Are you considering purchasing land in Montana? Whenever you invest in real estate, it is important that you take a look at the current market and see whether or not you stand a chance of earning a profitable return on investment. Following are nine things to consider when purchasing land in Montana.
Start Early and Be Patient
Give yourself enough time before you start making purchasing decisions. If you start early, you will have time to get your finances in order, prepare your documents, figure out the real estate industry in the area of Montana you are interested in investing in, and research lots of land that you want to purchase. You should also be patient. It may take you time to find a parcel of land that provides a good investment opportunity.
Do Your Research
Whenever you think about purchasing a piece of land, make sure that you have done sufficient research beforehand. We will discover specific aspects that you may want to look into throughout this article. However, the main thing to remember is that you must do your research before you commit yourself to any piece of land.
Be Prepared to Pass Over
Be prepared to pass over a piece of land if it does not fit your requirements. You may find a parcel of land for a low or discounted price. It may seem as if you are getting the deal of your lifetime. However, do not jump at the opportunity to buy that land before doing your due diligence. If you see any red flags about the land or about the deal or you suspect that your investment will go down the drain, be prepared to hold out for a solid investment opportunity. Like we mentioned earlier, having patience will pay off.
Know Your Goals
Before you start looking for land to invest in, it is crucial that you first figure out what you want to do with that land. Are you looking for land to simply hold? Are you looking to flip it? Are you looking to first build or cultivate the land and then hold it or sell it? Knowing what your plans are going to be will help you choose a prime piece of property that will help you reach your goals.
You should always focus on making networking a priority. Having relationships with banks, lenders, other investors, and people who can mentor you will always come in handy.
Get a Surveyor
One of the things you should do research on is the actual value of the land. For example, you should be looking at whether the earth is contaminated or not. Another thing that you should do is get a surveyor. A surveyor will help you figure out the exact borders and boundaries of the land. It is possible that some of the neighbors have built things on the edge of the land on the side that should belong to the buyer.
Check the Value of Homes In Your Area
You should make sure that you do your research on the value of homes in the area. You should take into account the cost of buying the land and add the expenses of building a house. You should be able to make a nice profit by then selling the land and the house. If you cannot, then try investing somewhere else.
Know the Zoning Laws
It is also important to know all zoning laws in the State of Montana and any local zoning laws in the county or town you will be investing in. If your goal is to build an apartment complex, a multi-family home, or really anything, you should be sure that you will actually be allowed to build it.
Check for Utility Access
Will it be easy to get access to basic utilities? For example, will you be able to access electric lines in the area? What about telephone lines? Will you be able to install a working HVAC system and a working TV? Will you be able to set up plumbing lines with water access? What about road access – will it be easy to get to the main road? These are all things you should research before purchasing land.