Preparing Your Texas Land or Ranch for Sale

January 27, 2022 by chorton Leave a Comment

Preparing Your Texas Land or Ranch for Sale

You have now decided to sell your land or ranch. You have to prepare it just like a house seller. You have to make it as showcase-ready as possible and within the scope of work and money you can shell out.

First, find an experienced real estate agency that handles raw land and ranches. Experienced raw land and ranch realtors are more knowledgeable about the market and what buyers are looking for. They have a sharp eye for what needs to be developed or tweaked in the property before displaying it to prospects, as well as features that will add or subtract to the value of the land.

Now Let’s Get To Work

Put yourself in a buyer’s shoes – what key features or elements are you looking for in a ranch or land?

Your fence should be in top shape, or the best you can do. Fix loose or broken wires and replace posts that have seen better days. If you have electric fencing, make sure these are operational without you being electrocuted. Yearly cleanup of overgrowth of land near the fences would save you time and money; however, if you’ve neglected it, a once-over is advisable so buyers can see the fences. For areas without fences, mark them with “T” posts or stakes, so buyers will see the boundaries of the property.
Give them the grand entrance – Fix the gate. A working and presentable gate gives the impression that the property is well taken care of. A gate that opens and closes well without any insect nest or grass covering it gives a good first impression. It doesn’t have to be new, just working, not hard to open or close and fresh paint will do the trick. If you can spare the money and time to install a new one, that would be even better.
Buyers are always in awe whenever there are great views or water features on a property. Make sure river or lake banks are clean, free from trash, debris, and other obstacles. Enhance viewing spots by keeping them clean, trimmed, and mowed as well as the path to get there. It’s like when showcasing a house; you are enhancing the best features to stir up the imagination of buyers what they can do to the property – for them to imagine the further potential of the ranch.
Concerning the viewing pleasure of potential buyers, make sure all viewing spots to see the whole property are accessible without being tangled in shrubberies or anything that can deter them from touring or walking through the area.
Speaking of accessibility, if your property is landlocked, make sure you have a documented easement agreement with your neighbor or neighbors that gives access to the land. Aside from the agreement, make sure that easement access or the road leading to your land is accessible and direct, so as not to create confusion on which property is on sale and not enter your neighbor’s land.
Clear out all the trash and junk that stick up like sore thumbs from the pristine views. Junk and trash such as rusting vehicles, wires, or metal pipes should be cleared out. That also includes the shell casings of guns from the last shooting party with friends and family. You want to give the best impression to buyers that they are buying a prime piece of property that’s well taken care of. This will give them the idea of the potential of the land, and possibilities for income generation or leisure activities.
For still useable stockpiles of wood, pipes, bricks, automobile parts, and other knick-knacks, organize them in one place. These things can still look presentable as long as you arrange them in an orderly manner.
Of course, you also need to stage the main house, barn, or any other structure, adding to the curb appeal of the property. A fresh coat of paint, roofing repairs, amenities such as HVAC, insulation, water supply, and heating are the usual home features the buyers will be checking.

After tending to the physical aspects of the property, it’s time to look after the paperwork, documents you need to have on hand.

Land title, real property tax receipts, easement agreements, and water rights are the basic papers that need to be on hand, to be checked by your realtor. Without these papers, it will be difficult to sell the property.
Prepare records of Income statements, as well as documents of wildlife and fisheries in the property. These help target the right buyers.
List the livestock, equipment, and structural improvements that will be included with the ranch. You want prospective buyers to have a full picture of what they are getting with the land.

All these preparations will make it easier for you, your realtor, and the buyer to conclude terms of pricing, offer, and final decision on the sale. A ranch or land sale is just like selling a house. You have to stage it, both physically and on paper for you to get the optimal price.

