4 Mistakes to Avoid While Choosing a Land Broker
Texas is one of the best places to buy land. The median sales price of Texas homes topped $325,000 during the first quarter of 2022, an increase of 18.6% compared to the same period last year.
Working with the right professionals like Texas Land is important when buying or selling land. However, choosing the wrong land broker can lead to disaster, so it’s crucial to know what mistakes to avoid.
This blog post will discuss people’s four most common mistakes when choosing a land broker. If you want to make sure your transaction goes smoothly, avoid these mistakes.
1. Choosing the Wrong Broker
There are over 1,700 cities in Texas with populations ranging from 2.3 million to less than 100 residents. Therefore, the type of broker you choose should be based on the size and location of your project. For example, if you are looking for a large tract of land in a remote area, you will need a different type of broker than if you are looking for a small lot in an urban area.
It is crucial to interview several brokers before choosing one. You should ask them about their experience, what type of property they specialize in, and how they would market your property.
You should also ask for references. Some information you will get from customer reviews include:
- How well the broker communicated
- If the broker was able to find buyers that met their expectations
- If the broker was responsive to questions and concerns
2. Not Checking the License and Insurance
Texas has two types of land brokers: real estate licensees and non-licensees. Real estate licensees must take extra coursework and pass a state exam. They are also held to higher ethical standards and must complete continuing education courses yearly.
Licensed brokers have accredited members of the Texas Association of Realtors (TAR), which provides them with an added layer of protection. The TAR has a strict code of ethics that all members must follow and are subject to disciplinary action if they violate the code.
3. Not Asking the Right Questions About the Property.
Texas is well known for properties and lands like Hill Country, ranch land, hunting land, and more. However, not all brokers specialize in the same thing.
Therefore, asking your broker questions about their experience with similar properties is important to ensure they know to help you find what you’re looking for.
For example, if you buy a ranch, you want to ensure your broker knows about ranching and the land you’re looking at. Ranches have zoning restrictions, water rights, and other things that a broker who doesn’t specialize in ranch land may not be aware of.
4. Signing a Contract Without Reading It
A land contract’s terms and conditions can be confusing, so you must understand everything before signing on the dotted line. If there’s something you’re not sure about, make sure to ask your broker for clarification.
The contract will include details like:
- The purchase price
- Any earnest money that has been paid
- The date of closing
- A description of the property
Texas land is a big investment. Therefore, you want to be sure that you are working with a reputable land broker like Texas Land, who can help you find the perfect property for your needs. Avoid these four mistakes when choosing a land broker, and you’ll make a wise investment.