Paperwork for Selling Land Without a Realtor

Paperwork for Selling Land Without a Realtor

FSBO Paperwork

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Paperwork for Selling a House by Owner (FSBO)

Selling your land without a realtor, also known as for sale by owner (FSBO), can seem appealing because you won’t have to pay a seller’s agent commission. However, FSBO can be a lot of work, and it’s important to understand the paperwork and legal requirements involved.

If you’re thinking about selling your land FSBO, it’s important to weigh the pros and cons. On the one hand, you can save money on realtor fees. On the other hand, FSBO land often sells for less than land sold with the help of an agent. This is because realtors have experience pricing and marketing land, and they can also help you with the paperwork and negotiation process.

Another thing to consider is that selling land FSBO can be more time-consuming than selling with a realtor. You’ll need to handle everything yourself, from listing your land to negotiating offers to closing the sale.

If you are thinking about selling your land without a realtor, there are a few things you need to know, especially when it comes to paperwork.

When you sell your land without a realtor, you are responsible for handling all of the paperwork yourself. This can include listing your land on the MLS, negotiating offers with buyers, and completing all of the necessary closing documents.

The good news is that there are many resources available to help you through the process. You can find information about FSBO paperwork online, at your local library, or from a real estate attorney.

Selling land without a realtor can be a great way to save money, but it’s important to be prepared for the paperwork involved. Here’s a list of the most important documents you’ll need, organized by the stage of the selling process:

Before listing your land:

  • Title to the land: This is the document that proves you own the land. You can get a copy of the title from your county clerk’s office.
  • Land survey: This is a map of the property that shows the boundaries and any existing structures. You can hire a surveyor to create a land survey for you.
  • Appraisal: This is a report that estimates the value of the land. You can hire an appraiser to create an appraisal for you.

When you have an offer:

  • Purchase and sale agreement: This is the contract between you and the buyer. It should include the sale price, closing date, and other important details. You can find templates for purchase and sale agreements online or from a lawyer.
  • Disclosure forms: These forms tell the buyer about any known problems with the land, such as zoning restrictions or easements. You’ll need to fill out these forms honestly and completely.

At closing:

  • Deed: This is the document that transfers ownership of the land from you to the buyer. You’ll need to have a lawyer draft the deed.
  • Proof of funds: The buyer will need to show proof that they have the money to pay for the land. This could be a bank statement, a pre-approval letter from a lender, or a cashier’s check.

In addition to these essential documents, you may also need to provide the buyer with other paperwork, such as:

  • Tax records: These records show how much property tax you’ve paid on the land.
  • Zoning information: This information shows what the land can be used for, such as residential, commercial, or agricultural.
  • Environmental reports: These reports show whether the land is contaminated with any hazardous materials.

If you’re not sure what paperwork you need or how to fill it out, you can ask a lawyer or title company for help.

 

FSBO Documents Required Before Listing Your Land

If you’re selling your land without a realtor (FSBO), you’ll need to gather some important paperwork before you list it. This includes:

  • Comparable Market Analysis (CMA): A CMA is a report that shows the recent sales prices of similar properties in your area. This will help you set a fair price for your land.
  • MLS Input Form: This form is used to enter your land’s listing information into the Multiple Listing Service (MLS). The MLS is a database of properties that is used by realtors to find land for their buyers.
  • Seller Disclosures: Seller disclosures are forms that tell the buyer about any known problems with your land. This could include things like zoning restrictions, easements, or environmental hazards.
  • Lead-Based Paint Disclosure Form: If your land was built before 1978, you’ll need to fill out a lead-based paint disclosure form. This form tells the buyer about the potential dangers of lead paint and any steps you’ve taken to mitigate those risks.

You can find templates for most of these forms online or at your local library. You can also ask a lawyer or title company for help.

Mandatory Paperwork for Selling Land Without a Realtor

If you’re selling your land without a realtor, there are a few mandatory documents you’ll need to have in order to complete the sale. These include:

  • Deed or property title: This document proves that you own the land. You can get a copy of the deed or property title from your county clerk’s office.
  • Property tax bill: This document shows how much property tax you’ve paid on the land. You can get a copy of your property tax bill from your county tax assessor’s office.
  • Mortgage statement (if applicable): If you have a mortgage on the land, you’ll need to get a copy of your mortgage statement from your lender. This document shows how much you owe on the mortgage and the terms of your loan.

