Will Rogers was well quoted when he said "Don't wait to buy land, buy land and wait". There are many stories thoughout history that points out to prove Wise Will well, (say that 5 times fast in a row)! Will also said "Land is the basis of all wealth".
There is another saying in the Real Estate Industry that adds to the importance in valuing land. That saying is well known throughout the Real Estate profession and that is "Location, location, location". Whether you are purchasing land for building a primary residence, vacation home or 2nd home location is extremely important! Is the land well located to your work destination? Is it convenient to schools for your children? Are the roads properly maintained? If all of these questions are answered in a way that you approve then you are halfway there.
What else should you look at in land that will make it valuable to you personally and as a future investment? I believe that the characteristics the land possesses is a close second to the location of the land discussed earlier! Surface water is an amenity that will always be extremely valuable and, in my opinion, tops the list of characteristics to look for. Either a river, stream, lake, pond or creek on the land significantly increase the value of a parcel of land. Next characteristic that will help value is the view! What are you looking at from the future building site? Snow Capped Mountain views are particularly impressive and well sought after by most Buyers. Tree cover specifically Aspens, Ponderosa Pines, Firs, and Spruce trees are the overwhelming favorites. All of these valuable characteristics are essential for land value today and land value in the future!
Sword of Truth Ranch in La Plata County, only 15 minutes from downtown Durango, Colorado.
Another very important category to look for in your determination of land value are the utilities. Where is water, power, phone and natural gas? Let's begin with water. Is it possible to drill a well that will meet your family requirements? A rule of thumb is for a well to produce at least 2 gallons per minute. That supply of water should take care of any household and family needs. Is there is a water system to the land? If so, you will want to research the system's history to determine if there have been any problems with supplying an adequate water supply to all the homeowners on the system.
Power is an obvious need to most families. Is it underground or overhead? Underground power will preserve the views while overhead power will not. You will want to make sure they are underground to give you the best land value potential. Same idea goes with phone.
Natural gas is normally not available in the country with land more than 2 acres in size, however, propane is an excellent source of gas for heating the home. Propane is generally delivered at no charge by the Propane Company. Cost of propane is slightly higher than natural gas in most parts of Colorado.
Once you have done your "due diligence" in these categories you have the basis and knowledge to make a solid decision in your purchase of one of the most valuable investments in your future!