Buying land in another state and not moving for a long time

Quint · #21 08/08/08, 02:32 AM

Also you're going to need insurance on it. A big liability policy. Something well over a million. Unless you want some scumbag and their lawyer (redundancy alert) to end up with it.

Quiver0f10 · #22 08/08/08, 04:55 PM

Quote:

Originally Posted by Elizabeth

Contrary to what others have said, I would not buy land out of state like that.
Unless you have a firm timetable and a handle on your finances and know when you would be moving.

I would work towards getting all of the debt paid off first, then start saving $$$ towards the purchase of property. I would invest my savings until I had enough $$$ to buy the property and build a home. If you buy the property first, you will likely "waste" $$$ trying to run up there to check on it, or visit, or whatever- that $$$ could be better saved towards your ultimate goal. Also, if you do buy the land, at the very least you will have to pay property taxes- not sure how much that runs in Northern Maine. And, you will very likely have at least some maintenance/upkeep to do while the property is vacant.

If you buy cleared land, you will probably want to keep it cleared, and that can be expensive, especially if you live a long ways away. On the other hand, if you buy wooded acreage, there may be a risk of someone coming in during your absence and stealing your timber. I know, people do it, but to me it would not be worth the risk- not when you could invest your $$ and have it earn interest which you could then apply towards your eventual property.

You make some very good points. It probably makes way more sense to save save save and then just GO. I am having such a hard time being PATIENT!

agmantoo · #23 08/08/08, 09:33 PM

I have tree farms in several states. There are problems with this arrangement. The problems are mostly related to trespass and damage. Gates and camping gear are stolen, old tires are thrown onto the property. Trespassers set up camp and trash the area. Service roads are used as trails for off road vehicles making for erosion. the more remote the area the more it becomes a dumping ground for debris. Occasionally a fire is set. It just goes on and on so it seems. Eventually one gets somewhat calloused to the abuse. The best thing that I have found is to lease the property to a local hunt club. They will police the property and the locals seem to respect the local hunt clubs more than clubs made up of outsiders. AT this time I have one property that has more than 200 tires dumped on it. Another has a sofa, some chairs and an old freezer dumped on it. A third has a car, assumable stolen, abandoned on it. Without the hunt clubs the property is considered free access to the entire local community. IMO it is imperative to keep liability insurance up to date and to keep the property posted. Oh, I failed to mention, I had 3 acres of timber stolen 2 years back. Anyway, by now you get the idea of what can happen when you are an absent land owner. If you can live with the above go ahead and make the purchase. If such occurrences keep you awake at night hold off buying property outside an easy commute. On the other hand if you can tolerate such happenings you can start planning and get a few things in progress. Obvious, the most attractive time to purchase is now!

minnikin1 · #24 08/09/08, 05:40 AM

Quote:

Originally Posted by Elizabeth

ll of the debt paid off first, then start saving $$$ towards the purchase of property. I would invest my savings until I had enough $$$ to buy the property and build a home.

On the other hand, if you are fortunate enough to have the ability to buy a place during this buyers market, you may regret passing up the chance.

Most folks savings do not make enough interest to keep up in times of
inflation.