Optional Paperwork for Selling Land Without a Realtor

In addition to the mandatory paperwork required to sell land without a realtor, there are a few optional documents that can make the process easier and more efficient. These include:

  • Certificate of compliance: This document certifies that your land complies with all local laws. This can be helpful for potential buyers, as it gives them peace of mind knowing that the land is not in violation of any laws. You can get a certificate of compliance from your local building department.
  • Original sales contract: If you are still in possession of the original sales contract for the land, you may want to provide it to the buyer. This contract will show the sale price of the land and any disclosures that the previous owner made. This can be helpful for the buyer, as it gives them a more complete picture of the land’s history.

Other FSBO Paperwork You May Need

Other documents that you may need to provide to the buyer include:

  • Estate settlement documents: If you are selling land on behalf of an estate, you may need to provide the buyer with estate settlement documents, such as a will or testament.
  • Divorce decree: If the land was previously owned by you and an ex-spouse, you may need to provide the buyer with a copy of your divorce decree.

Whether or not you need to provide any of these additional documents to the buyer will depend on the specific circumstances of the sale. However, it is always best to be prepared and to have all of the necessary paperwork in order.

Side note: It is important to note that some of the documents listed above may not be required in all cases. It is always best to check with your local authorities to find out what paperwork is required to sell land in your area.

FSBO Paperwork Required Once Your Land is Listed

Offer Negotiation

Once you have listed your land, you will start receiving offers from buyers. You will need to negotiate with buyers to reach an agreement on the price and terms of the sale. This process can be complex and time-consuming, but it is important to be prepared for it.

Documents You Will Need

Here are some of the documents you will need to negotiate offers on your land:

  • Counteroffer form: This form is used to make changes to an offer that you have received. You can request changes to the price, deposit, financing, inspection contingency, closing timeline, or other terms of the offer.
  • Request for highest and best form: This form is used to ask buyers to submit their best and final offers. This is a good option to use if you have multiple offers on your land and you want to get the best possible price.
  • Property disclosure form: This form discloses any known problems with your land, such as zoning restrictions, easements, or environmental hazards. You are required to fill out a property disclosure form in most states.
  • Property survey: This document shows the boundaries of your land and any structures that are on the property. You may need to hire a surveyor to create a property survey for you.

Tips for Negotiating Offers

Here are some tips for negotiating offers on your land:

  • Do your research. Before you start negotiating offers, it is important to research the current market value of land in your area. This will help you to determine a fair price for your land.
  • Be prepared to compromise. It is unlikely that you will get everything you want in the negotiation process. Be prepared to compromise on some things in order to reach a deal.
  • Get everything in writing. Once you have reached an agreement with a buyer, be sure to get everything in writing. This will protect you both in case there are any problems down the road.

If you have any questions about negotiating offers on your land, be sure to consult with a lawyer or real estate agent.

Other FSBO Paperwork You May Need

Contingency Removal Form

A contingency removal form is a document that states that the buyer is waiving one or more of the contingencies in the purchase agreement. Contingencies are conditions that must be met before the sale can close. For example, a buyer may have a contingency that allows them to back out of the sale if the appraisal comes in lower than the purchase price or if the inspection reveals major problems with the land.

If the buyer is willing to waive one or more of the contingencies, they will need to sign a contingency removal form. This form will protect the seller by ensuring that the buyer is still committed to purchasing the land, even if there are some problems with it.

Homeowners’ Association (HOA) Documents

If your land is part of a homeowners’ association (HOA), you will need to provide the buyer with a copy of the HOA documents. These documents contain information about the HOA, such as the dues, the rules and regulations, and the services that the HOA provides.

The buyer will need to review the HOA documents before they close on the sale. This will help them to understand their obligations as an HOA member.

