How To Buy Cheap Land In Texas
A recent report listed the "cheapest" places to buy land including both single-acre and five-acre plots. Texas is listed as one of the cheapest places to buy land within the one- and five-acre categories.
how to buy cheap land in texas
A recent report from Compass Land USA listed the "cheapest" places to buy land including both single-acre and five-acre plots. Texas is listed as one of the cheapest places to buy land within both the one- and five-acre categories. One West Texas county was listed as the most affordable area to buy five acres.
Overall, the report lists the various towns, the square mileage of the area and the lowest price for one or five acres of land. Among the least expensive areas to buy five acres of land, Hudspeth County, Texas tops the report category with the lowest price for five acres of land listed at $1,200.
Within the five acre category, the other cheapest places to buy land include Costilla County, Col. ($2,495), Valencia County, N.M. ($2,900), San Miguel County, N.M. ($3,500), Lake County, Ore. ($3,500), Mohave County, Ariz. ($3,500), Cochise County, Ariz. ($3,600), Socorro County, N.M. ($3,999), Kern County, Calif. ($4,995) and Apache County, Ariz. ($4,999).
For people looking to purchase one acre, the list of cheapest places to buy land include Valencia County, N.M. ($799), Apache County, Ariz. ($1,225), Jasper County, Miss. ($1,251), Navajo County, Ariz. ($1,400), Luna County, N.M.($1,450), Mohave County, Ariz. ($1,499), Cochise County, Ariz. ($1,595), Polk County, Fla. ($1,599) and Torrance County, N.M. ($1,750).
Purchasing your own piece of America is an exciting opportunity. However, not all land is created equal. It's important you know exactly what you're looking for when searching for cheap land for sale in Texas.
If you are planning on starting a farm or ranch, you have to be extra careful about doing your homework before making a decision. Your land must be able to sustain plant and animal life to ensure you stay cost effective in your efforts.
The best lender for purchasing raw or undeveloped land will likely be a member of the Farm Credit System. It was established by congress in 1916 to create liquidity in the agricultural land market much as the way Fannie Mae and Freddy Mac serve the residential home loan market. Today the Farm Credit system is a nationwide network of 71 customer owned financial institutions, 11 of which are in Texas.
A member of the farm credit system will very likely be the best lender for you if you are purchasing over 10 acres of raw land with no improvements. These lenders specialize in raw land and agricultural financing so they are familiar with the nuances of a farm or ranch purchase. They will also have a number of resources at their disposal who are familiar with farm and ranch transactions.
Another good option can be to get a quote for financing from a local bank in a city near where you plan to purchase the property. These local institutions are familiar with the surrounding areas and are comfortable lending against land nearby. They will also have relationships with local surveyors and appraisers.
I am an experienced land agent who help buyers find and that perfect piece of land. If you are seriously looking for rural land check out my information on the bottom of this article and reach out to me.
Unlike a home purchase there are no licensed land inspectors. For raw land it will be up to you, your buyers agent, and sometimes a qualified consultant to inspect the land during your option period and ensure it will meet your needs.
Surveys on rural land are conducted differently than surveys conducted for residential homes. Boundaries for a home in a subdivision are defined in a lot and block system whereas a raw land boundaries are defined by metes and bounds. Metes and Bounds uses bearings from a point and distances to measure the circumference of the property in the legal description. A lot and block system has already been fully surveyed into several parcels, each with a lot number and a block they sit within.
Aside from landscape, there are several other variables to consider before purchasing land. Variables such as proximity to jobs with the opportunity for professional growth, a desirable school district, as well as the attractions, amenities, and resources you might use on a regular basis. Other important factors for prospective land buyers in the Houston area to consider include cost and whether the characteristics of a specific piece of property make it a worthwhile long-term investment, especially when building a new custom home.
In the first quarter of 2021, the average cost of land in Harris County was about $21,000 per acre. The Gulf Coast region, where Harris County resides, averaged $11,675 per acre of small land sale in 2020.
