Jeff – Some carry insurance others do not. I do not carry any insurance on any of my land investment properties. You will have to assess your own risk tolerance.

Chuck – Good input with some hands on experience. Make it right means “whatever it takes”. In some cases it may be a full refund. To quote a smart guy I heard once “Don’t ever let the sun set on an angry customer.”

Ron – That is a good clarification that I missed. The first part . . . if I register my LLC in State A but buy in State B does my State A registered LLC protect me in State B? . . . I suspect that if you ask ten attorney’s you will get ten different answers. For me, it comes down to RISK TOLERANCE. I have a very high risk tolerance and don’t…[Read more]

Typically the agreement between you and your investor is separate from the Purch Agreement. You buy the property in your company name as usual. Sometimes the title company will be willing to provide a “brief” Purch Agreement form. Like I said earlier – it does not have to be anything fancy. Just the facts, Ma’am.

APN
Buyer name and address
Seller…[Read more]

Mike – I assume that you want a Purchase and Sale Contract for the purpose of closing with a title company. That is really the only time I use one. I list Who, What, When, Where and How Much so the the title company can do their thing. Any extra conditions are just listed in plain English such as: Seller to pay all taxes for 2018 or Buyer to pay…[Read more]

Hi Maria – No, I disagree. As Jack says “find another accountant.” I am not an accountant so I can not give professional advice. However, I did some research on this topic before I started investing in land and I found that if income tax is paid in one state, it does not have to be paid in another state. That would be duplicate tax and that is not…[Read more]

Good advice from Anwar. LandX, if you are not sure how to proceed then find a title company or real estate attorney who will keep you on the right track. It will cost a little money but will be worth it.

LandX – If you don’t have good comps and you don’t have a buyer already lined up, you should consider purchasing on an option contract. Then, if what she says it true, you should be able to get $45,000. Maybe from the same buyer who offered her $75,000. I have made deals before where the buyer and seller were mad at each other. I made the purchase…[Read more]

Angela – I have sold land to two people outside of the US. As with my US customers, I collect the payment and then produce the deed. Also, in both cases, the buyer had a person in the US make the payment. I did not request this, but it seems a good idea. I just let them sort out the money between them later. I believe that the buyer in both cases…[Read more]

Matt – I would ask the seller how he wants to sell – individually or all in one purchase. I would also reduce the total price if purchased all at one time to reflect a “bulk” purchase.

Good luck and let us know how it goes.

Just adding my 2 cents. I use Priority Mail envelopes and fold the return envelope to fit inside the outgoing one. Also, I don’t rely on my Notary to forward my mail to the county. I have it addressed to return to me so I can scan the notarized deed. Yes, it takes more time but I am more comfortable.

Neil – as to the documents staying flat: They…[Read more]

Neil – I try to find out these costs up front as you have done. Then I absorb them up to a point. I make a big deal out of telling the seller that I am paying him $1000 for the property AND I am paying the HOA fees and taxes. It makes the seller feel better about dealing with me. Just a little icing on the cake.

When I list the property, I adjust…[Read more]

Christian – if the HOA will allow it, I would tell him to go ahead and stay one night. I have had people take advantage of me and get a night or weekend of free camping, but in the end it did not cost me anything. I don’t worry about risks too much so don’t take my advice on the risk aspect.

Travis – Be sure to send neighbor letters in this situation. I have had great success selling to neighbors when I think there is interest.

Mike – First congrats on recognizing the problem with the first mailer and adjusting your approach. By the way, on that first mailer you can still get one or two deals out of it by negotiating down when they call. The truly motivated people will sell at a lower price. If you can do that you will recover your costs and make some money on that…[Read more]

I would buy it for $8K and sell it for $19K ish and let someone else sort out the details.

Mike – If the title company is listed as the owner, then they own it. I have mailed to title companies and banks and purchased land from both. Don’t take them off the list. Send the mail. Both of these types of businesses can acquire land that they don’t want. Your letter may be the answer to their problem.

Travis – Everyone probably does this a bit differently. I get comps from landwatch.com and from Zillow. I usually check LW first and use that number in my data. Then I check Zillow just to see if it is significantly lower. Sometimes I have to adjust for lower comps on Zillow. I would say that most times I just use the comps that I get from LW and…[Read more]

Travis – I think this is getting into the art of finding the right county to mail to. I definitely use housing DOM to gauge the general real estate market in an area. As you mentioned, sold data is absent in many counties for vacant land. You can skip that county OR, if everything else looks good, go ahead and send the mail. You can buy a few…[Read more]

Michael – Good question and great advice from Joe. Keep in mind that there are many ways to start this business. First, you should not plan on quitting the day job too soon. You need to work with this for a while to get your business built up. If you don’t have all the funds that you need to do a mailer every month, no problem. Just get your first…[Read more]