Raw undeveloped land hasn’t exactly topped the real estate market recently, and there are several reasons for this. Builders have avoided it like the plague. Since they couldn’t sell their current inventory of built homes, the last thing many of them wanted is to buy land and build more. Lenders haven’t been crazy about funding builder land purchases because they’ve been pretty sure those loans wouldn’t be paid back anytime soon. Consumers have focused on buying up good deals for existing homes, and have therefore let land fall off their radar screens.
But you might want to give raw land some thought. There’s a lot of it and in places that you normally would not think a good parcel would be. For example, on the residential front last year I sold a reasonably priced property in Cherry Hills that contained nine acres.
In any other market, builders would gobble up subdivided land to build spec homes and walk away with a substantial profit. Today, I think it’s wise for consumers to look at raw land again, particularly if you have the ability to hold it for a while. Not only can you get low prices on good pieces of land, but you might just capitalize on an area that will appreciate quickly after the market turns around. You could hold it and sell for a profit later, or you could purchase a great parcel and sit on it until you’re ready to build to your dream home. I have a few large-acre listings in Strasburg, Colo., and while that’s not a hot spot to some people, to others it’s a perfect rural setting for hunting, horseback riding, fishing and small farming. Plus, it appeals to folks that just generally love the great outdoors.
The Internet has turned into a powerful tool for finding great pieces of land due to the ability to showcase so many things, like sweeping vista views and wildlife, while reaching so many buyers. Take a minute and hop online. Your perfect plot might be waiting for you.
