Kathy Kennebrook Discusses Making a Fortune Buying Vacant Land
There are lots of great ways to make a lot of money in real estate, not the least of which is buying and selling vacant land. This is an effective way to do real estate deals with no hassle, no rehab, no insurance and no worries of vandalism and theft.
If you live in an area that is particularly rural, then buying and selling vacant land is an even better means of doing real estate deals. There are several different ways to find vacant land deals. One is to simply drive around and look for them. A much better way is to create a list of out of state owners of vacant land with past due tax bills.
In many cases, these owners have inherited the properties and have never seen them. They are usually tired of paying tax bills so they stop paying them altogether. They are usually highly motivated sellers and fairly easy to deal with.
Make sure you take the time to develop a relationship with a title agent or real estate attorney in these areas and make sure you have title work done before purchasing these properties. Sometimes there are probate issues or liens to handle before you close including past due tax bills.
Once you purchase these properties there are several ways to resell them at huge profits. One way you can attempt to sell them is to list them with a local realtor. Whether or not you are able to sell your properties this way will depend a lot on how motivated the realtor is. The other thing you can do is to list these properties on your property for sale web site where folks who may want to build vacation homes in the area where your vacant land is will see them. You will be able to get attention from many parts of the country. You may also want to put a “For Sale by Owner” sign on your land.
Depending on where the vacant land is located and how much there is, there are also opportunities to develop these pieces of land and resell them at really huge profits. One way to develop your land would be to get involved with a builder and have homes built on these pieces of land and then resell them. Personally, this is not my favorite way to deal with vacant land only because it’s time consuming and more hands on.
A much better technique would be to hire an engineer to take a look at the property, determine its best use, possibly change the zoning, and then do the other things necessary to get the property ready for development and then resell it. This is one of the best ways I know to build in huge profit margins without ever touching the property yourself.
If you live in an area where there is a lot of vacant land, these techniques are definitely worthy of looking into because many of your competitors are simply not thinking about making a lot of money on vacant properties. They are missing a huge opportunity since these properties are usually easy to purchase and reasonably easy to resell at huge profits.