Top Trends in Selling Ranches or Land in Texas

January 25, 2022 by chorton Leave a Comment

Top Trends in Selling Ranches or Land in Texas

This is the golden opportunity for selling ranches or land in Texas. Before the global COVID-19 pandemic, there was already an increased demand for land in the Lone Star State. The pandemic did not dampen this trend; instead, it boosted the search and sale of real estate.

Profile of New Buyers

Two major driving forces of buyers are heading for lands and ranches are: first, the necessity for a change of lifestyle, and second, as an investment due to the uncertainty of other portfolios. The year 2020 proved to be just a sneak peek into the future of real estate in Texas. The spread of the COVID-19 in urban and densely populated cities was a game-changer in terms of lifestyle and investment.

People are now looking at properties in less populated areas, no matter what amenities are available. Investors, in real estate and other portfolios, are pivoting towards open lands than high-rise apartments, stocks, or bonds. In other words, you are looking at a new breed of buyers – first-time homebuyers, millennials, and city folks.

Property buyers are looking for their piece of paradise, whether this means organic farming, ranches to keep wild game animals for hunting, and other leisure and alternative income-earning pursuits. These buyers, for the most part, are very much aware of the environmental impacts of these endeavors. Thus, the preservation of the land is a priority. In other words, they do not want to mess up the beauty of the wide-open space Texas has to offer.

Trending as One of the Best States to Live in

Pre-pandemic, Texas had already been hailed as one of the best states to live in. It has a balance of good schools, job opportunities, and leisure activities that many are looking for in communities. The urban areas and surrounding suburbs have all the right amenities and elements, while in keeping with a lower cost of living compared to other states such as California and New York.

Now, because of this, those who own properties near urban centers or within the vicinities pre-pandemic and the natives, of course, can sell at the most optimal rates to buyers. They can buy outskirt lands, ranches, or in more rural areas. Other land buyers are out of state, even from foreign countries, who want a piece of the American lifestyle at its best. They may be investors who want a secondary or tertiary residence. Investment to nest their eggs while other portfolios are still uncertain.

Land has always been the most stable investment that can turn into easy cash or passive income in the future. Land properties still offer more possibilities and opportunities than other investments. More people are realizing this as the wave of the pandemic has hit the country. Texas, with its hills, meadows, and prairies, is ideal while still enjoying the benefits of better healthcare and lifestyle options.

Social Unrest in Big Cities Resulted to in the Big Move

Uncertainty was not only felt in the financial districts in big cities but also in the streets. 2020 has been a year of unpredictability, where unrest and violence ruled some city streets. Families saw how more dangerous and potentially life-threatening urban living could be. This became the deal-breaking decision for some to move to the country, which would be more peaceful and more conducive to health and wellbeing.

Now The Numbers

Ranch lots were the first to go in the second half of 2020, as buyers bought at about 552,707 acres in rural areas of Texas. That is equal to $1.69 billion. The total value of sales in 2020 is 28.9% higher than the same time in 2019. These are sales and increases in prices across seven regions that include Austin/Waco/Hill Country. Sale and price averages have doubled for the past six years.

Now is the right time if you have land that you want to sell, while everything is still sunny and looking bright and clear like the big Texas sky.

Owning A Horse Ranch

August 13, 2021 by chorton Leave a Comment

It is not easy to own and operate a horse ranch. How much does a horse ranch run? Owning a ranch comes with upfront costs such as taxes and development fees. However, you will need to purchase horses and register the horse ranch as an accredited company. The majority of the costs involved in owning a horse farm will be related to the purchase of horses.

Horses can be expensive, and those who have one know how costly they can become. Horse ownership comes with the most expensive costs:

Costs of purchasing
Vet expenses
Farrier costs
Feed/board costs
Costs of equipment/tackling
Training costs

When you decide to purchase a horse, the first thing you need to consider is the cost of purchasing the horse. The cost of a horse will depend on its breed, age, and bloodline. A show-level Hanovarian, for example, can go up to $50,000. The average cost of a standard riding horse is between $3,000 to $5,000. You might be able buy a horse if you can foster one from a rehabilitation facility.