Tips for Dealing with Contingency Removal Forms and HOA Documents

Here are a few tips for dealing with contingency removal forms and HOA documents when selling land without a realtor:

  • Be clear about the contingencies in the purchase agreement. When you are negotiating the purchase agreement with the buyer, be sure to clearly state all of the contingencies that you want to be included. This will help to avoid any misunderstandings down the road.
  • Get everything in writing. Once the buyer has agreed to waive one or more of the contingencies, be sure to get everything in writing. This will protect you in case there are any problems down the road.
  • Provide the buyer with a copy of the HOA documents early in the process. This will give them plenty of time to review the documents and to ask any questions they may have.

If you have any questions about contingency removal forms or HOA documents, be sure to consult with a lawyer or real estate agent.

Here are some additional details about contingency removal forms and HOA documents:

  • Contingency removal forms: Contingency removal forms can be used to remove any type of contingency from the purchase agreement, including appraisal contingencies, inspection contingencies, and financing contingencies.
  • Homeowners’ Association (HOA) documents: HOA documents can vary depending on the specific HOA. However, most HOA documents will include information about the following:
    • The HOA’s governing documents, such as the bylaws and the articles of incorporation
    • The HOA’s dues and fees
    • The HOA’s rules and regulations
    • The services that the HOA provides

If you have any questions about the HOA documents, be sure to contact the HOA board of directors.

FSBO Closing Documents

Once you have accepted an offer on your land and negotiated the terms of the sale, it is time to start preparing for closing. Closing is the final step in the sales process, where the ownership of the land is transferred from the seller to the buyer.

There are a number of documents that you will need to sign at closing, including the deed, the closing disclosure, and the settlement statement. These documents are important because they legally transfer ownership of the land and outline all of the costs and credits associated with the sale.

In this section, we will review the most important FSBO closing documents and provide tips for dealing with them.

Affidavit of Title

An affidavit of title is a sworn statement that proves that you own the land. It also states that there are no liens or other encumbrances on the title to the land. The buyer will require an affidavit of title before they will close on the sale.

How can you get it? You can find an affidavit of title template online or from a real estate attorney. Once you have filled out the template, you will need to have it notarized by a notary public.

Deed

A deed is a legal document that transfers ownership of the land from you to the buyer. You must sign the deed at closing in order to transfer ownership of the land.

How can you get it? You can get a deed form from your local county clerk’s office. Once you have filled out the deed, you will need to have it signed by both the buyer and the seller and notarized by a notary public.

Property Tax Records

The buyer will need to see your property tax records to ensure that the property taxes are paid up-to-date. They will also need to see the property tax records to determine how much property taxes they will owe in the future.

How can you get it? You can get your property tax records from your local county assessor’s office. You can usually download them online or request a copy by mail.

Closing Disclosure (HUD-1)

The closing disclosure is a document that lists all of the costs and credits associated with the sale of the land. This includes things like the purchase price, closing costs, and real estate agent commissions. The buyer and seller must both sign the closing disclosure at closing.

How can you get it? The closing disclosure will be prepared by the title company or real estate attorney. You will receive a copy of the closing disclosure at least three days before closing.

Settlement Statement

The settlement statement is a summary of the closing disclosure. It shows how much money the buyer will owe to the seller and how much money the seller will owe to the buyer after all of the costs and credits have been applied.

How can you get it? The settlement statement will be prepared by the title company or real estate attorney. You will receive a copy of the settlement statement at closing.

1099-S Tax Form

If you sell the land for a profit, you will need to pay capital gains taxes on the profit. The buyer will send you a 1099-S tax form that reports the sales price of the land. You will need to use this information to file your taxes.

How can you get it? The buyer will send you a 1099-S tax form within 30 days of the closing date. You can also download and print the 1099-S form from the IRS website. To do this, go to the IRS website and navigate to the Forms and Publications page. From there, click on the “Order Forms” link and then click on the “Form 1099-S” link. You will then be able to download the form as a PDF file.

Tips for Dealing with Closing Documents

Here are a few tips for dealing with closing documents when selling land without a realtor:

  • Review all of the documents carefully before you sign them. Make sure that you understand everything that you are signing and that you are comfortable with all of the terms.
  • Ask questions if you don’t understand something. The closing agent should be able to answer any questions that you have.
  • Don’t be afraid to negotiate. If there are any terms that you are not happy with, try to negotiate them with the buyer.
  • Keep a copy of all of the closing documents for your records.