Location plays a large role in determining the price of land, more so than type or aesthetic appeal. That being said, the rural properties that have been improved by interior roads, selective clearing, and fences tend to bring in a premium price. Otherwise, there is very little existing cropland in the vicinity of Houston or its adjacent suburbs. The little cropland that is present around Houston is typically valued for lifestyle farms or rural residential use, rather than agriculture use.
Houston land price averages are not included in the rural land reports. Further, the rush to purchase rural tracts since 2020, and the following steep reduction of rural land inventory, have not affected Houston land inventory. In fact, according to Land Watch, Harris County ranks 15th of the 254 counties in available land properties, although this data does include hunting land.
Land prices in Texas are reported under two distinct categories: rural land sales and small land sales. Small land sales in Texas are defined by a sale involving a tract that is 200 acres or less. That is, except in Far West Texas, where the definition includes land sales up to 8,000 acres. The division of reports is due to the stark division of use and buying trends. Rural land purchase trends are typically guided by farming and manufacturing activity, whereas small land trends tend to be driven by residential, recreational, or small farm use.
Each region in Texas has its own dramatic landscape and unique character, which not only affects the average price of land but the feasibility of building a new home. For example, in 2020, an acre under the small land sales category in the Gulf Coast region was $11,675 per acre; whereas in the far western part of the state, the cost was closer to an average of $450 per acre.
The land in Texas is diverse, however, and the price per acre depends on several factors, including the size of the overall plot, demand, terrain, and availability. However, due to the rapid influx of urban dwellers purchasing rural land, the demand in Houston has risen while availability is reaching the bottom, causing the price per acre to soar.
Small land sales jumped an incredible 34% in volume in 2020. The volume increase was experienced across all seven regions, but most dramatically in Far West Texas and Austin-Waco-Hill Country. The average price per small land acre grew in 2020 by 3.8%, mirroring the rural land acre rate increase, to $6,471.)
As the amount of land sold increased in 2020, the average size for small land sales in Texas continued to decrease, dipping 3% to 32 acres in 2019 and again to 30 in 2020. Market analysts speculate that these trends are again driven by urban dwellers, who want open plots of land but not for agricultural or commercial use. The average price per small land sale acre in Texas continued to rise into 2021, however, the annual report has yet to be released for a more detailed look at those numbers.
Texas Realtors chairperson Cindi Bulla projects that there are several possibilities for the future of small land sales in Texas, given current data and the COVID-19 pandemic. She expects small land purchases will continue to be impacted by certain trends, such as residential migrations from dense metropolitan areas and continued rural and suburban development.
Undeveloped land is much less expensive in terms of maintenance and property taxes and represents a significant array of possibilities for future use. Considering that the amount of undeveloped land is decreasing at an exponential rate, that property will likely only increase in value, particularly for land in areas deemed desirable and experiencing rapid expansion.
A conservation easement can apply to agricultural, hunting or recreational land. In this agreement, you use part of your land, but you let an individual or group use the rest to preserve natural or cultural areas. Some conservation easements count as charitable donations, so you may be able to get a tax deduction.4
Check out the rules on the Texas Comptroller website to learn more about ag exempt land in Texas. And if you buy agricultural land or have an easement, work with a tax advisor you trust to help you handle your taxes.
So we went and parsed through several of the most dominant land listing websites including LandWatch, Land and Farm, Lands of America, LandFlip, and Zillow. We took the most recent price per acre data they had available and collected it here for easy pickings for you.
For acreage size, we chose to use 1 acre and 5 acres as examples. We had to choose a way to normalize across the websites and data provided. So we examined 1 acre and 5 acres. These also seem to be the most popular size requests from our customers (people who buy land from us) and I figured it would be the most helpful for you here.
Some great news for you here is that at Compass Land USA, we do a lot of work in Colorado, Arizona, and Florida. So make sure you check out our website compasslandusa.com for all our current listings.
Professional and no problems that you would usually encounter purchasing land. I checked the land to the state and county parcels and all was in order. The method Compass Land uses to secure payment and documents so that you have no fear of being done wrong is outstanding and I wish more businesses would use these standards. 041b061a72