5 Acre Tracts

[hashbrown]

I have 3 very rural 5 acre tracts that I got in trade a few years back. I really didn't want them but I had done a job for a guy that couldn't afford to pay for the work so it was either take the land or get stiffed. The tracts all have a road to them and that is it. Ive been trying to figure out what to do with them and was either thinking about selling them on payments or go in and build a off the grid cabin on each of them and try to sell outright. What do you think would be the best option? I just don't know what the market is for a homestead ready to go. Or if people would even consider 5 acres as a bugout or a homestead. Your opinions would be appreciated! The properties are between Niangua Missouri and Marshfield Missouri.

 

[bargeahead]

In today's environment I think you could do well either way depending on how and where presented. Here is a good start. How much or what terms are you looking to get ? Maybe some details ?

 

[TMT Tactical]

Wow, HB, this is a tough one. 1) What is the land values in the area? 2) Could you sell without improvements an still be competitive? 3) You might want to do a survey question here as to what Preppers would want -- unimproved or improved and then to what extent of improvements? I am not the typical Homesteader or prepper type, so I can only suggest questions but no real answers.

A) Bare land -- no improvements? B) Land, well and cistern but not power or buildings? C) All utilities and a small hunting / cabin ? Many of the folks here are going to lock into what they want, need or think is a good idea. Me I would want option (A) but I would also want a minimum of 50 acres and would be more interested in a 200 acre parcel, but at desert prices. I hope a bunch of the folks jump on this post and can provide some better information.

 

[hashbrown]

Wow, HB, this is a tough one. 1) What is the land values in the area? 2) Could you sell without improvements an still be competitive? 3) You might want to do a survey question here as to what Preppers would want -- unimproved or improved and then to what extent of improvements? I am not the typical Homesteader or prepper type, so I can only suggest questions but no real answers.

A) Bare land -- no improvements? B) Land, well and cistern but not power or buildings? C) All utilities and a small hunting / cabin ? Many of the folks here are going to lock into what they want, need or think is a good idea. Me I would want option (A) but I would also want a minimum of 50 acres and would be more interested in a 200 acre parcel, but at desert prices. I hope a bunch of the folks jump on this post and can provide some better information.

I was worried they would be way to small for most folks, It would be to small for my type of lifestyle. I am hoping to get about 9k each for them, I'm in the development business so building a cabin wouldn't be a stretch for me.

 

[hashbrown]

The lots are not hurting to hold on to I payed the taxes last week it was under $20 for all 3 total.

 

[TMT Tactical]

I was worried they would be way to small for most folks, It would be to small for my type of lifestyle. I am hoping to get about 9k each for them, I'm in the development business so building a cabin wouldn't be a stretch for me.

Now I am not trying to pry but are you considering the possibility of building and carrying the note? Get enough down to cover any building costs, so even if they defaults down the road, you have covered you bases and can recover the property and move forward. I think many would be interested in a 5 acre farm / ranch. Since I am the ultimate paranoid I want and need a large property to provide the seclusion I want and feel is needed. Pess has the retreat, I plan for the TTH project. You are in a very unique and enviable position, you can built to suit the customer without major risk. I look forward to more input from more informed folks.

 

[hashbrown]

Now I am not trying to pry but are you considering the possibility of building and carrying the note? Get enough down to cover any building costs, so even if they defaults down the road, you have covered you bases and can recover the property and move forward. I think many would be interested in a 5 acre farm / ranch. Since I am the ultimate paranoid I want and need a large property to provide the seclusion I want and feel is needed. Pess has the retreat, I plan for the TTH project. You are in a very unique and enviable position, you can built to suit the customer without major risk. I look forward to more input from more informed folks.

I wouldn't want to carry the cost on the build only the land. I am also thinking about how an off the grid cabin would appraise. If I built the cabins I would want to sell them outright.

 

[Cnsper]

I think you would be best served putting in a well and septic and sell them. The reason being is water and septic can be huge expenses for the people that may consider purchasing them. Can you put water and septic on one and sell all three as one lot?

 

[hashbrown]

I think you would be best served putting in a well and septic and sell them. The reason being is water and septic can be huge expenses for the people that may consider purchasing them. Can you put water and septic on one and sell all three as one lot?

If they were adjoining I would sell them as one tract sadly they are not.

 

[The Lazy L]

Folks may have difficulty finding a Financial institution that would loan money for property only. I know paying cash eliminates a mortgage but IMHO 90% of the population lives from pay check/welfare check to the next check.

Placing a cabin on the property could possible make the mortgage more attractive to a Financial institution?

 

[phideaux]

Not being nosey HB, but if you sold the tracts as is ...would that cover what the guy couldn't pay , when you took them on trade?

