Tips on Buying Land on a Budget

Tips on Buying Land on a Budget

First things first, time to make a list…
The first thing you need to do is decide how much you can afford. Your budget is a big decision! Be realistic about how much you can afford. Many people purchase land and then slowly pay it off before building a house on it. Some people may live in a small trailer on their land while they pay it off. Others save up and pay cash outright for their land. Did you know that land loans and construction loans can be rolled into one if you’re prepared to begin building right away?
After you get your budget figured out decide on all the other factors. How much land? 1/4-acre, 1 acre or more? Decide on what you want the land for. Do you want to have animals? Do you want some pasture land! Do you just want a small backyard? A garden? A pool? Write down on paper your “dream” lot of land. Once you have your budget and your dream lot you can start researching to find your land.

Things to Consider When Buying Land

BE PRE-APPROVED FOR A LAND LOAN: Have a land loan pre-approval letter ready (unless you are paying cash) so if the perfect lot in your budget comes up you can be ready. Great deals go super quick on land sometimes.

DRINKING WATER: consider what kind of drinking water the lot has. Whether it’s city water or if you must drill a well. You can search your county listing for well listings of properties near yours, how deep their wells were and the pressure they get. Then take that average and contact a well driller for an estimate. Water development can cost a pretty penny so add that into your budget.

SEPTIC SYSTEM OR CONNECTING TO CITY SEWER: Something to consider before you buy. If you need a septic system get a quote on how much it will cost to put that in. If you need a specialized septic system costs can be a lot more.

ELECTRICITY: Check to see if you have a connection to electricity or not. If you are far away from any power poles or boxes it could be an expensive addition.

STICK TO YOUR BUDGET: It’s important to be smart and realize how much you can afford and not be swayed by higher priced lots. Be wise and stick to your budget.
Some Places to Look for Land

REAL ESTATE LISTINGS: Keep an eye out for new land listings in your budget. You may even call a real estate agent so they can know you are looking and contact you right away if something is in your budget and meets your dream land list.

DRIVING AROUND: Sometimes if you just drive around the areas on your list and look for land for sale by owner signs you may find what you are looking for!

CRAIGSLIST: Search for words like “land” or ”Iot” or “acres” and scroll through it all. When people list land for sale they don’t always categorize them into the land for sale area, it is better to search using keywords instead of always in the land for sale category.