Hurry before this lot is gone --- Never on the market before 1978 ---
He has been walking it and selling it since 1976 and know every parcel.
Tom@TomScappatici.com or 602-430-4081.
You cannot go wrong with him and his expertise and experience!
I am a broker and have been selling land and lots for years. There are lots of good qualified agents that can help you, but there are also lots that don't know the first thing about land and what to be aware of. A good broker or agent that is familiar with building and development should be part of your team. There definitely are due diligence items that you want to look for when buying a parcel to build on. Like zoning, setback, CC & R's if any, washes, locations of utilities and cost of hooking up. Whether it's got sewer or a septic system will need to be installed. There are areas of Scottsdale that are environmentally sensitive lands that need to dedicate NAOS or Natural Area Open Space prior to identifying your building site and some lots will have that already determined for you, some you'll have to make that determination after you complete a topography study. This pertains mostly to north Scottsdale and surrounding areas.
A rule of thumb for the cost of a lot is that it should be no more than 30% of the total cost of the total home. Unless you are buying acreage, 2+ acres, then it's really hard to stay within that ratio. There are still some great values on land today. The land market was hit pretty hard for several years and is recovering. When the cost of an existing home was less than the cost of buying a lot and building, there were very little land sales taking place, but now that values of resale homes have increased, the land market is coming back. Three primary reasons to buy land and build. 1.) When someone has an idea of what they want in a home or have special uses and can't find it in the existing home inventory or 2.) when they can buy land and build for less than the existing inventory or 3.) It's your business to build and profit from the process. Then it's time to find a great parcel build.
Financing is different. You'll typically need 25-30% for a down payment for the land, then you will want to make sure you can convert or replace the loan with a construction loan and then again turn that loan into permanent financing. You'll want to align yourself with a good architect and builder as well. They are the ones that will make the process easy or a nightmare. Good quality people are a must. It's a lot of effort and it's not for everyone. It takes time, patience, (the process will probably take about a year from closing to certificate of occupancy) and a good knowledge of the market and process. You not only want to build for you, but also consider the resale ability when it's time to move on. Before you commit to buy and build, I'd recommend to do a thorough examination of the existing inventory before committing to buy and build. If nothing meets your needs, then buy all means. Also, in an appreciating market, land can be a great investment too. Many have made fantastic returns in land, but it is also speculative and there are no guarantees to make a profit. As we have seen in land cycles, it doesn't always go up in value. I think now is a good time to buy.
I do have several parcels for sale. 2.5 acres for $125,000 in Rio Verde, a 3 for $335,000 with all infrastructure and utilities on a paved road in Scottsdale near the Whisper Rock subdivision, 5 acres in Rio Verde for $225,000 to name a few. I also am representing a bank on a 196 lot approved subdivision with all approvals in place asking $550,000. This was appraised several years ago for over $7 million (not in Scottsdale) That would make a good speculative play for a qualified investor with the intent to hold for several years.
It all depends on your needs and finding what fits those needs best. Hope this helps a little.
Please feel free to call me.
Bill Clarkson, CCIM
Love to discuss.
Steffy Hristova, MBA, SFR, Realtor®
Tel: (480) 966-9353
3131 E. Camelback Rd. #125
Phoenix AZ 85016
I have worked with several custom home builders and have a clear understanding of zoning issues, setbacks, easements, flood zones (yes Arizona has numerous flood plains), grading and drainage, well and septic, etc. There are very few issues that I have not encountered and can help you avoid buying a lot that will require extensive costs to build or even one that is unbuildable.
In addition I know the both the Arizona vacant land contract and the New Home with Lot contract.
You won't be sorry you contacted me.