The next expense you’ll have to pay once you own a horse is the cost for vet and farrier visits. The horse vet administers vaccines and shots to your horse. They also care for your horse in case of injury or sickness. The farrier is responsible for trimming your horse’s hooves and equipping them with horseshoes.

A typical horse vet will charge between $50 and $75 to visit the farm and $200 to $350 to administer any vaccinations. Your horse’s hooves grow faster in summer than they do in winter. For a standard farrier visit, expect to pay between $30 and $70 for a trim or $50 to $200 for shoes.

Hay and grass will make up the majority of any horse’s diet. Hay is paid for, while grass is usually free. Hay will typically cost between $5 and $15 per square yard. To meet the standard nutritional requirements of horses, hay and grass must be supplemented with grain. A horse owner can expect to pay $15-$50 for a bag of grain, depending on the quality and size.

You most likely want to buy a horse so you can learn about the sport and ride it. You will need to purchase tack, equipment and training if you decide to ride your horse. Equipment and tack costs can vary depending on the horse’s age and quality. Training will also cost more than all the equipment. A lesson in riding can range from $50 to $250 on average.

A horse is a costly investment. If you have more than one horse, this expense can be even greater. An average cost to own a horse each year is between $2,000 and $50,000. If you plan to board your horse at a different horse ranch, the overall cost will need to be adjusted.

If you have a horse ranch, you won’t need to include boarding costs in your answer to “How much does it cost to purchase a ranch?”

If your looking to buy a horse ranch contact our office to speak with one of our knowledgeable agents. We are here for you!

The Ins and Outs of Water Rights in Texas

July 13, 2021 by chorton Leave a Comment

Water is an important resource that continues to shape the development of Texas. The Water Rights law is complex because of the Lone Star State’s historical background and succeeding amendments to adjust to the hydrologic cycle and usage. Water Rights dictates who is given by privilege, quantity, and purpose. It also specifies the time and place where the water may be utilized. Texas law has divided water into legal classes with different rules on ownership and usage for each category. The most recognized of the classes are surface water and underground water. Surface water rights are more complex because it follows the British ruling, and other amendments based on the hydrologic cycle

Surface Water

What is the Riparian Doctrine?

Briefly, the Riparian doctrine is used in resolving water rights and usage conflicts. The fundamental rule is that water rights are connected to the ownership of the property that borders natural water sources such as rivers or streams. Water rights are covered by land proprietorship.

Riparian landowners have the right to use the water within reason and in consideration of the needs of other owners of lands with the same water source. Water rights are retained as long as the property ownership is retained.

Texas water rights use this ruling to resolve conflicts between landowners’ use of natural water within their properties when applicable.

What is Prior Appropriation Doctrine?

Landowners, lawmakers, and the courts from the Western States realized the Riparian Doctrine is not enough to cover rulings on water rights. The doctrine is not appropriate to the dry weather of the Western States, where the rainfall average is below 30 inches per year. Prior Appropriation Doctrine is therefore applied where water rights are not connected to land ownership. Instead, it is based on complying with statutory requirements.

Texas, like the other Western States, was unable to control the use of natural sources of water. Water belonged to no one and was used by everyone. The Doctrine of Prior Appropriation then was adopted to legalize the appropriation of the use of water from rivers and streams.

Combining Two Doctrines

Water Rights Adjudication Act of 1967 combined the Riparian and Prior Appropriation Doctrines. Any person who wished to claim a Riparian must file claims for the right by 1969 with the Texas Water Commission. Furthermore, anybody wishing to use surface water or drainage water must ask and receive permission from the state. The permission is granted by Texas Commission on Environmental Quality.

Why is this drainage water so important that there is a need for a permit to collect and use? Drainage water is another name for diffused surface water or stormwater that naturally incurred after rainfall or snowmelt. Diffused surface water finds its flow from high elevation to low lands. By law, the diffused or drainage water is owned and regulated by the state. Thus, landowners must have a permit to collect this water. There are three general directives applied when drainage water is collected or diverted.

