How do you find investors that buy raw land

Question

I have a couple opportunities here in the Chattanooga area for raw land. How do I find investors that invest in 12 to 770 acres? Both properties are in rural areas.

Account Closed · Answer

Hi @John Britt one thing my former company used to do was Land Banking, is a very unique for of real estate investing for banks,hedge funds and long term investor, find out the possibilities your land has, permits and regulations Farming or for development, if farming look into the possibility of farm venture, somebody buy the land farm venture and lease back the land to farmers.

1) Find Zoning

2) Find what grows in there

3) see what added value you can achieve, buy doing improvements

4) start making calls.

anything you need i am here to help is own of my favorite topics in real estate.

1) Find Zoning

2) Find what grows in there

3) see what added value you can achieve, buy doing improvements

4) start making calls.

anything you need i am here to help is own of my favorite topics in real estate.

Jay Hinrichs · Answer

@John Britt large parcels generally are not real development parcels because of zoning and if they are big developers have them on the radar.

so its usually hunters or someone who has made good money just wants some big ranch type property, I started my career selling ranch land in N. CA... many times it took 1 to 3 years to sell a big property... finding that right buyer.. and generally it HAD to be owner financed .. no lenders willing to go.

John Britt · Answer

Account Closed Thank you.

Jay Hinrichs · Answer

@John Britt John I owned a timber company in Oregon for more than a Decade... I can tell you if the 700 plus acres has substantial timber value ... the local Gypo's would be all over it..

now there can be some outliers.. but there is a very well put together industry those that buy and sell timber land.

Hunting and rec.. is probably the deal

700 acres of timber land in our neck of the woulds is a 3 to 5 million dollar property just the timber value

John Britt · Answer

@Kevin Yeats @Jay Hinrichs Thank you for the information. I was looking in this case since I know very little about this type of investment to act as an agent, and attempt to find a lumber investor or hunting club investor to buy it. But I do not know where to start.

Kevin Yeats · Answer

This is a tall task that could take quite a bit of time.

First on the bank owned property, the bank probably has someone trying to market the property, either on staff or contracted with a realtor, local or otherwise.

Any potential buyers may already be searching for some raw land in that area. Certainly anyone local probably already know about the vacant land (it doesn't move). You would have to target A buyer not in your area.

If you wanted to buy the land first, most lender are averse to lending on raw land. Any lender will to make a loan probably has a limit of 50% LTV (purchase price).

Sorry for throwing cold water.

John Britt · Answer

I do not own the land. One opportunity a local bank has the other opportunity I had found.

John Van Uytven · Answer

@John Britt

Sounds like a pretty awesome story you will have to tell.

What about asking the neighbors if they are interested?

Do you own the land? Are you willing to do owner financing?

The neighbors, might not be able to qualify for a traditional loan.

Search county records for who is developing raw land.

Good luck & remember

*DFTBA*

Don't Forget To Be Awesome

How do you find investors that buy raw land

How do you find investors that buy raw land

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