Texas is one of the most beautiful states in the United States. It boasts a lot of beautiful sceneries, incredible wild animals, and accommodating and welcoming people. So it’s no surprise that many people look forward to buying land in Texas.
If you’re considering selling your land in Texas, the time to start preparing is now. In 2023, whether you are looking to add some extra capital for retirement, fund an investment opportunity or move out of town, you may find that it’s best to sell your land now while prices are high.
This guide will provide you with handy tips on researching and preparing yourself before transitioning into selling real estate so that you can maximize returns and minimize risks when it’s time to sign those papers.
Know the Value of Your Land
The most crucial step is to determine your land’s actual value. It will be the basis of where to start with your listing price. As a landowner, you aim to sell it for the highest possible price. But it’s not that easy because there are several factors you must consider. These are the following:
So even though your land and your friend’s property are the same, they can vary in price due to one or more of these factors. Consider looking for lands with the same size and characteristics as yours, which have been recently sold or are currently for sale. Start by looking at comparable land properties and ensure updated information is available.
Consider if You Want a Real Estate Agent or a Broker to Assist You
Real estate agents and brokers are great allies that can help find the right buyer for you. At the same time, they can assist you with virtually anything you need during the sales process. Furthermore, these professionals are well-versed in the land selling market, the average price of land in your area, and so on. So they can provide you with the necessary advice you need.
Remember that even though you find a licensed real estate agent to sell your land, you’re not obligated to sell only through them. Therefore, you can sell your land even by yourself. But if they manage to sell your land, they will only ask for a commission, which is usually a small percentage of your total land price.
Know the Best Type of Deed Before Selling Your Land in Texas
The deed is an important document that states the Grantor as the seller and the Grantee as the buyer. It’s then signed and notarized by the seller, which will be recorded in the public records at the county clerk’s office. In Texas, three types of deeds are used. These are the following:
Texas Quitclaim Deed
Quitclaim deeds are used when one party wants to “quit” their claim to title or interest in the property without making any guarantees about the owner. However, it’s least desirable because one can nefariously quitclaim you for something they don’t even own.
Texas Special Warranty Deed
The Special Warranty Deed is often used to sell or transfer ownership of land with a limited warranty of title. It means the seller is saying through the document that they own the property, can sell the rights to it, and that there haven’t been any claims or disputes about the title while they own it. It can become a valid instrument for buying and selling real estate if a Title Company or a Real Estate Attorney completes the proper title research.
Texas Warranty Deed
The best kind of deed is the Texas Warranty Deed. It’s often used to hold title to real estate, which protects the buyer or title holder of the property. It shows that the owner owns the property without claims, liens, disputes, and other encumbrances. It also guarantees that the purchaser will have clear ownership of the property.
Verify the Ownership of the Land
It’s also crucial that you verify the ownership of the land. Even though you inherited the land, the ownership must correctly be passed down to you, or else you won’t be able to sell it.
The only way to verify its ownership is by visiting the County Assessor’s website. You can start by searching for the county name + “CAD” after it. After that, navigate to the property search button and search using the following parameters:
- Parcel Number or APN
- Owner’s Name
- Property Address
The Country Assessor’s website keeps updated information as well as the estimated valuation of the land for tax purposes. Once you find the property, you will find the owner’s name and its last transfer date.
Survey Your Land
While selling your land in Texas, the purchaser will ask for a survey on record for the property. It provides a detailed measurement, marking, and mapping of any parcel of land. The two types of surveys are Boundary surveys and Topographical surveys.
The first one measures the exact shape and area of the land in two dimensions. On the other hand, the former is only required if the land is developed for parking lots or roads.
Preparing Your Land in Texas for Sale
Once you have figured out the ownership of the land and already had it surveyed, it’s time to prepare your land for selling. Here are some tips to get you started:
- Clean your property: It includes mowing and clearing the brush.
- Adding an entrance: Buyers will want land that’s easy to access.
- Utilities: Ensure that utilities are available and accessible.
Process of selling land through a Lawyer or Title Company
Here are some steps of how the process of the sale will go:
- Purchase Agreement: The agreement includes all the sale details, such as the buyer and seller’s name, contact information, purchasing price, etc.
- Title Commitment: The title commitment will state information about the title insurance policy provider.
- Closing Date: This comes after the title commitment is sent out.
- Payment & Possession: After the wire transfer and signed deed is sent to the Title Company or Lawyer, they will give the purchaser the money according to the purchase agreement. After that, the deed will be recorded to make it official.
Sell Your Texas Property with the Help of Experts
If you’re planning to sell your property in Texas, this guide is an excellent place to start! But if you need more help, contact us regarding your concerns. We can guide you through the process and even help you find a buyer.