Hi, I’m Beth with TB Properties Buys Land and today I want to answer a question that we’ve gotten with regards to real estate transaction coordination.
Who’s coordinating the transaction when you’re selling your rural, vacant land to a real estate investor? So, let’s think about if you have rural vacant land and you were going to sell it just like you would a house: you might go to a realtor. When you’re working with the realtor, you know exactly who’s in charge and who’s going to coordinate the transaction: they are! They’re the ones who get you the paperwork, you sign everything. They’re the ones who go and get pictures of the property, maybe they have it cleaned up and then get pictures. They’re the ones who list it and advertise it and they show it and answer all the questions and all of that fun stuff.
Then when it comes to title, they’re the ones who tell you when to show up and where to sign and it’s taken care of. So, if you’re going to sell the property on your own, what does that look like for you? You would be the one who’s taking pictures and cleaning it up and paying to list it in different places. You’d be answering the phone calls. You’d be having to market that and take care of that whole process. You would have to supply paperwork for the closing process. And, you’d have to find a way to work to the title company and that’s all very doable.
But, if you’re not interested in that, the other option is to work with a real estate investor like TB Properties Buys Land. When you’re working with a real estate investor, like TB Properties Buys Land, who is coordinating the transaction? The answer to that is that we’re both working together. But, we would be coordinating that primarily to help you, because you may not know how to do all of that.
When working with TB Properties Buys Land, we would go ahead and get you a purchase agreement. It’s a simple one-page agreement. We keep it simple so that you don’t have to hire a real estate attorney in order to figure it out. It’s a simple purchase agreement. Once both of us sign, we send that off to the title company and the title company is the one that’s pulling the paperwork, and the title commitment, and eventually pull the closing documents. They’re the ones who record it with the County and get that going. They’re the ones who handle the money. They receive certified funds from TB Properties Buys Land and they provide certified funds to the seller, which would be you.
But, they’re also available as a resource to you when we work with the title company. We give the title company your information and we give you their information. Throughout the entire process, you can always call that title company and ask any questions directly of them. You’re welcome to call us too. If we’re seeing that things are stalling, we’re going to be in touch with that title company and say, “Hey, what’s going on? Are we on schedule to close? We have a closing date of two weeks from now, or from three weeks from now. Are we going to make that?”
We will be involved and we will be coordinating the transaction, but at the same time, you’ve got the freedom and the transparency in which you can go ahead and talk with the title company and get your questions answered if you wish to do so. So, when it comes to transaction coordination, when it comes to selling your property, you’ve got options. If you go with that realtor, they’re handling everything for you and that’s going to cost you probably about 10% of the sale. It’s 6% when you’re selling homes and often times realtors will charge the 10% of closing on rural land since the dollar value is less.
And, it’s going to take some time to do that. If you close it on your own, or if you sell it on your own, and you’re welcome and probably very capable of doing that, you’ve got some effort that needs to be involved in that. Another option is a real estate investor, like TB Properties Buys Land and we’re going to help you. We’re going to get a check in your hand in two to three weeks from when that purchase agreement is signed, and we’re going to handle that transaction coordination for you as well. You don’t have to look to find a buyer and all of that exciting stuff, you’re going to have money faster.
So, hopefully when it comes to handling the transaction and how that’s coordinated, I answered some of those questions. If not, we’ve got a lot of other great videos explaining more on our website, TBPropertiesBuysLand.com and you’re always welcome to give us a call at 214-699-4455 or send us an email.
Thanks again for listening and take care.