If they would..
Just me...I'd move em as is, at 10 grand each. (bird in hand)

Thats about what 5 acre plots are in my area ...Lakes and tourist area,



Jim

 

[gumpy]

I think you would be best served putting in a well and septic and sell them. The reason being is water and septic can be huge expenses for the people that may consider purchasing them. Can you put water and septic on one and sell all three as one lot?

where I'm building at in Tennessee didn't have power near it or any other facilities. Drilled well and pump was over 5G., the septic ran over $3500, power cost me $2500, I had to pay for the poles. I'm trying to get a land line run but don't see that happening.
In spite of the cost, I still don't regret the move. The only thing is that I can't wear Orange! I bleed Crimson Tide!

 

[tambo]

I wish I could find isolated property here where I live. I've been looking and there is none to be found. I would jump all over it if I was willing to relocate.

 

[Cnsper]

You could try to sell as is and see what comes out of it first. Put an ad on Craigslist and see what kind of interest yoy get.

 

[zoomzoom]

In your area, at what point does the property tax increase? E.g. Is it now listed as vacant land (really cheap taxes) but then move to building lot (higher taxes) if you add the utilities?

I too would try and sell as-is and see what you get. To move to utilities on-site, you've probably doubled the cost/value of the property. That might be more than people want if they just want to put a camper on it for seasonal or hunting use.

 

[Tortminder]

Hashbrown-
Are the lots in or adjoining the Mark Twain? Are they on a main farm road or a rural dirt road? I'm fairly familiar with the area and expect properties would go between $700 -$1800 per acre depending on topography. I would agree with placing an ad on Craigslist to test the waters, but I would post on the St. Louis; KC or Chicago Craigslists rather than the local one. Just my 2 cents and worth exactly what you paid for the opinion!
--tort-

 

[Country Living]

When you do sell, close at a title company. There's too much misconception you have to go through a realtor. You'll probably have to have all three properties surveyed (title companies are funny like that...they'll let you know everything you need to and when you need to do it.) We bought a four acre tract of land next to our property and I told the seller we would close at the title company and he didn't realize that was an option. We had the land surveyed just before we closed (our paying for the survey was part of the deal), our bank wired the money to the title company a few days before closing, and the closing went off without a hitch. Realtor fees on land can run as much as 10% - 14%.

 

[CrackbottomLouis]

This is a really hard question to answer without knowing your local market. I am an agent in GA and love doing acreage so if you have any specific questions you cant find an answer to feel free to pm me and Ill try my best to help.

I do think having water and septic and at least being able to tell prospective buyers how much it would cost to run power to what you think the best build site is would be helpful in selling the tracts. 5 acres is not too small if its the right 5 acres. If there is enough cleared land for a family sized garden, water on the property, and the ability to run amenties like power then I think that covers a lot of bases. Especially if has good resources like hardwoods and is within reasonable travel distance from their current home.

How close are you to a population center? Marketing 5 acres as a weekend getaway or bol that may never be necessary is probably better than marketing to full time live in buyers. A lot of your weekend getaway folks dont want a huge piece of land thats a pain to maintain while they go on with their normal lives (maybe offering property maintanence services would be a recurring income stream if you have the time?)

Maybe talk to a local agent and see if they will do a complimentary cma (comparative market analysis) with and without the water and septic to get a good price range on what the property is worth in each instance? Might be a good place to start.

If you do put off grid cabins and end up not wanting to sell maybe you could just keep them as rentals. Especially if you are close to a lake or some other draw. Do guided hunts during the season if your property is big enough to handle the extra hunters and you have the time? Just spitballing. Maybe digging out an acre pond on each and stocking with fish if the property is suited to it? That would certainly improve marketability for either rent or sale.

Even if you didnt want to use any of the land or what you do to it as a business then you could always let your boy run it as a way to teach him the ins and outs of running a business. Seems pretty capable from what youve posted and might be a great way for him to learn something like that.

Wish I had the problem of having extra land I didnt know what to do with

 

[skittles]

Good to see there's still small parcels out there for sale. I've been watching the market for 3 years now, will be purchasing something next winter after I turn 35. The goal is to find something 5+ acres that's buildable and farmable, in this price range and higher depending on the well availability as well.

In the last 1-2 years there's been a serious dearth of small parcels for sale but that's part of where I've been looking. I like to look on craigslist however that's not that good of a guage of the wider market.

What I'm referring to is 10-20 acre parcels with a mobile and a well on the Ozark Plateau for $40-60K.

What I'll probably end up getting is a 5-10 acre parcel with a well and a couple outbuildings for $10-20K as I do want to build my own home and I only have about 30-40K to spend.

I get disability so location isn't that big of a concern but possibility to eliminate bills is.

 

[Redbeard]

One thing to consider is it takes 5 acres of forest to sustain wood heat for life. But that is here in NH where winter is cold so most likely even less in your area. For me i wouldn't even look at a property that didn't have that. I use wood pellets for my heating but i buy them with fire wood sales off my land. But im guessing this isn't as big an issue down there. I would install septic and power and list them with that and with the option of you building the house. Or what i did on a piece i sold was put power, septic, and the shell of a cabin up and sold it with the option that we could finish the inside any way they wanted. Before i added that option i had it listed for over a year and a half. One month after i listed it with that option i had a buyer and we finished it for them. May or maynot be helpful to you.