Tips for Buying Land for Sale

Whether you are looking into buying land for sale as a real estate investment or you're looking to find hunting land for sale there are several general things to consider.

As with any project large in scope, clearly define your goals and expectations. Having a clear understanding of why you want to buy land makes the process a little bit easier. This may seem like a "head-smacking tip," but you'll be glad you clearly outlined your purpose.

Determine what you want your land to be near.

Obviously land further from development is cheaper, but it will be more expensive if you intend to build on it. Builders often charge more the further they have to drive to the site. It can also be costly to dig a well or build a septic tank, and these things may have to be built the further you are from the city.

Determine if you can even build on the land.

According to a CNN Money article, the checklist below will help you determine if the land for sale can be built upon:

ZONING How the land is zoned determines what rises on it. Farmers across the country are subdividing their excess farmland into homesites and hanging FOR SALE signs -- but if the land is still zoned for agricultural use, the law may allow just one home for every, say, 40 acres. A five-acre parcel, therefore, isn't worth much.

Back at city hall, find out what your zoning designation means, whether a zoning change is planned and how to obtain a building permit. Ask what kind of setbacks from the property boundaries are required. Check flood maps to see if the property is in a flood zone. And if your land borders water, environmental regulations may limit your ability to develop the land as you'd like.

UTILITIES Are there hookups for water and sewer, electricity and telephone? If not, find out when the city plans to extend access. If there's no sewer, you'll need to order soil tests from the county health department or a local engineering firm to determine whether the land can support a septic system.

SOIL QUALITY Depending on the region, you may need soil borings to determine how far down builders must go to excavate for your foundation -- too much moisture can add tens of thousands of dollars to building costs. Also, if you need to dig a well for water, find out how deep you'll likely have to go; well digging can get expensive.

TOPOGRAPHY Hills or steep slopes will affect what you can build and how much it will cost. That woodsy tract also means you'll spend big bucks on tree removal in order to build.

ROAD ACCESS If your land isn't accessible by a public road, there should be a deeded right-of-way that gives you the right to access your land. That means you and your neighbors will be responsible for road upkeep, adding more costs to the project. Find out if the road floods during heavy rain or snow.

Finding the money to buy the land for sale is the next step in the whole land buying process. It is also a step that unfortunately can't be skipped.

Many lenders see vacant land as a risky investment so they require large down payments. If you finance the land locally, the lenders may be more familiar with the area, and therefore be more willing to take the risk.