Vacant Land Requires Specialized Due Diligence
Unlike an existing home, vacant land may have few visible clues about the issues that affect its usability. Investors should investigate the parcel systematically before purchasing.
Property Identification
- Parcel number
- Legal description
- Lot size
- Boundary information
- Current ownership
Access
- Public road frontage
- Recorded easements
- Private road agreements
- Physical road condition
Zoning and Development
- Current zoning
- Permitted uses
- Minimum lot requirements
- Setbacks
- Density restrictions
- Building limitations
Utilities
- Electricity
- Water
- Sewer or septic feasibility
- Gas
- Internet and telecommunications
Environmental Conditions
- Flood zones
- Wetlands
- Drainage
- Topography
- Wildfire exposure where applicable
Financial Considerations
Review property taxes, assessments, HOA or association obligations where applicable, financing costs, holding costs, and potential development expenses.
Verify Before Closing
A preliminary checklist helps identify questions, but material facts should be verified through appropriate public records and qualified professionals before purchasing land.