Like many landowners nationwide, perhaps you have noticed a surge in unsolicited bids for your acres or letters from supposed buyers. So how can you discern if these proposals are genuine, reflect your land’s true worth, or are merely wild goose chases? Let’s unravel this mystery.
In the majestic Rocky Mountain states, it’s not uncommon for landowners to find letters from investors in their mailboxes, offering cash deals for their properties with the allure of quick closures. These proposals, often paired with contracts and purchase prices that seem too good to be true, come from a group known as wholesalers. They cast a wide net across properties they know little about, hoping to hook a few landowners into selling at a price well below market value. Once they get a nibble, wholesalers quickly appraise the property to make a lowball offer to swiftly flip it for a tidy profit.
At times, these buyers may secure a property for a bargain price, list it at a significantly higher cost, and arrange a closing with the original owner upon finding a second buyer. The second purchaser pays the full asking price, the initial owner gets their agreed-upon sum, and the wholesaler pockets the difference.
On the flip side, wholesalers might buy the property outright and resell it without making any improvements. While this approach sees the original owner selling their property, it often leaves them short-changed. They could have earned a larger profit through a direct sale rather than selling to these out-of-area wholesalers looking for a quick buck.
However, not all unsolicited letters should be tossed aside, particularly if you’re thinking of selling. As licensed real estate professionals, we sometimes send letters on behalf of clients looking to buy specific properties. These buyers are serious, ready to offer a fair price, and keen to enjoy the property. When the current market doesn’t have what they’re looking for, they turn to off-market opportunities.
If selling is on your horizon, reach out to Corder and Associates, your local land experts, for an assessment of your property’s worth. We offer invaluable advice to help you estimate a potential selling price. You can then weigh up whether to accept a wholesaler’s offer or work with us to market your property.
Yes, brokers do charge a commission for marketing and representation, but selling through the market could potentially yield a much more significant profit than responding to unsolicited offers. Plus, our marketing expertise is unparalleled!
