Investing in a homestead might seem like an impossible feat when strapped for cash with nothing left over after paying the bills. There are a few things that might get you land even if you’re too broke to buy any right now.
Especially if you know where to look.
Head out in the country in the area you want to live. Remember to take into account the driving distance to work each day. No more than an hour each way if you want to keep your sanity.
Go Old School Use A Real Map
Grab a map, yes, a Real map. Go old school for a change. Calculate the driving distance from work to the area you want to live in, then make a big circle on the map.
Inside that circle is the area you can safely drive to work each day. Now that you know the area you want to live in let’s start looking for land to purchase.
Make it a weekend ritual to take a drive out in the country, don’t forget to drive down all the gravel roads, keeping inside your circle.
You’ll want to keep your eye peeled for old homes or shacks on a property and any handmade “For Sale” signs. Many farmers just pop up a sign on a fence when they want to sell some land. There’s no need for the newspaper or realtor ad out in the country. These are the prime properties you are looking for, and you want to keep watching out for them because they sell fast.
Many times large parcels of property are held by people that have passed on, and the relatives are holding on to it, thinking it will be a wonderful place to go out in the country for the weekend. Then years go by, and the house needs repair. That’s when they sell, and you need to keep watching for those deals.
Find The Local Pub
Make it fun, see if you can find the local pub for a quick meal, and get to know the folks living there. The pub may not look like anything on the outside, but it will often be the best food you’ve ever eaten. If you don’t have the money for that, you can just grab a cup of coffee or beverage.
Checking out where the locals go is a sure sign that It’s the best place to eat and gather. If you find a piece of property that looks abandoned, you might inquire about it at the local pub.
Chances are people in there can tell you how to get in contact with the owners. With a quick phone call, they might be ready to sell or know of a place that is for sale but not listed.
Buy Your Homestead On A Contract
Many old homesteads or big farms are paid off, so there is no lien with the bank on the property. That’s good news because you might be able to talk them into putting the land on a contract with you.
Especially if the home is run down and needs repair or the land needs to cleaning up first. No credit checks, you just pay the landowner, and if you don’t pay them, the property goes back to them. It won’t hurt your credit either if you default.
A contract is just a simple contract with the property owner and the buyer, drawn up by a lawyer with the amount you want to borrow and how long the agreement will be. Super simple. Just make sure that you have them do a deed search first. You don’t want to buy something that doesn’t have a clear title.
Also, you could ask the property owner if they would be willing to rent the home/property to you with the option to buy it at a later time. Maybe after a year or two of renting, then you can then buy it with a bank loan, or they might be willing to put the property on a contract with you.
If you do a little bit of research and asking around, you might be able to find homestead land that’s affordable even if you are broke.