By Tyson & Jennifer Bundy, Red Dirt Land Co founders
Selling land is a little different from selling a house. There's often no agent, no lender, and no one checking the buyer's side of the deal but you. That's not a reason to be nervous about it, but it is a reason to ask a few plain questions before you sign anything, the same way a careful buyer would ask them of you.
Here's what we'd ask, in the order we'd ask it.
1. Ask who you're actually dealing with
Get the buyer's full legal name or company name, and ask how they plan to handle the closing: which title company or escrow company, specifically, not just "we'll take care of it." If they're buying through a company, you can look up that company by name for free on the Arizona Corporation Commission's online business search to see that it's a registered business. A company formed in another state may show up in that state's own business search instead.
Worth knowing: a company's legal name and how it plans to close are both ordinary questions. A buyer who does this regularly will answer them without hesitation.
2. Ask how and where you'll get paid
Ordinary: your proceeds are held by a title or escrow company against a written purchase agreement, and released to you once the deed is recorded. Neither side has to take the other on faith, because the money and the paperwork move together.
Worth more questions: being asked to sign over the deed before you've been paid · a wire to or from a personal account instead of a title company · pressure to skip a title company to save time or fees · a decision wanted the same day you first hear from the buyer.
A fast closing is a fair thing to want, and a buyer can be quick and still close through a title company. Weigh what that step costs against what you're selling. It's usually not a close call.
3. Ask what happens if the deal falls through
Before you agree to anything, ask what happens to any deposit if the buyer backs out, and whether you're free to sell to someone else if the deal doesn't close on time. Get the answer in writing, not just said out loud. If you don't have a deed or parcel number handy to show a buyer what you're selling, our guide to finding your APN in Arizona covers that first step.
4. Ask whether the offer depends on anything else
Some offers are firm. Others depend on the buyer's own due diligence, a title search coming back clean, or financing they still need to line up. Ask which one you're being offered, and ask for a realistic closing date rather than a vague one. A buyer who has actually looked at your parcel can usually give you both answers right away.
5. Use a title company, even on a small sale
On a very inexpensive parcel some sellers skip it. We still think that's a poor trade, for the same two reasons it matters on the buying side: a title company gets the deed recorded correctly with the county, and it holds the money so the deal doesn't depend on either of you trusting the other. Our buyer guide to checking out a land seller makes the same case from the other side of the table. If you're also weighing whether to sell to a direct buyer or list it yourself, our guides to how to sell vacant land in Arizona and selling without a realtor cover those paths in more depth.
6. Read what you're signing, and keep a copy of everything
Before you sign, check that the parcel number and legal description on the document match your own paperwork. If a buyer promised you something out loud that isn't in the document, ask for it in writing before you sign. Keep a copy of everything you sign and every payment confirmation you receive.
Now ask all of that of us
We're Tyson and Jennifer, a family company buying vacant rural parcels across Arizona. Ask us for our legal name, ask us to close through a title company, and ask for the price and terms in writing before you sign anything. We'll give you all of it without you having to push for it.
Frequently asked questions
What should a legitimate land buyer be willing to give me?
Their legal name or company name, how they plan to close (which title or escrow company), and a written purchase agreement before you sign anything. All of it is ordinary to ask for, and a buyer who does this regularly will have it ready.
Is a title company worth using on a small land sale?
We think so. A title or escrow company is a neutral party that holds the money and handles the closing paperwork, so the deal does not depend on either side trusting the other. If you have questions about your own sale, a title company or a licensed Arizona attorney can walk you through it.
What if the buyer backs out after I've agreed to sell?
Ask that question before you agree to anything, and get the answer in writing: what happens to any deposit, and whether you're free to sell to someone else if the deal falls through.
How do I check out Red Dirt Land Co before selling to you?
The same way you'd check any buyer. Ask us for our legal name, ask us to close through a title company, and ask for the price and terms in writing before you sign anything. We'll give you all of it without you having to push.
