Buying a rural property can sound like a dream to many buyers – the peace and privacy of one’s own land, far away from the city limits. But rural properties come with their own pitfalls and hidden costs.
The key is to work with local, knowledgeable realtors who have decades of experience in rural markets (like Monnie!). Here are some tips from Monnie about buying rural:
- Agricultural exemption: Owning rural land offers the opportunity for you to apply for an ag exemption but will require land dedicated to agriculture. This saves you money on taxes, but it’s imperative to ensure you are compliant with the rules of qualifying for this exemption. The Runnels County Appraisal District can help you determine whether you qualify – visit http://runnelscad.org/.
- Agricultural costs: With the ag exemption will come the common costs of taking care of livestock – vaccinations and vet bills, feed bills, etc. Plus, if your land is undeveloped, you’ll have to build fencing and stables to house any animals you own. Make sure you figure these costs into your financing.
- Deed restrictions: Owning rural land does not necessarily free you from the bureaucracy of town living. Deed restrictions on your land may dictate what can be built there, such as mobile homes or other temporary structures. Before you purchase your land, check that there are no such restrictions tied to it.
- Landlocked and service-less: Tracts of land which are not located directly off of a road can be landlocked with no access roads to the land. Purchasers will want to make sure an easement has been deeded to the owner so that you can build a road to your land. Also, completely undeveloped properties will need sewer, water and electric lines. You’ll have to work with the city to determine how to lay the lines and who will pay for them.
- Up-to-date survey: If your property hasn’t changed hands in several years, you’ll need a new survey. This will allow you to be absolutely sure about the boundary lines, but surveying large areas can be expensive, so be aware of this cost as you’re seeking financing.
Still, the time has never been better to buy rural! Call Monnie 325.365.6404 – she has decades of experience working with rural property transactions and can answer any questions you may have about it.