Land auctions work just like any other type of auction, only you're bidding on land instead of clothing, cars, or property. If you're in the market for land, you can develop or land that already has outbuildings and other benefits but there's nothing in real estate piquing your interest, you can have success going to a land auction with your real estate agent. Here are just some of the reasons why it's worth it to check out land auctions in your area.
You can get a lot of land at less than its current value
Land is often auctioned off as part of an estate or because someone defaulted on their loan, which can happen when farms fail or families inherit land they don't want or can't afford. Their loss is your potential gain, and you can get a large parcel of land at an impressive price. The savings you can get in acquiring land in this way can make it much easier to buy materials to build or to spruce up the landscape.
You can get access to land you otherwise wouldn't see
What's available on the real estate market and what's available in a land auction are two different things. If you want property in a specific area and the only land available is bank-owned, foreclosed, or going into land auctions, then this is the route you should take to try to get a parcel of property where you want. Keep in mind that you may be given coordinates of the property you want to bid on, but it's up to you to properly take into account what goes into the land when you bid so there are no surprises should you win.
You can get access to several other auctions as well
Where there are land auctions, there are other types of auctions as well. Among them are fixer-upper homes, businesses, commercial property, and more. Some land auctions even include vacant homes that need to be fixed up or moved by the buyer, which can make for a great sale for you if you want the investment.
In order to participate in any land auctions near you, you have to sign up and prove you have the funds to pay should you win. In many cases, this is done via an auction agency. Your real estate agent can also help you figure out the best way to explore land auctions and other avenues for real estate in your area.