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I am considering buying an investment lot. Making a cash offer. The lot is 5,000 square foot in the city. It has a 1700 sq ft duplex home on it that looks alot like a tear down. Can I make this offer without an Agent? How can I find out what can be built on this lot or if it has any limitations? Also, Is the agent liable to tell me these things? Any specific questions I should ask the selling agent? Should I make an offer without an agent?
I am considering buying an investment lot. Making a cash offer. The lot is 5,000 square foot in the city. It has a 1700 sq ft duplex home on it that looks alot like a tear down. Can I make this offer without an Agent? How can I find out what can be built on this lot or if it has any limitations? Also, Is the agent liable to tell me these things? Any specific questions I should ask the selling agent? Should I make an offer without an agent?
Thanks in Advance. answers will be repped
If it were me, I would want an agent to represent me and ask the kinds of questions you're asking.
Contact the municipality's zoning/planning/codes office to see what it is currently zoned and what the surrounding properties are zoned also.
What is the current zoning? Is it in an historic district? What is the process for re-zoning? What about lead based paint? Or asbestos? Is the building permit process unusually cumbersome or long? Are there other scrapes in the neighborhood? Will you live there or resell it?
Is the lot already listed? If so, you gain nothing by not having a buyer's agent.
If the property is not listed, then yes, you can make an offer on it. Just write out your offer and the terms and conditions you want and present that to the owner of the property.
To find out what you can do with the lot, you go down to county planning and see what the zoning is. The zoning will tell you what you can build and what setbacks are required. Then check with the fire marshal. It wouldn't hurt to contact the water and sewer department. Investigate what permits have been issued for the area.
All of the above is your own due diligence and a real estate agent wouldn't know any of it to tell you.
You are wanting to invest in this lot without even knowing what it can be used for. That raises an eyebrow.
Some due diligence things from purchases I nearly goofed and made: Mobile home park set up for single wides. I wanted to change it to double wide spaces. Fire marshal says nothing can be changed unless the property is brought up to fire code, which means 2 driveways and a circular road through the park. Highway department says absolutely no new driveways can be cut onto the highway. No new driveway, no fire code, no changing to double wide mobile homes.
Another property: sewer and water tells me that the septic has failed, but that they will run a sewer line for me ($$$!!!!), but that the sewer line has to cross a local stream. Fish and wildlife says absolutely not; that is a salmon spawning area, so no digging pipelines.
If this lot is commercially zoned, all the burden is on the buyer. The seller doesn't have to disclose anything and the courts will tell you that as an adult buyer, you are responsible for your own self and your own mistakes.
Is the lot already listed? If so, you gain nothing by not having a buyer's agent.
If the property is not listed, then yes, you can make an offer on it. Just write out your offer and the terms and conditions you want and present that to the owner of the property.
To find out what you can do with the lot, you go down to county planning and see what the zoning is. The zoning will tell you what you can build and what setbacks are required. Then check with the fire marshal. It wouldn't hurt to contact the water and sewer department. Investigate what permits have been issued for the area.
All of the above is your own due diligence and a real estate agent wouldn't know any of it to tell you.
You are wanting to invest in this lot without even knowing what it can be used for. That raises an eyebrow.
Some due diligence things from purchases I nearly goofed and made: Mobile home park set up for single wides. I wanted to change it to double wide spaces. Fire marshal says nothing can be changed unless the property is brought up to fire code, which means 2 driveways and a circular road through the park. Highway department says absolutely no new driveways can be cut onto the highway. No new driveway, no fire code, no changing to double wide mobile homes.
Another property: sewer and water tells me that the septic has failed, but that they will run a sewer line for me ($$$!!!!), but that the sewer line has to cross a local stream. Fish and wildlife says absolutely not; that is a salmon spawning area, so no digging pipelines.
If this lot is commercially zoned, all the burden is on the buyer. The seller doesn't have to disclose anything and the courts will tell you that as an adult buyer, you are responsible for your own self and your own mistakes.
Some of this is true, but "nothing to gain by having a buyers agent" is absolutely false if the OP is not at a all experienced with buying and selling real estate or even with municipal codes and laws.
Of course due diligence is on the buyer, but an important part of due diligence is even knowing what to ask. An experienced buyers agent can certainly help with that.
A buyers agent can be helpful, but the answers to your questions wont come from a realtor.
A realtor may give you answers to those questions - I see them do it all the time, but they are not always correct, and there is no liability on the agent if the answers they give turn out to be incorrect.
A real estate attorney could answer them for you - but that will cost you some money. The best way would be to goto the city/town/county - whatever and find out the exact answer. You need to know zoning, setbacks, restrictions, etc...there are so many things you will have to find out.
A buyers agent who does LOT or vacant land transactions frequently may be able to help you ask the right questions, but in the end its all on you.
I recently put a vacant lot under contract, made my offer directly with the listing agent. The commission for a solitary lot is so piddly I didn't feel like bringing in my usual buyer's agent to spend time on it.
There are still professional ethics that Realtors are expected to follow even when representing the seller. They *should not* give false information, and *should* use standard forms and protocols. I am more comfortable engaging a listing agent who is also a broker or an appraiser who has worked the area for a long time. They will usually give a hoot about their reputation.
Vacant land can go for astounding discounts. On a home sale, a tired seller may cut the price a few percent as a reduction and hope for some fresh interest. But vacant land might be cut by a third to get attention. It's also nothing unusual to see vacant land that has sat for years waiting to sell. You can make drastic lowballs and get a response.
Some of this is true, but "nothing to gain by having a buyers agent" is absolutely false if the OP is not at a all experienced with buying and selling real estate or even with municipal codes and laws.
Of course due diligence is on the buyer, but an important part of due diligence is even knowing what to ask. An experienced buyers agent can certainly help with that.
Oregonwoodsmoke actually said, "nothing to gain by NOT having a buyers agent."
What is the current zoning? I'd call the city zoning department to get clarification. I don't see a benefit in not having a Realtor represent you.
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