If you have any questions about closing documents, be sure to consult with a lawyer or real estate agent.

 Here are some additional details about closing documents:

  • Affidavit of title: The affidavit of title should be prepared by a lawyer.
  • Deed: The deed must be recorded with the county recorder’s office in order to transfer ownership of the land.
  • Property tax records: You can get a copy of your property tax records from your county assessor’s office.
  • Closing disclosure (HUD-1): The closing disclosure is prepared by the closing agent.
  • Settlement statement: The settlement statement is also prepared by the closing agent.
  • 1099-S tax form: The buyer is required by law to send you a 1099-S tax form if you sell the land for a profit.

Free Paperwork for Selling Land Without a Realtor

If you are selling land without a realtor, you can find all of the necessary paperwork online for free.

Here is a state-by-state list of the essential FSBO paperwork that you will need when selling land without a realtor:

Where to find free paperwork for selling a house without a realtor

If you can’t find the free paperwork you need for selling a house without a realtor in the table above, there are other places to look. You can easily find templates for purchase agreements and seller disclosure forms online. There are some paid options, but you can also find free templates. Here are some free and paid options for purchase agreements: You can also contact your local realtor’s association or your state real estate commission. Some of them have forms that you can download from their websites, but others only make these forms available to licensed realtors. Many legal forms, such as tax records, property surveys, and deeds, can be found through local or state government offices, such as your tax assessor’s office, department of revenue, or the local building department. Here are some tips for finding free paperwork for selling a house without a realtor:
  • Search online for templates of purchase agreements and seller disclosure forms.
  • Contact your local realtor’s association or state real estate commission to see if they have any forms available for download.
  • Check with your local or state government offices to see if they have any forms available,such as tax records, property surveys, and deeds.
Once you have found the paperwork you need, be sure to have it reviewed by a lawyer before you sign anything.

Who draws up the contract in a for sale by owner land purchase?

In a for sale by owner (FSBO) land sale, the seller is responsible for drawing up the purchase contract. This can be done by the seller themselves, or they can hire a professional, such as a real estate attorney or title company.

If the seller chooses to draw up the contract themselves, they should be aware that it is a complex task and that the contract should be carefully reviewed by an attorney before it is signed by both parties.

If the seller hires a professional to draw up the contract, they should be sure to get multiple quotes and to select a professional who has experience with FSBO land sales.

Here are some tips for choosing a professional to draw up a purchase contract for an FSBO land sale:

  • Ask for recommendations from other FSBO sellers.
  • Interview multiple professionals before making a decision.
  • Make sure the professional has experience with FSBO land sales.
  • Get everything in writing, including the professional’s fees and the scope of work.

Once the purchase contract is drawn up, it should be carefully reviewed by both the seller and the buyer before it is signed. Both parties should also have their own attorneys review the contract before they sign it.

Here are some additional tips for FSBO land sellers:

  • Price your land competitively. You can do this by researching recent land sales in your area.
  • Market your land effectively. You can list your land on the MLS, advertise in local newspapers and magazines, and post signs on your property.
  • Be prepared to negotiate. Buyers may make offers that are below your asking price. Be prepared to negotiate on the price and other terms of the sale.

Have all of your paperwork in order. This includes your title deed, property survey, and any other relevant documentation.

Do you need an attorney?

Whether or not you need an attorney to sell your land without a realtor depends on the laws of your state. Some states require an attorney to handle the purchase contract and oversee the closing, while others do not.

Here is a list of states that require an attorney to be involved in FSBO land sales:

Even if your state does not require an attorney, it is still a good idea to consult with one before you sell your land without a realtor. An attorney can help you to draft the purchase contract, review the closing documents, and protect your legal interests.

Here are some of the things that an attorney can do for you in an FSBO land sale:

  • Draft the purchase contract: The purchase contract is a legally binding document that outlines the terms of the sale, such as the purchase price, closing date, and payment terms. An attorney can help you to draft a contract that is tailored to your specific needs and that protects your legal interests.
  • Review the closing documents: The closing documents are the legal documents that transfer ownership of the land from you to the buyer. An attorney can help you to review the closing documents to make sure that they are accurate and complete.
  • Protect your legal interests: An attorney can help you to understand your legal rights and obligations as a seller. They can also help you to resolve any disputes that may arise during the sale process.

