Are you considering purchasing land to build your dream home or invest in real estate? Buying land can be an exciting and rewarding venture, but it’s also full of complexities that can trip up even seasoned buyers. That’s why I sat down with Joshua Dimond of NoCO Custom Homes for an insightful interview on the process of buying land. Together, we explored the ins and outs of land acquisition, zoning, utilities, restrictions, and the common pitfalls to avoid.
Here’s a recap of our discussion to guide you through the land-buying process:
Why Buying Land Is Different from Buying a Home
When you buy a home, most of the key features—like structure, utilities, and landscaping—are already in place. Buying land, however, requires more foresight and due diligence. You’re not just purchasing a piece of property; you’re investing in its potential, and that potential hinges on several factors, including zoning, access to utilities, and any restrictions tied to the land.
The Importance of Zoning
One of the first things to consider when buying land is zoning. Zoning laws dictate what you can and can’t do with a property. It's important to researching local zoning regulations to ensure the land aligns with your goals, or hire a professional like us at NorthStar Realty, to do that for you!
Utilities: A Critical Factor
Access to utilities is another major factor to evaluate. Utilities like water, electricity, gas, and sewer connections are often taken for granted but can be costly or difficult to set up when buying raw land. We discussed how you can understand the availability of these services—or the lack thereof—which can significantly impact your overall budget.
Restrictions: What to Watch Out For
Land restrictions come in many forms, such as easements, HOA rules, or environmental regulations. These restrictions can limit what you’re allowed to build or how you can use the property.
I highlighted that many buyers overlook these details, only to encounter challenges later. Reviewing the title report and working with a knowledgeable real estate agent can help you identify potential red flags.
Here are some of the most common mistakes I see buyers make when purchasing land:
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Skipping Soil Testing: The quality of the soil can affect the stability of any structures you plan to build. Make sure to invest in a soil test.
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Ignoring Access Issues: Confirm that the land has legal access via a public road or easement.
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Underestimating Costs: Beyond the purchase price, factor in expenses like utility installation, permits, and site preparation.
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Failing to Plan for the Future: Think about how your needs may evolve and whether the land will accommodate those changes.
Buying land can be a challenging but rewarding process if you do your homework. With insights and guidance from experts like our agents at NorthStar Realty, you can navigate the complexities and make informed decisions. Whether it’s zoning, utilities, or restrictions, understanding these critical elements will set you up for success.
If you’re ready to dive deeper into the topic, be sure to watch the full interview on my YouTube channel.
Watch the Full Interview
Don’t miss our conversation! Check out my YouTube video "How to Buy Land" and hear directly from Joshua Dimond of NoCO Custom Homes about what it takes to buy land like a pro.
Have questions about buying land? Please reach out—I’d love to hear from you!
