Buying hunting property, negotiations?
Whitetail Deer
Hi Everyone,
Looking for some input here. Have been looking for a hunting property for a while...and have finally found one that I can work with. It has some issues, and is not perfect, but is by far the best piece I have seen, and I can turn it into what I want. So, now I am at the stage of considering making an offer to the landowner.
Background. The area I am looking in has seen a huge surge in cash crop ag, and farmland prices are down right ridiculous. However, this piece was used by the LO to take off topsoil to sell, which he did. So, I have confirmed that the land is fertile enough to grow food plots, and reforest the open portion over time, but not for cash crop ag. There is no road frontage, but is accessed through a hard top road, which is an easement over the neighbors property. The land is listed with a realtor for 179,000, which is a good price to begin with for the area...94 acres...
Obviously I want to pay as little as possible, and really my top end is 150k....How would you go about making an offer an negotiating on this property? Thanks all! Mike
I would first verify the easement is recorded and see if there are any restrictions on the use of said easement. What's the difference in food plot crops and cash crops as far as growth? If the realtor knows what he or she is doing with pricing, getting 16% off list price might be a little tough, but the no frontage works in your favor. Good luck.
Same way you would with buying a house. Do regional comparisons of sales of like properties. Give yourself a base to start from, or not go above.
Do not tip your hand that it is able to grow food plots or trees for your purpose. It is not ag. land so should not be sold as such. Reality is in your offer that the land is stripped of much value by past actions, which is true. What does recreational land with little developmental value sell from in that specific area. If it is higher than some area somewhat farther out draw from bigger area, if it is less draw from specific area. Compare other sales or for sales. You are looking to angle this to get he best deal you can. This then leaves you money to develop or even bring in compost to create new soil and food plot areas. This a poker!
Make an offer of what you are willing to pay then the ball is in their court. I've offered 60% of asking price and its been accepted...also offered 90% and been rejected. Point is you won't know if you don't offer. The landowner might be looking to unload the property for what he can get since he has basically used it up.
I was approached by a person to buy my topsoil in Iowa is there value in this and why would u do this .
Think low, then go lower to start. You can always go up. I'd really low ball it since it has been pillaged. Realtor's really jack up the price. The more it sells for the more they make. The higher it list's for the less they are expected to bargain or negotiate. Prices are put at an asking point that demands a lower offer but, listed high enough to reach a lower offer that receives top price if the buyer negotiates on the Realtor's terms. If they list it too low, it draws attention to the deficiency's of the property.
Point is, start low. The landowner decided to devalue it for monetary gain, Make an appropriate offer. If it doesn't work out, save and keep looking. Often times more expensive has it's perks too. Good luck and God Bless
How long has it been on the market? The longer its been on market the more leverage you have.
In many counties you can do a parcel/property search on the county website and see what the current landlord paid for it, how long they have owned it, what the taxes run etc. That will give you a ballpark as well.
You can afford$ 30,000 less than the asking price. So , start your first offer at 120,000$ or 30,000$ less than you can afford.
Work toward the middle.....150,000$ ,very slowly. I wouldn't increase my future offers by more than 5,000$ at a time.
I guess the value of the top soil that came off that land would be deducted from the market value of the property before it was removed. And drive home all other weaknesses in the property to the point that you question why you're buying it!
Good luck
You stated that it's currently priced reasonably. I would think you'd offer the most you can afford $150k and make sure they understand that's all you can commit. Sit back and wait! Good luck!
I bought my first piece of hunting land 30 years ago and almost lost it by be stubborn over $1,000 bucks! 30 years later the land I bought for $850 an acre is now for sale at $18,000 per acre(prolly sell for $15k)! Best part about owning the land was I totally enjoyed the hunting with family and friends for 30 years!! Payday in retirement an added bonus! Good luck!! C
Louis, if I were you I would not sell the topsoil off your land. Been in the dirt moving business all of my life and there is too much room for error in that. Besides, you've bought that land to hunt on. Disruptions and losing your most fertile soil you don't need. My two cents.
