Selling vacant residential land is different from selling a home. The market dynamics for land are not the same as they are for a ready-to-move-in home. You need to understand the key differences first to sell land by owner successfully. Let’s look at them one by one:
Land buyers and home buyers are different categories of people — This is the most noteworthy point. The perspectives, motives, desires, and requirements of these two groups of people are poles apart. A typical home buyer will be looking to move into a home with an inviting living room and a large master bedroom. Their roving eyes will check out the countertops in the kitchen and the dimensions of the guest bathroom.
But a land buyer will focus on the appearance of your land and its location. Whether the buyer is an individual or a developer, the first thing they look at is if your land can be customized to fulfill all their needs. For instance, a developer may be interested in whether they could fit in a set of condominium units on your parcel of land. And an individual will look closely to see if there are remnants of an old building, which could cost them money to clear.
The market for land is sluggish when compared to the market for homes — The market for homes—never mind their condition—has been vibrant during the past two years. In 2020 and 2021, home foreclosures have been at record lows. At the moment, one thing is certain—it’s a home seller’s market. We have more buyers chasing fewer homes.
But the scenario with vacant land isn’t the same. Few individual buyers are willing to buy vacant land and build a house on it. So you begin wondering, “Are there no buyers? How to sell a piece of land to the owner?” It’s indeed a challenge. These days, it’s so much easier to get a mortgage on a home than a loan for buying land and another loan for building a house on it. The reason is bankers are reluctant to finance a future home. They are looking to put their money on an existing structure. And you can’t blame them for playing it safe during these times of the raging pandemic.
How to sell your land by owner?
You need a different sales approach — Homes have curb appeal. The landscaping also looks awesome, and the visual facade is pleasing and photogenic. All these features are on the outside. On the inside, the living room, kitchen, bedrooms, and bathrooms complete the whole package. A home buyer walks through each room before they buy a home.
But a land buyer would need a fertile imagination to build these features in their mind first and then translate them into reality. Selling vacant land can take much longer than selling a house. Hence, as a landowner, you need patience. You might get frustrated and ask yourself repeatedly, “How to sell vacant land to the owner?” No matter your current situation, the 5 ways detailed below will help you sell your land easily.
#1: List Your Land on Craigslist
I put this first because it will take you only a few minutes to list your land on Craigslist. You can post a for sale by owner (FSBO) listing on Craigslist, and you can choose either of the two options—Free and Paid. Paid ads on Craigslist are relatively inexpensive.
People use Craigslist to find jobs. They use this website to find cars. And they even use it to find their dream homes. The main advantage of using Craigslist is the traffic on this website is high—an astounding 50 billion page views each month. You can sell anything on this platform, and it is rightly considered a real estate hub.
To get started, all you need to do is click on “property offered” first. In the next step, you optimize your ad with a compelling headline, picturesque photos, and captivating copy. There’s an important rule you must follow. Since Craigslist lists ads chronologically, you’ll need to delete your old ad and repost it twice or thrice a week to keep your posting fresh. But will listing your land on Craigslist help you sell it? Let’s look at the pros and cons.
Pros of Listing Your Land on Craigslist
- You can save a lot of money, as you’ll avoid paying the mandatory 6 percent real estate agent commission by selling your own land.
- Your listing has a wide reach.
- It’s fast, inexpensive, and easy to post your land for sale advertisement.
Cons of Listing Your Land on Craigslist
- Without the assistance of a real estate agent, you’ll need to do all the work yourself—create the ad, upload the photos, continue to repost, attend to responses, and show the land to prospective buyers by yourself.
- The number of scammers on Craigslist is high.
- Getting a serious buyer on Craigslist is tough. And even if a serious buyer were to come by, it would take a few to several months to close the deal, as the buyer may not have cash on hand.
- Craigslist has numerous safety concerns.
#2: List Your Land on Facebook
Land buyers go online first to find the land they want. According to the National Association of Realtors (NAR), an overwhelming 43 percent of buyers start their search online.
The younger generation uses the internet for all their activities, and buying land is no different. That’s the reason it makes sense to list your land on Facebook. Almost 70 percent of adults in the US are already on Facebook, and they use the platform for various purposes. As Facebook reaches a majority of the population, it is vital for real estate advertising. The downside is you don’t have the Free option on this platform. But will a paid listing of your land on Facebook help you sell it? Let’s look at the pros and cons.
Pros of Listing Your Land on Facebook
- Unique targeting options are available for property advertisers.
- You can test ad creative options before you run a campaign.
- You can target people who searched for a similar listing in the past.
Cons of Listing Your Land on Facebook
- Ad spend could spiral out of control if you are not careful.
- Constant need to refresh the various elements of your listing.
- You need to choose the correct ad delivery optimization all the time.
- Constant need to monitor your ad relevance score.
- People are suffering from ad fatigue during the extended pandemic.
#3: List Your Land on Zillow
In the real estate universe, Zillow is a powerhouse—both for land buyers and land sellers. On this user-friendly platform, land buyers need to create an account first. They can then set the criteria that fulfill their requirements and save searches of lands for sale. Zillow sends them alerts whenever a new listing meets their criteria. So as soon as you list your land, land buyers who are looking to buy a plot of land that is similar to yours will receive alerts from Zillow.