Directive 1 – Common Enemy Rule: Drainage water is considered as a common enemy of all property owners and the law enables all owners to establish measures to protect their properties, without considering the consequence of which to others or neighboring properties. For example, under this rule, Property owner A can take measures like diverting the flow of diffused water to a water duct in his property to protect certain parts from being destroyed or affected by the natural water flow.

Directive 2 – Civil Law Rule or Natural Flow: In this ruling, all property owners are entitled to the perpetuation of the natural flow. If an owner upstream manipulates and increases the flow, causing flooding to lower elevation property, the manipulator is liable to damages.

Directive 3 – Reasonable Flow: Flow of drainage water can be redirected by a property owner even if the extent of the diversion harms the property of another, provided that the action is considered within reasonable circumstances. The reasonable condition is subject to evaluation.

Groundwater

The law on groundwater in Texas is uncomplicated and easy to understand. Groundwater is considered part of the private property of the landowner. Property owners have the right to pump up or collect the water underneath their land. Simple, right? Not so, as all property owners share the reservoir of water underneath the land.

Adjoining properties pump on the same source; pumping up of one property may cause the quantity of water to dwindle or the well of the neighbor to dry out. The existing law on the collection of groundwater is called the “Law of the Biggest Pump”, which means whoever owns the most powerful pump can collect all the water, regardless of whether the neighbor’s reservoir runs dry. Owners are not liable for any inconvenience or even losses their neighbors might incur if their source of water runs dry.

There are only five circumstances where the Texas court will intervene on Groundwater rights:

If there was trespassing on neighboring land to drill water by directly drilling a well on the property or a slanted well on adjoining property that crosses the property line via subterranean level, then the injured neighbor can sue on grounds of trespassing.
If there was malicious or wanton intention to injure another by intentionally drying out the well of a neighbor via over pumping, then the court will intervene.
If it is proven that a property owner or owners are wasting artesian well water by letting the water overflow their land or seep back to the water table, then the court will intervene.
It is unlawful to contaminate or pollute groundwater.
If over pumping from adjoining lands causes the other properties to sink or would have an injurious effect on the land, then the court will intervene.

These are the basic ins and outs of Texas Water Rights.

If you are contemplating buying land in Texas then call a knowledgeable agent with Preferred Properties of Texas to help you through the process of buying land and making you sure you have access to one of life’s most valuable resources on the planet water. Check out what farm and ranch properties are available.

Getting Your Land Surveyed Can Help With Selling Your Property

June 19, 2021 by chorton Leave a Comment

You think you understand the perimeters of your premises, but you truly don’t unless you have had somebody to survey it and provide you its precise dimensions. You will realize your property limits if it is fenced off, but that is not an exact calculation. In case you haven’t officially researched the house, then you certainly do not possess its precise dimensions.

It is always in the homeowner’s best interest to acquire the support of a professional surveyor, also called a professional land surveyor, to discover the specific limits of someone’s property. This procedure safeguards your pursuits in a number of ways, if it be a burglar contesting your own limitations, a characteristic coming under scrutiny or even once you would like to sell the house.

A property survey measures how big your premises and decides where the bounds are. It is a record that reveals all land lines, such as property, structures and characteristics like tree structure that you have. Sometimes, land surveying shows essential details like where underground utility lines set.

Surveys can help if you wish to demonstrate your premises visually for prospective buyers. But a questionnaire could also come in handy once you have to clear up problems you have with neighbors to the city.

Though you are not legally required to receive a home survey to sell your property, it is often a fantastic idea since you may show prospective buyers exactly where the property lies. Furthermore, home surveys, if you’ve got a fence line or not, simply add transparency to the house negotiation procedure. Therefore, it’s always in your very best interest to acquire the property surveyed.

