This is the second most popular question I am asked, right behind "What is the market like?". Really, both questions go hand in hand and you should review my current market prices to give you a good idea. This is the area that your Realtor has got to be proficient in and what really sets us apart from other agencies. Most agencies are in the rat race of residential because it has the most volume for a business to attract. The flipside of this is the "hunting" agencies that specialize in our area for hunting purposes. Unfortunately, both types of agencies lack a full understanding of the buyer markets that want to come to our area.
So, with that being said... Here is how we determine the value of your property:
Acreage can be a tricky tool to assess value. It tends to be the automatic metric we start with but there is much more that makes a property special beyond the acreage. We are seeing tiers of acreage adjust pricing and the smaller the property generally comes with a higher price/acre. With that being said, we have also seen beautiful contiguous properties receive premier price/acre value due to buyers wanting more land together.
Building and structures
A livable home will be given its own assessment aside from the land.
Purposeful outbuildings can really increase the value of the property (i.e. finished pole shed, well kept barn, chicken coop, tobacco shed, etc.) If they are an eyesore or have no purpose they can shift the buyers feelings in a negative way and at times create negative value.
Remember when I said no property is created equal? Welcome to zoning! This is the biggest value factor we see when pricing land. Depending on the area you are in there are strict zoning laws that can affect future development.
If a property has freedom with creating "splits" or building additional homes this increases the value. This is correlated with the acreage debate of whether or not smaller parcels hole more prive/acre potential. If you or someone can buy your land and split it into two smaller parcels to create a higher net value the properties value increases.
If a property is locked with restrictions and does not have any additional "splits" or "Buildable lots" than the property value could be reduced some.
If you are operating an Airbnb than your property is a business that has income to take into account. These types of situations are popping up now more and more. These properties should be treated as revenue producing businesses and can be priced accordingly. I am an active Short term rental operator and am well versed in that business and I have been able to help clients navigate the value of that.
Farming operation in place?
Much like the above point, farming is also a business. If you are generating profitable operations and the next landowner will inherit that, we should price the business apart from the land appropriately.
It never hurts to have breathtaking views and beautiful scenery. These are some of the most important factors when pricing the property.
Location, Location & Location
This is a big one! Yes, value can rise or decline depending only on where the property sits. There are "hot spots" in our region that demand a higher price and usually that is correlated with proximity to towns. If you are right on the edge of a town vs 20 miles in the middle of nowhere the value can fluctuate slightly. It is my job to explain the difference and to make sure you feel comfortable with the price we end up placing on your property.
Proximity to water, event areas and or popular vacation places can move pricing.
These are a few key things we look at when pricing your property, they do not include small intricacies that make your property special. I believe that is what we are best at, through our marketing and storytelling we present your property in the best way possible.