If you’re already a seasoned real estate investor, you know how to sell a home. In fact, you’ve probably sold dozens of houses and you’ve mastered the process and best practices involved in home selling. Because of this, you may think that you know how to sell land — it’s basically the same, right?
Not so fast! Although the processes of selling land and selling a home do overlap and are similar in many ways, they also have some key differences in terms of procedure and legalities. They’re not as similar as you think, so it’s important to know how to distinguish between the two and ensure that you undertake the right steps that will help you make a successful sale!
But first, let’s talk about why they’re different in the first place.
Why is Selling Land Unique?
Selling land is a whole new ballgame because of the difference in the market. People who buy homes and those who buy land to build their own home have different market dynamics that you need to be aware of.
In a nutshell, land buyers and homebuyers have different preferences, needs, and desires. While homebuyers focus on moving in and finding the perfect home for them, land buyers are focused on one thing: location. What they’re on the hunt for is the right location to set up their own home and customize it according to their preferences.
With these different market dynamics, it’s important that sellers know how to meet their needs. Hence, you should adopt different sales techniques, depending on what type of property you are selling and its corresponding market.
Selling homes is relatively easier because you already have the features of the house to boot. You can sell the amenities, features, rooms, and beautiful granite countertops and people will instantly fall in love with what they see. On the other hand, selling land means you need to up your game because there is nothing for you to leverage — except the land itself.
Further, the market of land buyers is more limited than that of homebuyers. Fewer people will be on the search for new land to build their empire on, so you need to be patient and position your land in the best light.
Tips for Selling Land
We’ve established that selling land is a tad more challenging than selling a home. So we’ve rounded up some tips to help you make that sale.
Know your buyer
As you now know, homebuyers and land buyers are different. So your first step should be knowing your buyer and understanding their needs and preferences. Come up with a buyer profile that outlines who your potential buyers are. Your buyer profile should also take into consideration the type of land you are selling and determine what types of people are most likely to be looking for a property like yours.
Part of knowing your buyer is also identifying and adopting how they think and what they’re looking for. Depending on your buyer profile, shape your message in a way that is the most attractive to them. You’ll need to know about the surrounding areas too, like schools, conveniences, nearby amenities, zoning information, etc.
Make the land presentable
Even if the land is technically empty, you will still need to make it look presentable. Remember that first impressions are very valuable when it comes to selling land. So make an effort to cut the grass, remove weeds, keep the area free from trash, or even plant some wildflowers.
Pay attention to pricing
It may be difficult to come up with the accurate value of your land, but there are ways that you can yield a ballpark value that will help you get a good ROI. One of the biggest mistakes that land sellers make is pricing too high, and doing so decreases their chances of making a sale.
Ideally, the price should be attractive enough to attract potential buyers, but also within the average market value of your land. Also consider your own needs as a seller. If you need to sell the lot quicker, a lower price will help ensure more offers and faster sales.
Target land buyers in online listings
Over 90% of land buyers look for listings online, so you need to be present where they are looking. Make sure you’re utilizing the advantages of the internet and online listings. Post attractive and professionally-taken photos in listings that specifically target your potential buyers.
Show the land in its best light
Unlike when selling a home, you cannot hold an open house and get the buyer to fall in love with the features and interiors of the property — simply because there is no house in the first place.
When selling land, a tip is to help your potential buyers visualize their future. Be as descriptive as possible when talking about your listing and help potential buyers envision themselves living in that area. You need to put the features of the land in the frontlines and convince your buyers about what sets the land apart from the rest of its kind.
Land buyers often focus on these key details:
- Soil type
- Views and vantage points
- Nearby conveniences, amenities, and attractions
- Zoning restrictions
Selling land is challenging — more so compared to selling a home. But it’s not impossible. In fact, a piece of land is sold every day in the United States. The key is to know the best practices in selling a parcel of land and to understand the needs of your potential buyers.