When you purchase acreage, it is vital to have a questionnaire because fences may be eliminated by many feet toward your house, creating your house smaller than that which you originally purchased.

Using the land surveyed before you purchase it, you prevent problems like suits due to border disputes, a procedure which will be rather costly and lengthy.

Land surveying in the time of buy can conserve a vendor from getting into unfamiliar problems later on. By way of instance, a questionnaire will discover sinkholes, that are underground water stations which may lead to flood or perhaps collapse a house. Nearly a quarter of those homes sold in states including Florida, Texas, Missouri, Kentucky, Pennsylvania and Alabama are in danger of being damaged or ruined from sinkholes. A sinkhole developing in your premises is a huge problem which may be averted at the onset of a sale.

When you purchase or sell a part of property, the dimensions of this house is listed in the name and the name must concord with all the quantified property dimensions. Occasionally neighbors unintentionally plant a tree or construct over the home line or fencing, therefore a property poll will constantly confirm the real boundaries of their house.

Some nations have land polls as part of their public document, but others do not. You should first visit a Public Records Office to see whether there is a questionnaire on the house. When there is not one on the public document, you will have to do yourself by employing a property survey firm.

It is very important to understand a home completely before you market it. Detecting problems and analyzing your property’s borders will make the selling process a lot simpler. Look at relying on professionals that are capable of providing a precise survey.

Land Loans

June 1, 2021 by chorton Leave a Comment

If it comes to funding your property purchase, obtaining the funds is not always quite as easy as it might be if you’re purchasing a property using a traditional mortgage. Classic mortgage choices are tough to come by for property loans, and creditors that do provide them often tack on higher rates of interest and shorter pay-back intervals –either of which may be difficult to handle, particularly if you’re buying on a budget.

Thus, what would be your next best choices? Many borrowers use private or government loans to fund their purchases, which provide a little more flexibility once the large banks are not a fantastic fit. Which one is ideal for you will depend on your eligibility, where you are purchasing, and what your present financial situation resembles, but here is a glance at what a few of your accessible property loan choices may be.

Government Loans:

FSA loans– People that are purchasing property for farming or ranching purposes might be qualified to get a low-interest FSA loan via the USDA Farm Service Agency’s Farm Loan Program. These comprise both farm ownership loans for enlarging existing possessions and microloans for beginning and small farmers, and targeted loans for minority and women farmers and ranchers.

USDA building loans — If you are purchasing land to reside in a rural area, check to find out whether you qualify for a USDA Construction Loan, that can help you cover both the land and the structure which you mean to construct there. You will simply be on the hook for interest payments while your home property has been built, and the loan will change over to some traditional home loan with both the interest and principal payments due every month.

Federal and state licenses — While not loans per se, it is well worth checking to see whether you are eligible for any state or federal grants to your property buy. You will find plenty to go about, covering matters like property conservation, developments, and agriculture, and you can have the ability to detect grants via private organizations too.

Personal Loans:

Home equity loan — Should you’ve equity via an present traditional mortgage then you might have the ability to find positive rates on a house equity line of credit–also called a HELOC. From that point, you may use the charge as you see fit, such as for buying land.

Seller funding — There is a possibility your vendor is receptive to working with you straight on funding by expanding credit on your purchase. Bear in mind that this course usually demands the vendor owns the property , and you will certainly need a lawyer to check over the contract before you register to make sure it is air-tight.

Bank loans for property may not be as valuable as they are for conventional home, but they’re readily available. Types include:

• Raw land loans for entirely undeveloped properties.

• Unimproved property loans for largely undeveloped properties–i.e. Those which are mainly raw but might have some utilities prepared to go.

• Improved land loans for property that’s very good to go with utilities and access points.

Generally, the further unimproved the land that you would like to purchase, the riskier the loan and the greater the rates of interest will be. Be certain that you look around, and expand your search to small banks, which might be more receptive to funding your property investment.