Resources for Your Country Property Buying Adventure!
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So you are thinking about buying property in the country? You want to say sayonara to the hustle and bustle of the city life and relax on your 40 acre dream ranchette and watch to cows graze as the sun sets over the horizon? That is a fantastic goal, but there are a few things that you should understand if its your first time buying outside of the city.
In this episode, Jordan lays out 5 tips for buying rural property. Of course this is not comprehensive, or universal, but it comes from years of buying and selling properties in rural Texas. Feel free to add your top tips in the comments below!
Tip # 1 : Consult with a LOCAL real estate professional
Maybe you have a favorite agent that you have worked with for years or maybe you are a seasoned pro that "don't need no stinkin' realtor!" No matter what your background, a local real estate professional will be your fastest way of getting the lay of the land.
Tip # 2 : Talk to the Neighbors
As much as the real estate community will jump start your search for great property, they will never know as much about a specific property as the neighbors. Get out there and get to know the surrounding community before you buy. Ask them about the history, the community, and any drama that you should no about. It could save you headaches and hassles in the future!
Tip # 3 Understand Easements
It is not uncommon for rural property to be reliant on a deeded easement for access or to have an easement for the neighboring property to run through it. Ideally, the property has direct access to a county road or state highway. If it does not, and you must use an easement to gain access, make sure that the easement is deeded meaning it is legally granted and protected. Also, make sure you fully understand who has the right to use the property to gain access to their properties. Otherwise, you may find yourself in the middle of a litigation nightmare without access to that "dream" property.
Tip # 4 Understand Mineral Rights
Urban property usually has all the mineral rights tied up with the municipality or the original developers of the subdivision. In addition, there are usually ordinances preventing or limiting extraction activities in town. However, when you buy in the county, it is very common to only be purchasing the surface rights of the property. This means that the owners of the mineral rights can extract minerals from under your property, with all the traffic and equipment that that entails. It's not a common problem, and usually the surface rights leases for any oil and gas activity make up for the hassle, but it is something to understand before you lock yourself in.
Tip # 5 Hire a Good Title Company
A title company will be required if you are financing the property, but is a must even if you are a cash buyer. The title company will research all claims on the land and will issue insurance that protects you in the case of a long lost uncle coming to town claiming that he has a deed for great grandpappy on that parcel. It's just good due dilligence to have a professional set of eyes running through the chain of custody to protect your investment.