If you’re planning to have your dream house built, one of the most important steps is to find a good location and purchase the land. While there are several benefits to constructing your home instead of buying one that is already built, you also have to consider zoning restrictions, natural hazards, and other factors that come with starting from scratch. Before investing in a vacant lot, Wright Real Estate, a trusted real estate agent in Ronan, MT, shares some steps to take to avoid any surprises or pitfalls in the process.  

Real Estate Agent Shares 5 Considerations to Make Before Buying Land

1. Work With Professionals

Work with a real estate agent who can help you with the finer details of purchasing a lot, such as negotiations and documentation. Make sure that you hire an agent who is familiar with the area so you can get the best price for your property.

2. Consider Finances

Buying vacant land means you will likely have to pay in cash because getting a loan is trickier. A lot of lenders consider raw lands as risky investments, so they might require higher down payments and interest rates, as well as shorter terms. A building loan will be easier to achieve because the house will serve as collateral.

3. Conduct Surveys & Environmental Tests

To ensure that you can build a structure on it, run some environmental tests and checks on the land you’re buying. Contamination from previous uses—especially gas stations or auto shops—can make it hazardous. Additionally, have a surveyor identify the boundaries of your property to check for potential encroachment from neighbors.

4. Ask About Access to Utilities

Some vacant lands may not have access to water, electricity, telephone, and sewer lines, so walk around the property to see how far it is from neighbors and paths. Check if the surrounding area is developed, so you can assess whether your property can be serviced or if you need to construct additional infrastructure.

5. Avoid Disclosure of Building Plans

While it’s fine to speak to your future neighbors to get a feel for the area, avoid disclosing your building plans with them. While most are likely curious about future residents, some of your potential neighbors might not want more buildings in the area. If you reveal too much, they may be able to limit your plans.

If you are purchasing vacant land for your dream home, turn to a real estate agent from Wright Real Estate. For almost 40 years, this reliable real estate agency has provided their western Montana clients with personalized, high-quality listings, marketing, and sales. Call (406) 676-8610 to schedule an appointment, and visit them online for more information on their available properties.