Invest in lot at Pueblo, CO
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Kerlous TadresBusiness Member
Realtor · Columbus, OH · Member since 2023 · 1k+ posts · 1k+ votesHey! I’ve worked with a lot of out-of-state investors, and moving from California to a market like Pueblo, CO, or even here in Ohio (Columbus, Cleveland, etc.) definitely comes with some differences.
In California, you’re used to escrow companies handling the closing, but in Colorado and Ohio, it’s more common to use a title company or an attorney. Buyer commissions can also vary more with land, while 2.5–3% is typical in CA, land deals in CO or OH sometimes offer lower or flat fees, so always double-check.
Pueblo will likely require a survey if you plan to build, which isn’t always the case in California. The same goes for parts of Ohio, especially in more rural areas. Zoning in California is usually pretty strict, while Pueblo tends to be more flexible, but it’s still important to confirm details with the city or county. Ohio zoning is hyper-local too, so a quick call to the local office can save a lot of headaches.
One more thing to keep in mind is utilities. Lots in CA often have access nearby, but in Pueblo or smaller Ohio towns, you’ll want to confirm availability and costs for electric, sewer, and water.
Kerlous Tadres | Reafco Real Estate541 Reviews
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- 1yKerlous TadresBusiness MemberRealtor · Columbus, OH · Member since 2023 · 1k+ posts · 1k+ votes
Hey! I’ve worked with a lot of out-of-state investors, and moving from California to a market like Pueblo, CO, or even here in Ohio (Columbus, Cleveland, etc.) definitely comes with some differences.
In California, you’re used to escrow companies handling the closing, but in Colorado and Ohio, it’s more common to use a title company or an attorney. Buyer commissions can also vary more with land, while 2.5–3% is typical in CA, land deals in CO or OH sometimes offer lower or flat fees, so always double-check.
Pueblo will likely require a survey if you plan to build, which isn’t always the case in California. The same goes for parts of Ohio, especially in more rural areas. Zoning in California is usually pretty strict, while Pueblo tends to be more flexible, but it’s still important to confirm details with the city or county. Ohio zoning is hyper-local too, so a quick call to the local office can save a lot of headaches.
One more thing to keep in mind is utilities. Lots in CA often have access nearby, but in Pueblo or smaller Ohio towns, you’ll want to confirm availability and costs for electric, sewer, and water.
Kerlous Tadres | Reafco Real Estate541 Reviews- Thanks for these insights! I also noticed agents over Colorado tend to be more hands off compared to CA. While I was in CA they are happy to help organize several due diligence activity (Survey for example) so just want to make sure it's normal practice in CO. Considering lower commission/flat fee in CO this might be normal I guess.
Quote from @Kerlous Tadres:
Hey! I’ve worked with a lot of out-of-state investors, and moving from California to a market like Pueblo, CO, or even here in Ohio (Columbus, Cleveland, etc.) definitely comes with some differences.
In California, you’re used to escrow companies handling the closing, but in Colorado and Ohio, it’s more common to use a title company or an attorney. Buyer commissions can also vary more with land, while 2.5–3% is typical in CA, land deals in CO or OH sometimes offer lower or flat fees, so always double-check.
Pueblo will likely require a survey if you plan to build, which isn’t always the case in California. The same goes for parts of Ohio, especially in more rural areas. Zoning in California is usually pretty strict, while Pueblo tends to be more flexible, but it’s still important to confirm details with the city or county. Ohio zoning is hyper-local too, so a quick call to the local office can save a lot of headaches.
One more thing to keep in mind is utilities. Lots in CA often have access nearby, but in Pueblo or smaller Ohio towns, you’ll want to confirm availability and costs for electric, sewer, and water.
For closing I was using title company in CA so I am expecting not much difference.
- Rental Property Investor · Denver, CO · Member since 2013 · 4k+ posts · 2k+ votes1y
@Yi C. I don't know what would be different from CA but I'm sure there are a lot of differences. With buying land, you need to be very careful. Is the lot actually in Pueblo or is it just "near" Pueblo. There are a number of legacy subdivisions in the county around Pueblo that have unbuildable lots due to a number of issues. Know before you buy and don't assume anything. You should have someone local who specializes in land to represent you and it will likely costs you around 10% of the purchase price, if it's a relatively small purchase price. Utilities (water, sewer, and electric) are a big issue outside of the City proper. It can cost more than the price of the land for EACH of these items. Please be careful.
- Thanks for the remind! Yes I do want to find agents local and experienced enough to guide through the process. However I find it quite hard to find such person. Commission is not a big issue for my side but I do want to avoid caveats with good agents.
Quote from @Bill S.:
@Yi C. I don't know what would be different from CA but I'm sure there are a lot of differences. With buying land, you need to be very careful. Is the lot actually in Pueblo or is it just "near" Pueblo. There are a number of legacy subdivisions in the county around Pueblo that have unbuildable lots due to a number of issues. Know before you buy and don't assume anything. You should have someone local who specializes in land to represent you and it will likely costs you around 10% of the purchase price, if it's a relatively small purchase price. Utilities (water, sewer, and electric) are a big issue outside of the City proper. It can cost more than the price of the land for EACH of these items. Please be careful.
- 4moRobert EllisBusiness MemberDeveloper · Miami, FL · Member since 2014 · 3k+ posts · 1k+ votes
Quote from @Yi C.:
I'm looking into investing a vacant lot in Pueblo, CO. Previously I only had experience in California. I want to know if there's any significant different between the two states? Like how the terms were structured, buyer commission, survey, local zoning etc.
If I were looking at a vacant lot in Pueblo, the first thing I'd focus on isn't commissions, surveys, or even the closing process. I'd want to know exactly what my exit strategy is before buying. Vacant land can look inexpensive on paper, but the economics change quickly if utilities, road access, water rights, or development restrictions become issues.
The reason I say that is that land values are often driven by what can realistically be built and how much it costs to get there. I've seen investors buy lots that appeared cheap only to discover that bringing in water, sewer, or electric cost more than the land itself. Before I'd spend much time comparing California and Colorado transaction structures, I'd verify zoning, utility availability, setbacks, floodplain status, and whether similar lots nearby have actually been developed recently.
What's your intended play with the property: build on it yourself, hold it for appreciation, or resell it to a future builder?
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