Let’s invest in land! But wait, it’s not so simple; there are many factors to consider before you sign on the dotted line. It is well worth considering consulting with professionals to ensure you’re on the right track and the right piece of land when purchasing. So read on as we explore five red flags to look for when buying land for investment in RI.
Utilities and Access
A huge red flag to look for when buying land for investment in RI is that there is access to the land by road and that all required utilities will have the ability to provide service to the location, which isn’t always a given. You may need to work with neighbors to provide you with entry to your land, which could end up being costly if you’ve already purchased, you’re at the mercy of a stranger. This information is better to know before buying your land and feeling stuck in a bad situation.
Speaking of neighbors, another red flag to look for when buying land for investment in RI is an obvious use of the property by your neighbors, which may give them rights to the property in the event the use of any part of the land has been for a prolonged period. Unpermitted use of the land is one of the reasons we suggest that you or a personal representative always physically observe any real estate before purchasing. You should also pay attention to the smells coming from nearby properties or anything else that could inhibit your full use and enjoyment of the land in the future. You’ll also want to ensure that undeveloped land hasn’t become a local dumpsite for trash. Another aspect of the neighboring homeowners to consider is their attitude towards your proposed land use, especially if you’ll be seeking rezoning and there could be trouble.
One of the big red flags to look for when buying land for investment in RI is the zoning and how it could interfere with your intended purpose for the land. In addition, there are many agencies involved with land and various laws governing land use at federal, state, and local levels. Other concerns are regarding environmental impacts and protected species; for example, if you’ve already done the deal, you’ll own land that you cannot use as you wish.
Another red flag to look for when buying land for investment in RI is an oddly shaped property, the very boundary of which could inhibit your intended use of the property.
Another red flag to look for when buying land for investment in RI is someone rushing you to buy when you’re unsure about land values. It isn’t easy to determine market value, unlike developed real estate, where you can easily compare. An appraisal of the land is a strong backup for the asking price. You should be aware that many experienced professional land investors, like the direct buyers at Ocean State Homebuyers, can provide a general estimate within about 5% of the value off the top of their head.
Don’t risk it! Let the pros at Ocean State Homebuyers help you spot the red flags when you’re buying land for investment in RI. Ocean State Homebuyers makes the process easy, our direct buyers will help you step by step, so you understand the process and feel great about the deal long after closing. And Ocean State Homebuyers has a steady inventory of the best land available for investment in Providence if you don’t already have your land in sight! Let us help you find the best fit for your investment goals. Contact Ocean State Homebuyers today at (401) 290 8784.