If you are considering selling your land without a realtor, it is a good idea to consult with an attorney to discuss your options.

Where to find help with for sale by owner paperwork

If you are selling your land without a realtor, you may need help with the paperwork. Here are three affordable options:

  1. Hire a discount realtor. A discount realtor can help you with the entire FSBO process, including pricing your land, marketing it, and negotiating with buyers. They can also help you with the paperwork and closing process. Discount realtors typically charge a lower commission than traditional realtors.
  2. Hire an attorney. An attorney can help you draft the purchase contract, review the closing documents, and protect your legal interests. Attorneys typically charge an hourly rate or a flat fee.
  3. Hire a transaction coordinator. A transaction coordinator can help you with the paperwork and closing process, but they will not be involved in marketing your land or negotiating with buyers. Transaction coordinators typically charge a flat fee.

Which option is right for you?

The best option for you will depend on your individual needs and budget. If you need help with all aspects of the FSBO process, a discount realtor may be a good option. If you are comfortable handling some of the tasks yourself, you may want to hire an attorney or a transaction coordinator.

Here is a more detailed comparison of the three options:

Discount realtor:

  • Pros: Full-service assistance, lower commission than traditional realtors
  • Cons: May be more expensive than hiring an attorney or transaction coordinator

Attorney:

  • Pros: Can protect your legal interests; can help with complex transactions
  • Cons: May be more expensive than a discount realtor or transaction coordinator; may not be as involved in the process as a realtor

Transaction coordinator:

  • Pros: Can help with paperwork and closing process; less expensive than a realtor or attorney
  • Cons: Will not be involved in marketing your land or negotiating with buyers

Complete List of For Sale By Owner (FSBO) Land Documents

FSBO Paperwork

Where to Find It

1099-S tax form

From the Internal Revenue Service (IRS)

Appraisal report

Appraisals are usually arranged by the buyer.

Certificate of Compliance

From your local building department or tax assessor’s office.

Closing statement

From the title company or closing agent.

Comparative market analysis (CMA)

Provided free of charge by most real estate agents.

Deed

From a real estate attorney, title search company, or your local recorder or assessor’s office.

Final purchase/sale agreement

Find purchase/sale agreement templates online.

Land inspection report

From a land inspector. This is often the responsibility of the buyer.

Mortgage payoff statement

From your lender or mortgage servicer.

Original sales contract

If you don’t already have a copy, contact the realtor or broker who originally helped you buy your land.

Preliminary title report

From a title company or your county assessor.

Property survey

From your local land records, building department, or tax assessor’s office.

Property tax records

From your local tax assessor or your state’s department of revenue.

Purchase offer

The purchase offer will come from the buyer or the buyer’s agent.

Seller disclosures

Find seller disclosure forms online.

Seller’s net sheet

If you don’t have a real estate agent, you’ll have to make this yourself.

Detailed Explanation

1099-S tax form: This form is used to report the proceeds from the sale of your land to the IRS. You will receive a 1099-S form from the title company or closing agent after the sale of your land closes.

Appraisal report: An appraisal report is an estimate of the market value of your land. An appraisal is usually required by the buyer’s lender before they will approve a loan for the purchase of your land.

Certificate of Compliance: A Certificate of Compliance is a document that certifies that your land meets all applicable zoning and building codes. You may need to obtain a Certificate of Compliance from your local building department or tax assessor’s office before you can sell your land.

Closing statement: The closing statement is a document that summarizes all of the costs and credits associated with the sale of your land. The closing statement is prepared by the title company or closing agent.

Comparative market analysis (CMA): A CMA is a report that compares your land to similar properties that have recently sold. A CMA can be used to estimate the market value of your land. Most real estate agents will provide you with a CMA for free.

Deed: The deed is the legal document that transfers ownership of your land to the buyer. The deed must be signed by you and the buyer and recorded with your local county recorder’s office.

