Real estate information (Portland, Bangor, Brunswick: for sale, foreclose, home equity loan)

[N.J.Prisoner]

Was hoping someone out there would have some helpful info for me. I am starting to look at purchasing some land up in the Belfast area, I hate to sound like a complete idiot but I am when it comes to buying raw land. I have many questions and probably many more that I don't even know enough to ask right now. To start what types of financing are there for buying land ? second what things to look out for when looking at a lot ? I'm sue I can't be the only one "from away" that has these any many other questions so hopefully this helps out some others as well. Thanks in advance for any help

[Northern Maine Land Man]

Some banks will loan money on raw land with 30% down, but they want to see a building permit and be assured construction will start in 6 months. Another alternative is owner financing. In that case you put down a deposit and the seller holds a mortgage. You pay the seller for whatever term you two agree on. If you default he forecloses, just like at a bank. The last typical scenario is to take out a home equity loan on what you already own.

When choosing land to build on, think about the danger of flooding, whether you could have a walk-out basement and make sure it's on a year round road if you need that.

When you get that far south in Maine you run into zoning. (We have no zoning here.) Make sure you can build what you want, bring a mobile home, raise chickens, shoot in the back yard, have a horse; whatever you want to do. Find out before you buy.

[N.J.Prisoner]

So if you don't want to start construction soon it sounds like the only option is a home equity loan? When I spoke to the agent he told me this was not the case. He said a bank will give loans just for the land without a construction loan. That sounded a little fishy to me ( it's not that way here) but I thought it might just be a diffrence between here and there. Most of the land I see advertised on realator web sites seems either overpriced or to have issues. Is there anywhere else to look? and any continued info on the questions above would be appreciated.

[Northern Maine Land Man]

Bath, Brunswick, Rockland, Rockport, Camden and Belfast are all expensive places to buy land. Get a little further inland and prices drop, but not much. To find economical land you need to be well north of Bangor. We still have a quiet lifestyle and good schools, hospitals and full service communities.

[forest beekeeper]

Originally Posted by N.J.Prisoner

So if you don't want to start construction soon it sounds like the only option is a home equity loan? When I spoke to the agent he told me this was not the case. He said a bank will give loans just for the land without a construction loan. That sounded a little fishy to me ( it's not that way here) but I thought it might just be a diffrence between here and there. Most of the land I see advertised on realator web sites seems either overpriced or to have issues. Is there anywhere else to look? and any continued info on the questions above would be appreciated.

Most of the land for sale in Maine is not listed on MLS.

Everyone who has a pony in that race has their own idea of how many 'realtors' use the MLS system. Those who get a high commission will insist that 'all realtors' use the MLS system, it is their professional slogan.

Some licensed 'realtors' are better than others, but than again 99% of them give the rest a bad name.

I have seen land in Maine asking $300/acre, and I have seen land asking higher prices. My land is riverfront forest and sold for $900/acre.

Right now there is property on one of my land that is asking $300/acre; and on another line is a property that is listed by a 'realtor' asking $1200/acre.

If you insist on using a 'realtor', NMLM is your man.

Otherwise your best bet is to drive around and look for phone numbers on signs nailed to trees. Call the owners and talk with them. Most that I have spoken with truly dislike fancy 'realtors' with their commissions. Buy from the owner and you will pay a third or less, then what most realtors will list the property for.

But like I said not all of them are bad, only about 99%.

Good luck.

[WhoFanMe]

Originally Posted by forest beekeeper

Most of the land for sale in Maine is not listed on MLS.

Everyone who has a pony in that race has their own idea of how many 'realtors' use the MLS system. Those who get a high commission will insist that 'all realtors' use the MLS system, it is their professional slogan.

Some licensed 'realtors' are better than others, but than again 99% of them give the rest a bad name.

I have seen land in Maine asking $300/acre, and I have seen land asking higher prices. My land is riverfront forest and sold for $900/acre.

Right now there is property on one of my land that is asking $300/acre; and on another line is a property that is listed by a 'realtor' asking $1200/acre.

If you insist on using a 'realtor', NMLM is your man.

Otherwise your best bet is to drive around and look for phone numbers on signs nailed to trees. Call the owners and talk with them. Most that I have spoken with truly dislike fancy 'realtors' with their commissions. Buy from the owner and you will pay a third or less, then what most realtors will list the property for.

But like I said not all of them are bad, only about 99%.

Good luck.

There you go again, Galen.

There are 8498 parcels of land for sale today on the Maine Multiple Listing Service right now which covers most, but not all of the state, can you site your source that "most land in Maine is not listed on MLS?"

When a real estate agents pays dues to their local Board, the Maine Association of REALTORS and the National Association of REALTORS, they gain access to the MLS system. Are you saying that some of us pay dues and don't take advantage of the single most effective way to market property? When we contract with a client, we have fiduciary responsibility to market that property to as many prospects as possible. So yes, all REALTORS use the MLS system - unless the client opts not to. In addition, these listings are syndicated to dozens of websites, my company's site averages 1,300,000 visits per month, is that a bad thing? Are there a lot of overpriced listings on the market right now? You bet. Are properties lingering on the market for much longer than they used to? Absolutely. Do REALTORS, who only get paid when a property sells, force their clients to price their property higher than market value so that potential buyers are turned off and go elsewhere? I don't think so.

