Questions on First Property Opportunity

1 Reply

My partner recently had a grandpa pass away and his plot of land is now up for grabs. She currently has the opportunity to take over the mortgage with the hopes of selling it ASAP. It is a patch of farm land in farm country with a dumpy trailer on it. Her mom has been in talks with with a realtor that says it can sell within a couple months, and has also been in touch with a tax professional (I don't know about what exactly). I understand the property is worth roughly 140, with 40-ish remaining on the mortage.

Neither of us have ever owned property before and although it seems like a great opportunity, we are anxious about what we might not know. This property is in another state from where we currently live. What are some things we should be looking into, things we should be doing, people we should be talking to?  Is the trailer a complication or is it generally easy to sell farm property "as-is"? Is there really that much risk of this going poorly for us?

I am thinking at least get a second (or third) opinion on how fast it can sell. We are in a position that we could easily carry the mortgage payment, but if it doesn't sell, we of course have no use for farm land in another state...

Thanks everyone 

@Randy Day The land is an asset of her grandpa and the proceeds of the sale will have to go to the heirs as dictated by a will or by how the state divides it if no will(Probate). Your partner can't just take the asset and sell it. She has no legal title. Now if the heirs agree to sell it to your partner then you cant talk about how you go about selling it.

If it is farm ground then the productivity of the soil is the determining factor of the price of the land. If it is pasture land then how many AUM(animal units months) will it support. Usually the ASCS(Agriculture Stabilization and Conservation) office can give you idea of the carrying capacity.

I would think the trailer has zero value. Farm and pasture have the ability to generate income. The ASCS office will tell you what the rents are per acre.

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