Buying Land? Here's What You Need to Know

Everything You Need to Know About Buying LandBuying land is a very different experience from buying a pre-built or new construction home. Knowing what to look for and how to plan for the actual purchase process can create a successful buying experience. If you're a home buyer who plans to buy land and construct a home, you'll need to know how to choose a property and how to budget for the experience. Here's what you need to know.

For informational purposes only. Always consult with a licensed mortgage professional before proceeding with any real estate transaction.

How to Choose Land

Plots of land can all start to look the same, if the buyer doesn't know what they're looking for. These tips can help make the search for land more fruitful and productive.

Make a Wish-List

Having a wish-list will help the buyer narrow their choices. If the buyer communicates what they want to their real estate agent, their agent can also suggest properties that will meet their criteria. When making the wish-list, the buyer should take the following into consideration:


Larger properties are harder to care for, but give the buyer more room to spread out. For buyers who want to grow a large garden, install a pool, or grow their family, larger yards are often more important.


The location of the home will affect the buyer's commute time. Location also affects how long it takes the buyer to reach local services. Buyers who want to save money on gas, spend less time commuting, or who hate driving should focus on properties that are in easy-to-reach locations. Buyers who want privacy may need to buy farther outside town.


Different properties will have different views of the surrounding area. Buyers seeking scenic properties should spend time considering the area around each property they're thinking about buying.


Buyers purchasing land in new developments should consider the changing landscape around them. Developments can look empty and almost desolate when they're first built, but later become established neighborhoods with old trees and mature shrubs. It takes time. Buyers sometimes need to use imagination to see what is possible in the future.

Get an Inspection

Before buying a plot of land, it's important to get an inspection. Inspectors can check soil quality, air quality and water quality. Buyers should also get a survey report of any property they're thinking about buying, so they can ensure that the property they purchase is the right size and shape for the house they want to build.


If you're considering farmland, technology can really be your best friend before and after the purchase.

Work with a Real Estate Professional

Working with a real estate professional can help the buyer avoid making mistakes that could cost money. Real estate professionals can help with the negotiation process, and can also point out any problems that the buyer should consider.

What You Need to Know About Financing

Buying land is not the same as buying a pre-existing home, because many lenders will not finance the purchase of an empty plot of land. Buyers who want to build their home may need to save the money on their own, or find a seller willing to offer financing.

If you're a home buyer who would like to purchase a plot of land and build a new construction property, now is the time to get started. Find a real estate professional with experience helping buyers purchase land. Work with your real estate professional to make your wish-list. At the same time, get your financial affairs in order. If you plan to get a loan of any kind, you'll need to have a down payment, and you'll need to have proof of income.

Getting started early can help make the Fort Collins home buying and building experience less stressful and more rewarding. Talk to an experienced real estate professional to find out more.

For informational purposes only. Always consult with a licensed mortgage professional before proceeding with any real estate transaction.

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