July 2019 United Country Real Estate

only had solar power to? You have to decide what you want and what things are going to accomplish your needs.” 4: What Land Improvements DoYou Have in Mind? Everyone wants to make a property their own once they buy it. Even if the property is turn-key, there will still likely be changes you want to make. That too costs money. “Getting a property more and more turn-key costs more and more money,” Priest said. Many land searches start on websites such as RealtreeUC. com. So, when you look on there just remember that price isn’t always a reflection of value. You could have property A that’s turn-key and a lot pricier and property B that’s really rough (and cheaper). But property A might be a much better deal because it might cost you so much to get B in property A condition. “You have to consider what you want in a property and how much it’s going to cost if it isn’t already there,” Priest continued. “What’s it going to cost to bush hog it? What’s it going to cost to maintain a pond or roads? What about erosion and other challenges? Plus, if you just let a place go and don’t spend time and money on it, it isn’t going to be worth what it was the year before.” 5: HaveYou Considered Interest Rates? Interest rates are oftentimes downplayed by prospective land buyers. Depending on certain factors, it can be a big money factor, though. “Interest rates are definitely going up,” Priest said. “And I’m not a banker, but I deal with them every day. Different banks deal in different ways. Your conventional banks have opportunities that maybe a land bank doesn’t.

closing costs are about 0.5 percent of the sale. If it’s a $100,000 sale, you’d be looking at about $500 in closing costs. Every attorney and title company are different.

On the other hand, land banks have systems the traditional banks don’t offer. You have to decide what works for you. About 5 or 6% is pretty normal for recreational land. A place you’d put a house on might get a better interest rate, but in my area, you can expect 5 to 6% interest rates and 10 to 20% down with good credit. That can change depending on location and situation.” This is an annual cost outside of the initial sale. It recurs every year and typically slowly increases throughout time. It’s something you must factor into your budget. “When you’re determining your budget, you have to consider taxes,” Priest said. “This is something that’s going to be very county and area- specific. Where I’m at in southwestern Mississippi, you can expect $3-4 per acre on property taxes. Call your Realtree land pro and county tax man to see what the rates are going for where you’re looking to buy land.” 6: HaveYou Planned for PropertyTaxes?

“When you talk to your Realtree land pro, this is why it’s so important to not rush it,” Priest continued. “A lot of the times, these are the largest purchases of peoples’ lives. Yes, it might cost a little extra to have someone represent you. But you wouldn’t do brain surgery on your own. Don’t go through the land-buying process by yourself, either. Have a land pro that does this every day help save you money in the long run . The land pro also can help you find exactly what you’re looking for. That’ll save you time and money down the road.” Once you have all of these budget- related questions answered, then you’re ready to begin your search for the perfect

7: HaveYou Considered Closing Costs?

hunting paradise. Go to RealtreeUC.com

or call a Realtree United Country land pro today.