Thinking about selling land? You might be surprised to learn that selling land is not like selling a house. In this blog post, you’ll read about why selling land is different than selling your house in MI…
When you own a property, you might not give a lot of thought to whether it has a house on it or if it’s just raw land. However, there are differences and they can affect the sales process. Here are 4 reasons why selling land is different than selling your house in MI.
#1. You’ll Need a Geological Survey
When selling a house, the focus is primarily on the structure, but with land, it’s all about the property’s suitability for the buyer’s intended use. Buyers might be interested in developing, farming, mining, or recreational use, so they’ll often want detailed geological information about the land.
- Examples:
- A developer may want to know the soil’s load-bearing capacity for construction.
- A farmer might require information about soil quality and water availability for irrigation.
- A recreational buyer could be interested in terrain stability or if the land is prone to flooding.
- Tip:
Have surveys ready, including soil samples, water availability tests, or grading reports. Highlight these in your listing to attract buyers. For example:- “This property has well-drained soil, making it perfect for agricultural use.”
- “Land survey confirms stable terrain and clear zoning for residential development.”
#2. You Can Skip the Structure Inspection
With a house, inspections focus on the integrity of the structure—plumbing, electrical, roofing, and potential hazards like mold or termites. With land, none of these factors are relevant because there’s no structure to assess.
- Examples:
- There’s no need for a roofing inspection, but you may need to provide information on flood zones or utility access.
- Instead of a home inspection, buyers may ask about zoning restrictions or environmental regulations.
- Tip:
Save time and money by avoiding structural inspections and instead focus on presenting clear information about the land’s condition and usability.
#3. You’ll Need to Identify the Development Potential
Selling a house is about creating a vision of a lifestyle; selling land is about creating a vision of opportunity. The key to selling land is helping buyers see its future potential.
- Examples:
- If the land is close to a growing urban area, emphasize its future development potential:
- “Located just 10 miles from the city center, this land is ideal for a residential community as the city expands.”
- For agricultural purposes, highlight what the land can produce:
- “Rich, fertile soil ready for farming or a vineyard.”
- Recreational buyers may be drawn to features like privacy, views, or proximity to natural attractions:
- “Perfect for a secluded cabin getaway, with stunning views of nearby forests.”
- If the land is close to a growing urban area, emphasize its future development potential:
- Tip:
Use visuals like drone photos or renderings to help potential buyers envision the land’s possibilities.
#4. It’s a Different Type of Buyer
Selling a house usually involves finding a “retail buyer” who plans to live there. Selling land attracts different buyers based on their goals.
- Types of Buyers:
- Recreational Users: Buyers looking for a space to hunt, camp, or build a second home.
- “Ideal for outdoor enthusiasts – this property offers privacy and scenic views for weekend getaways.”
- Investors: Buyers looking for land that will increase in value or generate income through development or farming.
- “Prime development opportunity in a rapidly growing area.”
- Specialty Buyers: Buyers with niche needs, such as solar panel installations or mineral rights.
- Recreational Users: Buyers looking for a space to hunt, camp, or build a second home.
- Tip:
Tailor your marketing to the type of buyer most likely to purchase. For example:- If targeting developers, mention proximity to utilities, major roads, or city plans for nearby growth.
- If marketing to farmers, emphasize soil quality and water availability.