Hi, I’m Beth with TB Properties Buys Land. And today I’m going to answer the question: can I sell my rural vacant land to a real estate investor if I still owe money on it? Oftentimes when you look at a purchase agreement, it will say that you must have free and clear title, you’ll clear any liens or encumbrances against the title or against the property. But what does that mean if you have a mortgage against that property? Maybe you bought this property years ago or even just a couple of years ago, and you were going to retire on it. Perhaps you meant to build on it, but your dream has changed or maybe something in your life has happened and now that property is sitting there, unused and it’s an asset that you’re not able to use and do something with. It’s time to get rid of the property, but you still owe money on it. What can you do?
Well, first of all, it’s always best to be honest and upfront if you have a mortgage on your property or if you have a lien against your property. When you’re talking to us or with anybody, always bring that up from the very beginning. When we go to title, they’re going to be pulling up all this information. They’re going to see that. So it’s best to be honest and upfront in the very beginning. One of the benefits of working with TB Properties Buys Land is that we’re able to purchase your property very quickly. You’re able to sell that property very quickly and very easily. We pay cash, which means that you’re able to close in two or three weeks. If we weren’t paying cash, if we had to go get a loan for that, you’re waiting 30 to 60 days for loan approval, maybe getting an appraiser out there and that sort of thing. So there’s a time that it takes in order to get a loan.
We’re not doing that. We’re paying in cash. The property’s not sitting on the MLS for three months, six months, a year, over a year. Go check the MLS listings in your area. You may find that properties are sitting on the MLS for longer than even a year. It’s kind of crazy. So we’re able to close very quickly, and that’s a benefit of working with TB Properties Buys Land.
Now to be totally upfront, if you’ve you got a mortgage on your property, we probably won’t be able to close in two to three weeks. It will take a little bit longer, but the process is still very simple. Our purchase agreement will not be much different. It is still a single page; it says that you’re going to clear any liens or encumbrances. All we have to know is who that lender is. We’re going to give that information to the title company and the title company will work directly with your lender in order to get the payoff amount from them and do the final paperwork, so that when we close, the funds that we provide to you will remove that mortgage total from that amount.
Whatever the total purchase price that we agree upon is, the Title Company will deduct the mortgage lender’s payment amount, pay them off directly and then you’ll pocket the remainder. So instead of two or three weeks, you may end up closing in more like four to five weeks. It just depends on that lender and how fast they get that information to the title company that is going to determine how long it takes to close.
Still, this is not going to be sitting on the MLS for super long. We’re not waiting on a loan in order to buy the property. It’s able to close super quickly. There’s not much more that you have to do on your side. We’re still going to handle all of that in the paperwork. It’s very, very simple.
Hopefully I answered some of those questions. If you’ve got a mortgage against your property, can you sell that to TB Properties Buys Land? Yes, you can. Like I said before, please be honest and upfront. Let us know in the very beginning so that we know to factor that into the closing date and so we can disclose that up front to the title company so it doesn’t take longer for them to find that. But we can do that. You can have funds as fast as four to five weeks and move forward. Get past that piece of land that’s holding you down, or you’re not able to do anything with and have cash that you can do something fun with.
Thanks again. If you’re interested or you have more questions about how our process works or how we work, please check us out on our website, tbpropertiesbuysland.com. Shoot us an email. Give us a call. We’re here to answer your questions. We’re real people and we’re excited to work with you. Thanks again.