Did you know that only 8% of real estate sales are by the owner? This means that when you’re looking to buy land, it’ll more than likely be through a real estate agent.
Are you wanting to find the perfect property for land ownership? In this guide, check out the mistakes to avoid when buying land in New York.
Whether you’re looking to buy land to build your dream home or have land for hunting, you’ll want to read on to avoid making these mistakes, and secure the right property for you and your family.
1. Choosing High-Interest Rates
When first exploring different types of property, you’ll more than likely need a loan to buy the land. Your best option is to choose a lender who offers you a low-interest rate for your loan.
Most land loans will require repayment schedules with a timeline of how long you’ll have to repay it.
2. You Don’t Hire a Real Estate Agent
While you might think skipping on hiring a real estate agent will save you money on buying land-property in New York, it could be a risky decision.
You’ll want a knowledgable real estate agent who is aware of the land, and who will find a property that suits you best.
3. Thinking You’re Able to Rezone Property
There are different codes, zones, and ordinances in place that are made by local governing bodies. These will tell you what you can and can’t build on your land.
They’ll also indicate the requirements to build property on your land, whether that’s a home or a hunting cabin.
Instead of thinking of rezoning land, take your time picking out your ideal property.
4. Not Doing Survey or Environmental Tests
You should never purchase land without having the proper inspections and checks. There are different ecological and survey tests you can have done to know the condition of the property.
It can also tell you whether you’ll be able to build on it or not.
5. Not Having a Title Search Performed
Many who purchase land don’t do a title search since it’s smaller than buying a home. When you don’t close with a title company, you can wind up doing your own research on the county’s website.
You’ll also have to trust what the seller is telling you.
It’s easy to miss something on a county website and wind up buying land with a lien. You’ll also need to hope that the government workers keep all electronic records up to date.
To avoid this, close with a title company for your protection. This will show you the land is lien-free.
6. Not Visiting the Site
Pictures can only go so far, so it’s a good idea to visit the land first. See the land in person with your real estate agent, and if you have any questions, you can ask then.
If there are any potential issues, you can potentially find them while visiting the property. Remember that pictures are always going to show the best parts of the property.
7. Not Having Proper Insurance
Before figuring out your budget for land, you should also consider obtaining the right insurance. The correct insurance will cover your investment in case something ever happens.
Find out what policies you’ll need from your real estate agent. Then, decide if you’ll need extra policies depending on how you’ll use the land.
Title insurance gives you protection with:
- Clerical errors
- Any easement problems
- Forged documents
- Late tax bills from previous owners
- Unpaid mortgage bills
- Claims from previous owners
Tips on Buying Property
While there are plenty of mistakes to avoid when buying property in New York, there are tips you’ll want to follow.
First, you’ll want to find out if the land is in a flood zone. FEMA decides the land that’s considered a flood zone.
If it is, then it can affect your ability to sell it in the future.
Access to Utilities
If you decide to build on the land in the future, you’ll want to determine if there’s access to utilities. Even if you decide to build a hunting cabin, it might be nice to have a working bathroom.
You’ll want to find out if there’s access to the sewer and power lines.
Is the Land on Wetlands?
Wetlands are places where water covers the soil. It can be found year-round, or just in certain periods of time.
These wetlands can help support terrestrial and aquatic species. If there are wetlands, you’ll need to pay wetlands mitigation credits.
If you’re looking to build, wetlands can make that more difficult. You’ll need to work with the government and county to determine what you can and can’t build.
Have Finances Planned Out
Before you purchase the land, you’ll want to make sure your finances are in order, and you can afford it. Many land purchases can be done in cash, so it’s vital you check your bank account first.
You’ll also want to show your proof of funds when you make an offer for the land. Make sure you have what you claim.
Mistakes to Avoid When Buying Land in New York
Now that you’ve explored mistakes to avoid when buying land in New York, you should feel more confident in buying property.
Are you ready to start your search and buy land that suits your needs? Get your hunt on and contact us today!
We’ll go over the available listings and show you a property that can be your dream location. We’ll also go over any questions you might have.