The decision to buy land is historically an investment made for your future and to build wealth. It is often a lucrative venture, offering opportunities for development, recreation, or simply as a long-term investment. However, before making such a significant financial commitment, it's crucial to ask the right questions and conduct thorough due diligence. In Utah, where diverse landscapes and growing communities abound, purchasing land requires careful consideration.
Here are 11 vital questions you should ask before buying land in Utah.
1. are there any Past Surveys or Boundary Disputes Regarding the Property?
While we don't think you'll walk into a Hatfield and McCoy level of dispute, ensuring clear and accurate property boundaries is essential to avoid legal disputes and boundary conflicts in the future. Be sure to request past survey records, and to clarify property lines for peace of mind and prevent future issues later on in the process.
2. are there Future Development Plans or Road Expansions That May Affect the Property?
There's no worse feeling than investing in a property with beautiful mountain views - only to discover that the planned development next to your property will block those views, cause traffic, and change the ambiance of the property. Choosing the perfect floor plan is important, but so is knowing the planned developments and future plans for the lots around your new home.
We encourage everyone to learn and understand the goals of any planned developments or infrastructure projects in the vicinity and weigh the impact of those developments on their future property's value and utility. Always research zoning regulations and future development plans with local authorities to gain insight into your potential property's future outlook.
3. What are the property taxes for the land, and have there been any recent changes?
While nothing is for certain besides death and taxes, the amount of said taxes, particularly property taxes, can change notable amounts. Property taxes can vary significantly depending on the location, size, and use of the land. It's important to educate yourself on the current tax obligation and any recent changes to that obligation. Be prepared to assume all financial obligations and responsibilities associated with your prospective property.
4. How does the cost of buying land compare to other real estate investments?
As we've seen in the last several years, commercial properties are not the trusty investment they once were. Land, however, retains its value, no matter what global or country-wide developments occur, and gives you creativity and freedom as an investor. It is always wise to compare the cost of owning land to the cost of commercial real estate or residential properties. But most importantly, it's crucial to invest in something that inspires interest, passion, and creativity for you, the investor.
5. What are the potential risks and rewards associated with purchasing this land?
Always assess the potential risks and rewards of any piece of land before investing in it. You ought to consider market volatility, environmental considerations, development potential, and what your aspirations are for this land.
Investing in a piece of land to build a scenic getaway requires different thought than investing in a piece of land you hope to develop into multiple residential spaces. If your plans for the land are agricultural, different factors need to be considered as well.
6. How will purchasing this land align with my personal or business objectives?
Don't just buy land because your friend or colleague told you how to buy land and that everyone is doing it. You should be buying land in Utah because it is the next step in alignment with your goals and future. While you don't have to know precisely what you want to do with a piece of property, it's unwise to buy a piece of property with zero desire to do anything with it besides own it.
Ascertain your five and fifteen-year goals, and then make a move on a piece of land that allows you to reach those goals sooner or maximize the dividends of those goals.
7. How does the location of this land impact its potential value and utility?
Location, location, location. That's the chant we use in construction and real estate. Land acquisition is no different, and arguably, even more important. The location of your potential land purchase plays a significant role in its value and utility. Factors such as proximity to amenities, accessibility, and surrounding developments can influence its potential appreciation and usability. Finding the correct location for your new home is an integral first step in the process of building a custom home.
If you're looking to escape suburbia, don't buy land next to a development. By the same token, if paved sidewalks and street lights are a must-have for your custom home, reconsider the land purchase that's seemingly in the middle of nowhere and find lots for sale with utilities.
8. What are the environmental factors to consider before purchasing land in Utah?
Like all western states, water rights, resources, and availability are important topics to consider when making a land purchase in Utah. Check out the property's historic risk for flooding, if it is in a flood zone, and whether or not the area is prone to wildfires. While no natural disaster is preventable, asking these questions before buying a piece of land in Utah will ensure that you can be prepared for whatever comes your way.
9. Are there any existing structures or improvements on the land, and what is their condition?
While this may seem like a no-brainer, it's crucial to inspect all existing structures when buying land in Utah or anywhere. One of the most important things to ask when buying land with a structure on it is if the structure was built with the necessary permits and permissions. Always complete inspections, personal and then professional, of any existing structures to protect yourself from an unfortunate surprise once you own the property.
10. What is the zoning classification of the land, and what are the permitted land uses?
This is one of the most important questions to ask when buying land in Utah. Discover--before you buy--what the property is zoned for and what its limitations are. Don't wait to ask these important questions because you don't know what to ask when buying land.
11. What utilities are available on the land (water, sewer, electricity, gas)?
While it may seem like you're asking this question when searching for land with utilities for sale, the actual extent of the utilities may vary greatly. This is an excellent question to not only ask but insist on being answered before you buy land in Utah.
There's no worse feeling than realizing that your new piece of land needs expensive sewer work done shortly after purchasing it. Save yourself that heartache and ask these questions first!
always ask before you buy!
The journey to buying land in Utah offers a wealth of opportunities for investors and property buyers alike. However, it is imperative to use your due diligence in the pre-construction process and ask the right questions to make informed decisions and maximize your investment's potential. By understanding what questions to ask when buying land in Utah, you can navigate the purchasing process as a prospective land buyer with confidence and clarity, ensuring your investment aligns with your goals and objectives.
You can never ask too many questions before making a purchase or investment. You can only ask too few. Those of us at 10X Builders hope this guide to the best questions to ask when purchasing land in Utah empowers and informs your land-buying decisions. The possibilities are endless when it comes to custom homes.
Contact us today to see what we can build for your ten-year plan!
