How Much Is My Land Worth In Georgia?
This is Brad from North Georgia Land Buyers and Arbor View Properties. We are both investors and developers based in North Georgia, but we purchase properties throughout the entire state of Georgia. Additionally, I am a licensed real estate agent in Georgia, affiliated with OneSource in Woodstock.
Today, I want to discuss how to determine the value of your land. If you’re interested in learning more, we have a variety of videos available on our website, northgeorgialandbuyers.com. You can also visit our YouTube channel, where you’ll find a dedicated Land playlist containing all our videos related to land. For more insight about who we are, you can check out our testimonial videos featuring real clients. We record these videos right at the closing table, immediately after we’ve completed the property transactions. Be sure to take a look!
How much is my land worth?
The truth is, your land is worth whatever someone is willing to pay for it. That’s the bottom line.
But let’s dive a bit deeper. You can set any price you want for your land, and if you attract a lot of interest right away—like having 100 potential buyers at your door—you might be underpricing it.
On the flip side, if your land has been on the market for six years without any offers, it’s likely priced too high.
Pricing The Land
To determine a more accurate value, you can experiment with the market yourself, or you can consult with a professional. It’s crucial to find an appraiser, broker, or agent who has specific experience in valuing land. For example, your real estate agent who typically sells houses in Decatur may not have the expertise needed for land sales in Pickens County, Georgia. So, take the time to work with someone knowledgeable about land, particularly in your area. Don’t just settle for any random choice; find an expert who understands the market for your specific type of property.
COMPARABLE SALES
When assessing the value of your property, appraisers typically analyze comparable sales. They will look at similar properties that have sold recently to help determine the valuation of yours. While there may be unique features that could increase your property’s worth, appraisers generally evaluate all relevant factors to provide the most accurate valuation.
TAX ASSESSMENT
You can also consider your tax assessment, as this reflects the value determined by the tax assessor. However, it’s important to approach this value with caution, as it may not always be the most accurate reflection of your property’s worth.
APPRAISE THE LAND
The most reliable method is to hire an experienced appraiser who specializes in land. The cost for a land appraisal can range from $500 to $1,000, depending on the appraiser’s fees, the complexity of the appraisal, and how long it takes. Keep in mind that various factors influence the overall cost, so it’s essential to budget accordingly for this service.
BPO
You can ask a listing broker or agent for a Broker’s Price Opinion (BPO). They may charge you for this service, but it often depends on whether you plan to list the property with them. If you do decide to list with them, they are likely to provide the BPO for free and suggest a listing price for the property.
However, I want to emphasize that I have encountered situations where a seller insists on a certain price for their property. We will analyze the numbers and run comparables, and if we believe the property isn’t worth that price, we will let you know. If we cannot agree on a fair listing price, we might choose not to work with you. My goal is to avoid wasting your time and mine by listing the property at an unrealistic price, as this would likely result in the property sitting unsold on the market.
Could I be wrong? I have been wrong before.
However, after many years in this business, I’ve become quite skilled at valuing properties. I have analyzed and evaluated tens of thousands of real estate deals over the years, which has helped me understand their worth and how to run comparable analyses.
Several factors determine a property’s value, including proximity to utilities, easements, the land’s topography, and access to roads. Additionally, the distance to town and the ease of access are important.
For instance, is there a steep driveway? Is the gravel access road difficult to navigate, requiring a four-wheel-drive vehicle? Do you have to cross a body of water to reach the property? I’ve encountered situations where access was limited by water, which can significantly affect a property’s marketability. All these factors influence the overall value of a property.
What else should you consider when evaluating a property? Think about the classic show “The Beverly Hillbillies.” They struck oil on their land, which significantly increased its value. As a result, they sold it for a large profit and moved to Beverly Hills, becoming the famous hillbillies of that area. Similar factors beneath the surface can impact the value of your property. It’s advisable to consult a geologist or a professional who can assess what resources lie below ground, as this could enhance your property’s worth. Additionally, your property might also have valuable timber. However, it’s important to note that in 2024, timber may not be the best investment strategy. Due to current lumber prices and the surplus supply that many mills have, investing in timber might not yield the best returns at this time.
Selling To A Developer
If you own a property that has potential for development—such as being able to divide it into smaller lots due to nearby sewer or water access, or if there are new neighborhoods being built around you—it may be advantageous to sell it to a developer. Additionally, if you are in an area that could be considered “horse country,” you might consider turning the property into a horse farm. There are many possibilities, and each of these options can impact the value of your land. However, the ultimate value is determined by what someone is willing to pay for it.
If you have a unique or unusual property, there may be fewer potential buyers interested in it. It’s important to consider the size of your buyer pool. The more options available to you, the more buyers you can attract, which often leads to a higher selling price. You would have the flexibility to reject and accept offers based on this increased interest. Conversely, if your property is quite unique with a limited buyer pool—which is often the case in land sales—this will affect its worth and the price someone is willing to pay.
Work With Us
If you’re interested in collaborating with us and would like to receive an offer for your piece of land, we would be happy to make you an offer. You can visit our website at northgeorgialandbuyers.com. There, you can fill out the form on the page, click “Submit,” and your request will be sent to a member of our team, most likely Missy. We will call you back for a quick chat to gather more information.
If we determine that this is a viable option for you, we can make you an offer on the property. Depending on the situation, we may need to visit the property in person, or we might not have to, thanks to some impressive technological tools available today. We can use satellite imagery and other methods to evaluate properties without ever stepping foot on them. It’s pretty exciting how advanced technology has become.
If you’re interested in working with us, please visit northgeorgialandbuyers.com and fill out the required information. Thank you for checking out this video!