OfflineIs there a way to determine the FMV of raw land vs. how you would determine FMV for say a SFH 3/2? With the SFH you have comps to look at, DOM, age of home, location etc. But with the land you just have the raw unimproved land to go off of.
I mean with raw land, obviously land that has been soil tested and permits for a 3/2 homes is going to make it worth more as it reassures the next buyer that the land is in fact buildable. But what is the next best thing to determine FMV? If the Town Clerk has a figure for FMV, is it reliable, and can it be used?
I dont have exact comps for raw land in my town and the closest comp I can find is a lot that has more acreage, so its not a true comp.
Any thoughts?
-Marc
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If it were me I would figure out the cost of the other plot of land on a per acre or per square foot basis and use that figure to get a value for the smaller plot. I would take off some value for being smaller. Is the one in question in a subdivision? Near an interstate,schools,shopping, places for employment? A nuclear plant? A waste dump? Does it have a view? Is it near hunting and fishing lands?
Unless it is a by itself there must be others to compare it to.
Mine is marketed using the tax assessed value.
Let's see what you decide.
Lauri
" The only difference between me and successful people is they started before me."
by Shane
It is 2+/- Acres near a popular snowmobile network that is very popular in this state as well as hunting/fishing lands. 2 miles away from a 700 Acre Reseovoir that is popular for fishing etc and 3 miles away from a top notch equastian resort, which draws many out of staters for weddings and such (http://www.mountaintopinn.com)
There is a house to the left that is currently for sale for $147K which sits on 1.4 acres and another home up the street, not for sale. So the land sits in between the two. No nuclear waste dumps or anything like that. It does have a view as well. So it sounds like I will have to go off the tax assessed value from the town then as its marketable price.
It is hard to value raw land but never rely on the tax assessed value of anything.
If there are no similar raw land sales. Look at home sales on similar sized property and subtract out the cost of building the home.
Where I live, you can buy houses for less than construction cost so that has killed the cost of buildable lots.
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