Help me analyze this land deal

[Tracy Selfridge]

I found a .99 acre lot for sale by a motivated seller. The land is in a small neighborhood with a few other lots and houses in the 150k to 160k range. 

The lot doesn't have a septic or well and has some small trees on it. It slopes a little towards the road and the house right beside it is a 3 bed 2 bath 1,819 sqft house that sold for 166k in 07

11mins (7.6 miles) out of Blythewood

33 mins (26 miles) out of Columbia

Purchase price is 5k and I would cover closing

How can I make this deal work? 

[Daniel Roberts]

What to do with it:
1) Buy it and pitch it to home builders.

2) For that small buy price, owner finance it to the neighbors for a larger yard.  Sell for $15k.  Get 3k-5k down and finance a note of about 10k so your payments are all profit.  I've done this a decent amount next-door to you in Kershaw County.  Extremely profitable and enough of them builds a low-risk income stream.

Before that, comp the price to be sure its a good deal.  Price sounds good, but rural land in SC can be cheap.  Make sure it perks. Check the zoning regulations to know what can be built on it. Make sure the title work is good. Sounds like it could be a Tax Deed @ that price.  Not a deal breaker, but limits what you can do.  That will not matter to the neighbors, just disclose it to them.

Hope that helps!  Keep us posted.