Hey Everyone,
Just wondering if anyone has had success selling their vacant land parcels to local builders or developers in the area near the parcel(s). I read on one of Seth’s blogs that he had success doing this, and I would like to give it a shot before I spend the time and money creating listings. How did your conversations go when you called them? What exactly did you say? I am trying to figure out a good angle to take with them. I figure possible reasons they’d be interested in buying it are building a spec house, or building a house for an end buyer directly. Maybe they are buying several lots. Anything I’m missing? Love the idea, just trying to work out an angle.
Thanks!
Ryan
@rmiller1291 I often have to call a few of them before I got any bites (the first phone conversation usually doesn’t result in an immediate sale). They usually do express some interest though, which is a breath of fresh air when you’ve talked to a dozen other buyers who aren’t serious or ready to buy.
I know @karljames has had a bit of success with this too. He might have some insights.
@retipsterseth thanks Seth. What are some things you usually say to them? I’d like to figure out how to best frame it in a way that’s appealing to them. Also: do you normally have a listing already that you can point them to? My lot is in a subdivision, so local builders are already familiar with it
@rmiller1291 - there are probably a hundred different ways you could phrase it, but you don’t have to make it complicated. Just be real and honest about the situation and help them understand that they can make a lot more money on any spec homes they build because they’ll be able to get the land from you at a price FAR below retail value.
I saw that you’re a local home builder in XYZ city/county. I recently bought a vacant, buildable lot near you and was curious if you’d be interested in buying it. I can offer you a huge discount on this lot. Similar ones in the area are listed/selling for $100K but you can buy this one from me for $50K.
You could explain that you’re a land wholesaler and you come across these deals all the time. If you give them a good experience with clear value, you could find yourself doing a lot more deals with them in the future. It’s a great way to sell fast and get the cash rolling in pretty quickly.