The main advantage of using Zillow to sell your land is this platform is free to both buyers and sellers. And since Zillow focuses on real estate, it’s much better than Craigslist and Facebook. You’ll get better-qualified leads, and your chances of finding the right buyer are higher.
But the problem is, as I already said, few people want to start the home building process from scratch. People don’t have the time or patience to do so much work. They find it a lot easier to move into an existing home. Since the market is so narrow, trying to sell your land can be quite a task. Hence, you’ll need to prepare yourself for the demanding and turbulent road ahead.
Pros of Listing Your Land on Zillow
- You can search and compare the price of similar land plots located near yours and set the price for your land accordingly.
- You get to pocket the 6 percent real estate agent’s commission if the buyer doesn’t have an agent too.
- You might get lucky and find the right buyer and sell your land at the highest possible price and maximize your profit.
Cons of Listing Your Land on Zillow
- You need to be prepared to answer calls from numerous real estate agents who’ll try to solicit a listing.
- You need to price and negotiate the listing of your land all by yourself.
- You might not be able to find the right buyer even after waiting for several months. As a result, you might end up selling your land for a lower price. Hence, you might fail to sell your land at the highest possible price and fail to maximize your profit.
#4: List Your Land on FSBO.com
Unlike Zillow, FSBO.com is not free. An FSBO package for listing your land on FSBO.com will cost you $99.95 for six months. If you fix the right price for your land, you shouldn’t have any difficulty in finding a buyer within this period. The FSBO package on this platform also includes limitless photos and one video upload, as well as 24/7 access to edit or cancel your listing at any time.
But selling your land on this platform within the first few weeks or months after listing boils down to one thing—setting the right price for your land. If you make the mistake of setting your price several thousand more than the comparable listings in your neighborhood, no buyer is going to contact you. I’d suggest you follow one simple rule when it comes to selling land. Price your land slightly higher than what you are willing to accept. This will allow some room for negotiation.
Pros of Listing Your Land on FSBO.com
- You might be successful in maximizing your profit, especially if you fix a price that is too high and yet manage to sell your land to an eager buyer.
- You act as your own agent, minimizing misunderstandings or disagreements with the buyer and their agent.
Cons of Listing Your Land on FSBO.com
- Unlike selling a home, selling land is tricky. If you’re not familiar with the most recent market trends, you’ll need to hire a professional to set the right price for your land, which will cost you money.
- Finding an optimal price for vacant land is an art. Identifying the right balance is very tough. If you fix a high price, buyers will simply not contact you.
- The opposite of the above point is also true. If you set a low price, you miss an opportunity to maximize your profit.
#5: Sell Your Land Directly to a Real Estate Investor
In all the four ways we have seen so far, some factors are common and unavoidable—jumping through several hoops and uncertainty. You have no control over when the deal will be closed and when you will get cash for your land. The timeframe could be a few months or several months.
Enter the real estate investor.
The biggest advantage of selling your land directly to a real estate investor is you can say goodbye to uncertainty. The other thing is a real estate investor will buy your land as-is, so you don’t need to spend a cent on cleaning up your land.
When you sell your land on your own, there’s a lot of complicated paperwork to handle. You are dealing with two more people—the buyer and their agent. You’ll not only need to read a lot of documents but also sign on a lot of dotted lines.
But selling your land to an investor is simple. You can avoid jumping through so many hoops since an investor buys directly from you. There are no intermediaries, and the amount of paperwork is reduced significantly. Moreover, you don’t need to worry about the paperwork, as the investor will handle it.
Pros of Selling Your Land Directly to a Real Estate Investor
- You are selling at a discount for the speed and convenience of getting the property sold quickly.
- A real estate investor will pay cash for your land and close the deal fast. Selling your land to an investor can make a huge difference if time and money are important to you.
- The market conditions don’t matter. An investor will buy your land whether the market is up or down. Often, when the market is down, no buyer will show up. At such times, you can count on an investor to buy your land.
- You can sell your land at the price you want. The entire process is simple. The investor will first give you a quote for your land. You can consider their offer carefully, and you don’t need to make a rushed decision.
Cons of Selling Your Land Directly to a Real Estate Investor
- You may not get the highest price but the slight discount might be worth it if you want to sell fast.
At Home Seller Heaven, you can sell your land to us fast and put an end to uncertainty. You don’t need to list your land through a real estate agent and wait for weeks and months for a buyer to show up. We are the buyer, and we close the deal within 10 business days.
There will be no more interruptions to your daily schedule. You no longer need to show your land to a potential buyer every time they call you. And you don’t need to reschedule your other commitments to set up an appointment with a prospective buyer.
If you are no longer interested in putting up with the hassle of owning that land, and if you don’t want to be bothered with the inconvenience and time-consuming expense of selling your land the traditional way, inform us about the land you want to get rid of and sell your land fast for cash.
Submit your property information by calling us now on (305) 209-5230. Or, fill out the form below.