How To Buy Land In Arizona | askBAMLand

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Ready to make your mark in Arizona? Learn how to confidently purchase land with our expert tips and insights, guiding you every step of the way.

To buy land in Arizona, research thoroughly, budget wisely, work with experienced professionals, obtain a real estate disclosure report, and consider water availability, utilities, and flood risks. Secure your dream property now!

As an expert in land acquisition and a trusted resource, I understand what’s required to buy land in Arizona. As such, let me guide you through the process while providing valuable insights and assistance. This is to help you make informed decisions and achieve your dream of owning the perfect piece of Arizona's landscape.

Key Takeaways

  • Research, budget, and seek professional guidance to buy land in Arizona successfully.
  • Get a real estate report and evaluate zoning, access, water, utilities, and flood risks.
  • Explore Arizona's diverse landscape to buy your dream property.

Table of Contents

How to Buy Land in Arizona

Buying land in Arizona can be an excellent investment for those looking to build their dream home or a custom home to sell. To successfully navigate the process of purchasing vacant or raw land, it's essential to conduct thorough research, properly budget, and work with experienced professionals in the real estate field.

Arizona has a diverse landscape, ranging from stunning desert expanses to lush river valleys, providing potential buyers with a variety of options to find the perfect location for their property. Before beginning the land purchasing process, it’s crucial to obtain a real estate disclosure report from the Arizona Department of Real Estate.

This report provides essential information about the property, such as zoning, access, and any existing conditions or improvements. It's also important to consider factors such as groundwater availability, especially in Arizona's active management areas, where the state manages and restricts groundwater use.

Be prepared to evaluate the property for drinkable water sources, electricity and plumbing access, and potential flood risks to ensure the land meets your needs and aligns with your vision for your dream home or development project.

Researching Your Options

By thoroughly investigating land purchase options, you can leverage your knowledge and maximize the chances of purchasing the perfect Arizona land for your custom home. Creativity is key when searching for the ideal lot, so explore various properties within your budget and prioritize your needs and preferences.

Land Types

When considering how to buy land in Arizona, it's important to know there are different land types that cater to various needs. Some of these include;

  • Vacant land: This type of land has no existing structures or developments on it and is perfect for those who want to build a custom home from scratch.
  • Raw land: Refers to undeveloped land that may require significant improvements.
  • Developed land: Developed land already has necessary improvements in place, like paved roads and utility connections.

Available Locations

Arizona land is available in various locations, each with its unique perks and challenges.

Some key areas to consider include:

  • City: Buying land in a city area, like Phoenix or Tucson, typically offers better access to public transportation, schools, and other amenities.
  • Suburban: In suburbs, you will typically find a balance between urban amenities and more space for a larger custom home.
  • Rural: For those who cherish privacy and closeness to nature, rural areas provide larger properties and the opportunity to be surrounded by desert landscapes or mountain views.

Land Regulations

Before purchasing raw land in Arizona, it's crucial to understand various legal requirements and regulations to ensure the property is suitable for your dream home.

Some key aspects of research include

  1. Arizona Department of Real Estate Disclosure Report: It's essential to obtain a public report from the Arizona Department of Real Estate, which discloses vital information about the property.
  2. Zoning: Check zoning regulations with the local authorities to ensure your intended use of the land is feasible and abides by local laws.
  3. Water resources: Inquire about water availability with the Arizona Department of Water Resources, especially if the property lies within a Groundwater Active Management Area.

Budgeting and Financing

Purchasing land is an exciting opportunity to build your dream home in Arizona, but it requires careful planning and thorough research.

Determine Your Budget

Deciding to buy land in Arizona means understanding the costs involved and determining your budget. Arizona land prices vary depending on location, size, and zoning, among other factors.

To decide if purchasing raw land to build a custom home is the right investment for you, consider these factors:

  • Size of the land
  • Presence of groundwater active management area (provided in water resources report)
  • Legal access to the land
  • If the land is within a flood plain
  • Availability of utilities and services
  • Proximity to public transportation and schools

Financing Options

Securing financing for vacant or raw land can differ from traditional real estate loans. Some financing options include mortgage loans, hard money loans, USDA loans, and lines of credit.

However, there are alternatives.

  1. Loans from banks or credit unions: Some financial institutions offer loans up to $700,000, specifically known as Arizona land purchase loans.
  2. Seller financing: Instead of relying on a bank or lender, ask the seller to provide financing. This process means you'll make payments to the seller over time for the property.

Before applying for a loan or exploring other financing options, gather essential documents such as the real estate disclosure report (public report).

This report is issued by the Arizona Department of Real Estate and includes information related to flooding, drainage, adjacent land, and assurances for the completion of improvements.

Remember that you are required by law to obtain a public report for any development consisting of more than five parcels.