Final purchase/sale agreement: The final purchase/sale agreement is a legally binding contract between you and the buyer that outlines the terms of the sale, such as the purchase price, closing date, and payment terms. You can find purchase/sale agreement templates online.

Land inspection report: A land inspection report is a document that details the condition of your land. The land inspection report is typically prepared by a land inspector and is often required by the buyer’s lender before they will approve a loan for the purchase of your land.

Mortgage payoff statement: A mortgage payoff statement is a document from your lender that shows the amount of money that is needed to pay off your mortgage in full. You may need to provide the buyer with a mortgage payoff statement before they can close on the purchase of your land.

Original sales contract: If you don’t already have a copy of the original sales contract for your land, you can contact the realtor or broker who originally helped you buy your land.

Preliminary title report: A preliminary title report is a document that shows the current ownership of your land and any liens or encumbrances that may be attached to it. You can obtain a preliminary title report from a title company or your county assessor.

Property survey: A property survey is a map of your land that shows its boundaries and any improvements on it. You can obtain a property survey from your local land records, building department, or tax assessor’s office.

Property tax records: Your property tax records show the amount of property tax that you owe on your land. You can obtain your property tax records from your local tax assessor or your state’s department of revenue.

Purchase offer: The purchase offer is a document that the buyer submits to you to express their interest in buying your land. The purchase offer will outline the terms of the sale, such as the purchase price, closing date, and payment terms.

If you accept the purchase offer, you will need to sign it and return it to the buyer. The buyer will then need to obtain financing and complete any other necessary steps before the sale can close.

Seller disclosures: Seller disclosures are documents that you must provide to the buyer about your land. These documents typically include information about the condition of your land, any known defects, and any liens or encumbrances that may be attached to it.

You can find seller disclosure forms online or from your local real estate association.

Seller’s net sheet: A seller’s net sheet is a document that shows how much money you will net from the sale of your land after all of the costs have been paid. To create a seller’s net sheet, you will need to include the purchase price, closing costs, and any other expenses that you will incur.

If you don’t have a real estate agent, you will need to create your own seller’s net sheet.

Final Word: Selling Land Without a Realtor Paperwork

Selling land without a realtor can be a lot of work, and the paperwork can be overwhelming. As an FSBO seller, you will need to be prepared to spend a lot of time and effort learning about the real estate market and filling out all of the necessary paperwork.

Even if you are comfortable handling the paperwork yourself, it is a good idea to consult with a real estate attorney to review the sale agreement and disclosure paperwork before you sign it.

Frequently Asked Questions (FAQs)

Can I sell my land myself without a realtor?

Yes, you can sell your land yourself without a realtor. However, it is important to be aware of the challenges and risks involved. You will need to handle all of the paperwork, marketing, and negotiations yourself. You will also need to be prepared to answer questions from potential buyers about your land.

What paperwork do I need to sell my land myself?

The paperwork you need to sell your land yourself will vary depending on your state and local laws. However, some common paperwork includes:
• A purchase agreement
• A seller disclosure statement
• A property survey
• A title report
• A deed
You can find templates for most of this paperwork online or from your local real estate association.

What is Comparative Market Analysis (CMA)? And how does it help in selling land?

A comparative market analysis (CMA) is a report that compares your land to similar properties that have recently sold. A CMA can be used to estimate the market value of your land.
Knowing the market value of your land is important for pricing it correctly. If you price your land too high, you may scare away potential buyers. If you price your land too low, you may lose money on the sale.
You can get a CMA from most real estate agents for free. However, you can also create your own CMA by looking at recent sales data in your area.
Here are some additional tips for selling land without a realtor:
• Price your land competitively. You can do this by looking at recent sales data in your area.
• Market your land effectively. You can list your land on the MLS, advertise in local newspapers and magazines, and post signs on your property.
• Be prepared to negotiate. Buyers may make offers that are below your asking price. Be prepared to negotiate on the price and other terms of the sale.
• Have all of your paperwork in order. This includes your title deed, property survey, and any other relevant documentation.
Selling land without a realtor can be a lot of work, but it can be a rewarding experience. By following these tips, you can increase your chances of a successful sale.

 

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