raw land.

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Home Buyers Vs. Land Buyers

Families looking to buy a home do so because of this primary reason: convenience. Once approved by any financial institution, the process typically takes just months for a buyer to move into a new home. The process can further be streamlined by getting help from qualified real estate agents. Even though buying a house comprises a lot of steps from financing, viewing, and making offers, up until closing, the thought of not having to go through building a house from scratch makes this option much more compelling for many starting families.

Buying land on the other hand is a totally different scene. Unlike buying a house where the buyers can actually see the property that they will potentially move into, vacant land is just land, sometimes even plain and barren.

That is why the land market is more appealing for people who are not in a rush even though they are just starting to settle down. Of course, each buyer has their own preferences and plans for a property. Land buyers typically have their whole future for development entirely mapped out before they even start to inquire about land listings. Building a tiny home with sustainability in mind might be a good reason or a farm in the countryside perhaps. Either way, land buyers are different from home buyers in the sense that they should be able to afford more expenses in developing the property and building the house that they want.

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Who Are The Usual Buyers of Raw Land?

So let’s dive deeper into raw land buyers. We cannot give you a specific demographic of people who have a high potential to buy a vacant property but what we're trying to list down is a set of traits that is most commonly attributed to people who has a higher chance of buying vacant land.

1. Families who are just starting out - While it is true that buying raw land means exerting extra effort compared to buying a fully built house, new families typically have the flexibility and time to be able to build a new home from scratch. Not to mention that they also have the willingness to wait for the long process of construction in order to achieve the home of their dreams.
2. People who advocate sustainability - Most new homes built nowadays are more focused on sustainability. Think solar panels, water recycling, and the like. You cannot simply implement these features to houses that are already built, so if someone is big on sustainable energy sources, you can almost always be sure that they would want to build an off-the-grid home, therefore will certainly require vacant land.
3. Retirees building a vacation home - For retirees who want to settle down in an amazing location, most of the time, building a new home is always the only approach. These people will be lucky if they will be able to find a home that they can live in that meets their needs while being in a location that they want.
4. People looking to build a farm - Ranches are a unique kind of property that needs a lot of consideration, especially with zoning. That is why most farm owners always have to look for land first before building a structure if they plan on being full-time farmers.

These are just some of the most common groups of people who have a high chance of buying raw land. The common denominator among them is that they are willing to spend time and effort in building a house rather than buying something that is already made for them because of their unique needs.

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How To Sell Your Land

Selling vacant land has its challenges compared to selling a fully developed property. Challenging, yes. Impossible? Definitely not. There are a lot of ways that you can sell your vacant land and here are some tips that we learned from our experience.

1. Real estate agents - Always look for real estate agents who have experience in selling raw land. If you can, try to negotiate with them to ideally set the commission at 6% or lower.
2. Sell yourself - If you are up for the challenge, selling yourself is also a great way to find a buyer for your property. You have to keep in mind that it will take a lot of time and effort but if you’re willing to learn the process, it can be a fulfilling experience. You may read our article on selling land by yourself to have an idea of what the process looks like.
3. Sell to land companies - Probably the easiest way to sell your land is through land companies, like us here at Land Boss. You can connect with us anytime, and after our evaluation, we can buy your property in cash! The only bit of sacrifice that you have to do is you have to sell your property at slightly lower than the market value. We have to do this in order for us to recover our costs in finding a buyer for your property (which can take years) and earn a little profit. But if you’re someone who is in a rush and wants to sell immediately, we’re your people!

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Bottom line: There is a Market for Raw Land

Even with the usual difficulty of selling a property that is raw, it still does not mean that it is an impossible thing to do. It can take a few months or even years to do, but it is certainly not impossible. Finding the right people who can be your potential buyers and preparing an exhaustive marketing strategy are the top things that you should prepare to be able to sell your property in no time.

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