99% of REALTORS give the rest a bad name? I guess I'm proud to be in such fine company in your eyes. You chose to not have representation in the purchase of your property. Your property flooded this spring. Coincidence? Who knows?

N.J. Prisoner is a buyer who might consider hiring a REALTOR to represent him or her in a potential transaction. From all of the questions raised in the original post, it's clear that he or she needs a professional advocate to help with the process. That REALTOR will show property both listed on MLS and sold privately, if he or she is aware of it. That REALTOR will also show N.J. Prisoner recent sales, property under contract and similar property currently for sale and help the client write a Purchase and Sale Agreement for the proper price, help with the financing, appraisal, inspections (if there is a structure on the land), code conformance and title issues and steer the transaction to a speedy, efficient conclusion. Please explain to me having all of this would increase the price that a seller would offer on their property.

N.J. Prisoner and all those who might still be reading - there are two sides to every story. Galen has chosen to voice his opinion that you should not have representation and you should buy from an unrepresented seller like he did. He seems happy with the result and I'm happy for him. If you have the time and energy to drive around and look for property without knowing anything about the land advertised, I say go for it. However from your questions above, it's clear that you need an advocate on your side every step of the way. There are many qualifed REALTORS in the Belfast area who would welcome the chance to be interviewed for the job of representing you. You'll want to ask them to send you properties that they've sold and references you can call of real buyers and sellers that they've worked with. Good luck and welcome to the forum.

[elston]

WhoFanMe gives out lots of excellent advice and we are more than fortunate to have his input into the forum. I also would say that my experiences with the realtors I hired has been more than satisfactory. I would never try to characterize 99% of any profession: my experience is that there are good and bad in every profession....or avocation, and that fortunately I have usually ended up dealing with the good.

My Dad and Mom got involved in a private sale of land on a lake some years back in Plymouth Maine......using an attorney but not a realtor.....thereafter there were questions of title and ownership and right of ways.....a big mess. It was my impression that the "private sale" was woefully lacking in assurances to the naive buyer.

[Acadianlion]

Originally Posted by N.J.Prisoner

Was hoping someone out there would have some helpful info for me. I am starting to look at purchasing some land up in the Belfast area, I hate to sound like a complete idiot but I am when it comes to buying raw land. I have many questions and probably many more that I don't even know enough to ask right now. To start what types of financing are there for buying land ? second what things to look out for when looking at a lot ? I'm sue I can't be the only one "from away" that has these any many other questions so hopefully this helps out some others as well. Thanks in advance for any help

I think you are looking for trouble.

You absolutely CANNOT successfully buy land in Maine, or much of anyplace else unless you have stood there, with your boots on the ground, and have done a considerable amount of research on your own, regarding the community, the county and the state itself.

You may or may not find a good realtor. I have personally known one truly good, professional realtor in Maine, and he was in the greater Portland area. The rest have been sort of hit or miss, mostly miss, and one almost lost his license along with his scalp to my study wall. To put a point to it, stupid, incomepentant, lazy are realtor terms that come most easily to mind.

Nevertheless if I were you and looking to buy land in Maine, I would come here, drive around and look at areas of the state that seemed interesting. Then I would walk into several different real estate broker's offices and discuss what you wanted to do. In the end, you might find a broker who would be worth talking to and from whom you might buy real estate.

Make sure that you understand who the broker works for. Follow the money trail. I'll say that again: the broker works for whomever is paying him. The real estate business has invented a cutsey term: buyers' broker. This is supposed to enable a buyer to have a broker who looks out for his interest. It is a lot of hokum: follow the money trail.

Find the piece of land that you need, and then hire a real estate attorney who will look after your rights during the purchase of the property.

You will also need to learn about the land itself, and may want to have a survey completed before purchase, along with a soil survey to be sure that the lot is buildable, or at least will support building somewhere near where you would want to have a house. I have known people who bought fairly large pieces of land with a beautiful building site only to find out that the only place to put the septic system was a thousand yards away. The land was pretty cheap, and the cost of the septic system and its pumping equipment cost a lot.

Sometimes what appear to be really good deals are just that: too good to be true, so you will need to do your own homework.

But first, make sure tha tyou have put your boots on the ground and worn through the soles a few times, so you will know what the territory is more than just wishful thinking.

[island mermaid]

Acadianlion had made some excellant points. Buying land in Maine is a process, it takes a lot of time and research. You absolutey must go there and plan on spending a reasonable amount of time to get a good feel for the area in which you are interested.

[forest beekeeper]

To find real estate in Maine, you need to come to Maine.

To buy real estate in Maine you need to become familiar with that land. Walk it's borders, read the deed, check the soil, talk to the neighbors, etc.

I have never implied that anyone should buy real estate in Maine without legal representation, and to imply that I said such a thing would be untruthful.

Enjoy your land buying experience.

There are sharks out there, in business to take advantage of you. They will tell you that buying Real Estate is too complicated to do without their help.

Beware!

Anyone who must say again and again; that they are honest and moral; trying to convince you that they are honest, trying to impress you that they are ethical; is selling you a package already.