How Much is My Land Worth?

So you have inherited a piece of land and you are curious about valuation. As the beneficiary, many times the notion of paying property taxes on a vacant lot isn’t thrilling and it can be taxing to find a real estate agent willing to take on selling vacant land.

No Need To Worry

Our team at Land Helpers is set up and ready to purchase your vacant land in Pahrump, Nevada or anywhere around the USA no matter the current market conditions and we can make offers on most types of land use. We specialize in helping newly inherited landowners discover the true value of your land starting with the comps and then drilling down to special issues your land might face while also making you a cash offer.

Jack In The Box Surprises

So the estate has been settled and you have land for sale technically but a deeper dive shows that there are back owed taxes. Maybe the location or zoning of the property there is a lien for upkeep issues that couldn’t be helped. Selling land with issues like these can make things more complicated for potential buyers especially if lending and their own land appraisals come back short.

Estate Taxes and Inheritance Taxes

Commonly referred to as “death taxes”, some beneficiaries are pleased to discover inheriting land did not include inheritance tax. This typically is the case in estates that fall below exemption thresholds (5 million baseline) or when there are enough liquid assets in the estate. 

Experts recommend working with an attorney if you find out that there are outstanding unpaid estate taxes for the estate at issue, so you can learn if it impacts you and the property you inherited. Likewise, keep in mind that an inheritance tax is a different death tax that a few states impose on beneficiaries, based on the value of their inherited property. Once these basic hurdles are cleared you are ready for land valuations that take recent sales of similar properties into account with a cost approach. Land Helpers will not only get you a cash offer but we provide researched information about your property including fair market value while also covering closing costs and offering cash to pay off liens, and back owed property taxes.

Mortgages

It is rare but in some cases when you are gifted land you may also be inheriting liabilities and mortgage debt and/or HOA fees. Having an option to immediately liquidate the property without a protracted sale and dealing with lenders is a godsend to beneficiaries who would prefer to move on.

Real Estate Taxes

The impact of property taxes cannot be overlooked with land value. First, any unpaid property taxes should be addressed immediately in the overall value of the property. In many states the transfer – even by inheritance – may trigger a reassessment that causes the land’s taxes to be higher for the new owner.

Ongoing Maintenance & Insurance

Inheriting land also means you have gained the responsibility of being a landowner, including maintaining the property (even if you live in California and the property is in Texas). 

• Securing the property from trespassers
• Cutting the grass and maintaining the borders to prevent city citations.
• Cleaning up after illegal dumping on parcel land
•  Insurance on the property to protect you from liability
• Owning land has its own special set of responsibilities.

Should I Sell My Inherited Land?

Chances are if you are reading this you are open to hearing more about the value of the land. This cash windfall can help you start a new business or put it to best use in the stock market. Selling your vacant land soon after the settlement, there is likely to be little or no taxable capital gain for you, as the property’s value is unlikely to have changed much.

Real estate markets are tricky enough for real estate agents with traditional home values and commercial developments commanding higher prices. Sales data from Zillow suggests that a parcel of land usually takes 7-8 months (New York sales data averages well over 220 days)  to sell and this largely can depend on land price, depending on whether the land is off-grid or closer to the city utilities as well as comparable sales on comparable properties. This is as difficult a task to move the land for a realtor as it would be for you to try and list it on your own on MLS. 

When you call Land Helpers it is not uncommon to get a cash offer and set the closing date for as little as 30 days from the offer. You can even choose the closing date if an offer is made. Feel free to give us a call so we can address your particulars in a neighborly no-hassle environment.