Here’s a table of the pros and cons of the types of financing options you may have.

Financing Type Pros Cons
Bank or credit union Potentially higher loan amounts Stricter qualifications
Seller financing Flexibility, easier qualifications Possibly higher interest rates

Working with Professionals

When exploring how to buy land in Arizona, it's important to collaborate with several professionals to ensure you find land that is a perfect lot for your dream home or custom business. Professionals can guide you through the process of purchasing raw land and help you avoid potential pitfalls.

Real Estate Agents

Working with a real estate agent can make the process of buying land in Arizona much smoother. A knowledgeable agent can help you find vacant land within your budget, guide you through purchasing, and assist in obtaining a real estate disclosure report.

Your agent will also be familiar with the various zoning laws and regulations, ensuring your dream home fits within the Arizona Department of Regulations.

Real estate agents can help with the following:

  • Locating properties that meet your criteria,
  • Understanding local zoning laws,
  • Navigating the purchasing process,
  • Obtaining necessary reports and documents

Land Surveyors

Before you commit to purchasing a plot of land in Arizona, it's essential to have a land survey completed. A professional land surveyor determines property boundaries and can identify any potential issues such as flood plains, groundwater active management areas, or problems with legal access.

Land surveyors provide essential services, including:

  • Establishing property boundaries.
  • Assessing soil quality and composition.
  • Identifying potential flood hazards.
  • Evaluating the surrounding environment, such as wildlife habitats, rivers, and nearby transportation.

Title Companies

A title company plays an essential role in developing and constructing your custom home. They ensure there are no legal issues with the land, such as liens or disputes, and provide the necessary documentation to prove ownership.

This includes obtaining a public report from the Arizona Department of Real Estate, which discloses information about the property and any improvements, like water resources reports or septic tank systems.

Title companies support the purchasing process by

  • Ensuring a clear chain of title,
  • Providing a public report containing essential information about the property,
  • Coordinating paperwork and legal documents.

A table of Professionals in the Land Buying Process.

Professional Role Service Provided
Real Estate Agent Assists in finding and purchasing land, guiding buyers through the process. Locating properties, explaining zoning laws, and navigating the purchasing process.
Land Surveyor Determines property boundaries and identifies potential issues Establishing boundaries, assessing soil quality, and evaluating the environment
Title Company Ensures no legal issues with the land and provides necessary documentation, coordinates paperwork and legal documents, and obtains public reports. Clears the title, obtains a public report, and coordinates the transfer of ownership

Land Purchase Process

When purchasing raw land, being prepared and doing thorough research will make it easier to find the perfect property to build your dream home.

Making an Offer

As you consider how to buy land in Arizona, one of the first steps is to make an offer on the perfect lot to build your custom home. When selecting a piece of land, it's essential to consider factors such as location, access to public transportation, nearby schools, and development plans in the area.

As you navigate the process of purchasing raw land, the Arizona Department of Real Estate requires a disclosure report to be provided, called the Public Report. This document contains essential information about a property's zoning, legal access, groundwater active management area, and whether it's a flood plain or not.

Before making a formal offer, remember to

  • Verify the Arizona land zoning by contacting the local county authority
  • Ensure there's legal access to the property since some remote locations might be landlocked
  • Check if the land is in a Groundwater Active Management Area, as this can affect the availability of drinkable water

Once your research is done, you can work with the seller to negotiate the sale price and terms of the contract.

Closing Process

As you proceed with buying land in Arizona, the closing process will involve several essential steps. You'll need to:

  1. Obtain a water resources report to evaluate the availability of water on the property. In some cases, you may also need to install a septic tank or connect to the city's sewage system.
  2. Check if the land is part of more than five parcels being offered for sale by the same owner since Arizona law requires a public report to be issued in such cases.
  3. Confirm the property taxes and costs associated with the property transfer.
  4. Have a licensed contractor perform soil tests to ensure the land can support your custom home construction.
  5. Consult with local utility providers to determine the availability and cost of connecting services such as electricity, phone lines, and internet.
  6. Review the final contract and zoning requirements with a real estate attorney.
  7. Be aware of any possible financing options, as purchasing vacant land may require different lending options than buying a pre-existing home.

During the closing process, it's essential to stay in communication with both the seller and other parties involved, such as contractors, utility providers, and your real estate attorney. This will ensure a smooth transaction and prevent any potential issues from arising.


Brittany Melling

Brittany Melling

Brittany has been in the land business since 2020 when the world was starting to shut down. Since then, we’ve sold to dozens of people from ATV weekend warriors to camping enthusiasts to retired truck drivers. Our inventory spans mostly in the western United States. We’ve been trained by experience, land acquisition courses, and hundreds of hours meeting with county assessors and clerks, zoning officials, realtors, and land investors. We’ve answered hundreds of questions from people regarding the buying and use of land.

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