Monday, March 31, 2014

Land Sales are Picking up

After years and years of disappointing sales we are finally seeing land sales picking up. Right now there are currently 12 pending sales in Golden Valley meaning they are under contract. However there are 505 active listings as well. The larger the parcel the more likely it is that it will sell. There is not a scarcity of 1.17 and 2.35 acre parcels unless they have power, water and pavement. If all of those exists we are able to sell between 12-15,000 for a 1.17 acre parcel in Golden Valley. 20 and 40 acre parcels are more scarce and more desirable. These properties are usually sold owner carry right now. There are not many cash buyers for the area. We have had 20 land sales in Golden Valley from January 1st to March 31st so far.

In Kingman there are 826 vacant land listings for sale. 26 are in escrow and are pending. These again are larger parcels outside of town or city lots in town that builders are looking to build on. Speculation buyers just don't exist for our area at this time. 36 parcels of land have closed this year from January 1st to March 31st.

Everyday I have at least three sellers of land call me with only one or two land buyers a week. Therefore in this market it is very important to have your agent run comparable sales and price the land accordingly. Very often I will sell a piece of land for 25,000 when the property next to it is listed at 100,000. It's great to be optimistic about the sale but buyers are very smart and will research, research and research and they won't overpay in this market. It is unrealistic to expect 4 times what your neighbor just sold theirs for.

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