How much is my vacant land worth?

Start with the county number, but don’t stop there

Your tax bill or the county website shows a value for your land. It’s a starting point, not a price.

In Texas, the appraisal district values land at market value as of January 1 each year. But it values thousands of parcels at once using the same method, so it can be off for any single lot. Vacant land with no recent sales around it is often the least accurate.

If your Texas land has an agricultural valuation (often called an ag exemption or “1-d-1”), the taxable number on your bill is based on what the land can produce, not what it would sell for. That number is usually far below market value. Look for the separate “market value” line on the appraisal district page instead.

In Ohio, the county auditor appraises land at its true value and reappraises every six years, with an update in the third year. The number you’re taxed on is 35 percent of that value. So if the auditor’s site shows a taxable or assessed value, multiply it by about 2.86 to get the full appraised value. Land in CAUV, Ohio’s farm use program, also shows a lower farm value. Use the full appraised value for a rough market check.

How to find what land near you really sold for

Listings tell you what sellers hope to get. Sales tell you what buyers actually paid. Use sales.

1. Search land sale sites for “sold” listings. Filter for land that sold in the last 12 to 24 months, in your county, close to your size.
2. Check the county records. In Ohio, the buyer files a statement of the sale price with the county auditor, and most auditor websites show past sale prices on each parcel. In Texas, sale prices usually aren’t in the public record. Deeds usually don’t show the price, and the law keeps sale prices shared with the appraisal district confidential. So in Texas, you’ll lean on sold listings and on people who work in the area.
3. Compare price per acre, not total price. Divide each sale price by its acreage. Small lots almost always sell for more per acre than big tracts, so compare lots of a similar size.
4. Throw out the odd ones. A sale between family members, a lot with a house on it, or one with lake frontage when yours has none will skew the number.

If you need your parcel number to look any of this up, here’s how to find it.

What makes vacant land worth more or less

These matter more than almost anything else.

• Legal road access. Land you can drive to on a public road or a recorded easement is worth far more than landlocked land.
• Utilities. Electric at the road, and a way to get water, add real value. In rural areas, whether the soil can support a septic system matters too.
• Flood zone. Land in a FEMA flood zone, and especially in a floodway, is harder to build on and usually sells for less. You can check your parcel on FEMA’s flood map for free.
• What you can build. Zoning, deed restrictions and HOA or POA rules can limit what goes on the land.
• Location. Distance to a town, a lake, a highway or a growing city. The same acre can be worth many times more near a growing city than it is an hour out.
• Shape and slope. A usable, level lot with good frontage beats a narrow strip or a steep hillside.

Back taxes and liens don’t change what the land is worth. They change what you walk away with, because they get paid at closing.

Three ways to get a number

1. Do the comp check yourself. It’s free, and it’s good enough to tell you if an offer is in the right range.
2. Ask a local agent who sells land. Many will give you a free opinion of value. Ask what similar land actually sold for, and how long it took.
3. Hire a licensed appraiser. It costs money, but you get a written, formal value. This matters most for estates, divorces, or a sale between family members. You can check an appraiser’s license with the state. In Texas, that’s TALCB. In Ohio, it’s the Division of Real Estate.

Market value vs. an offer from a land buyer

These are two different numbers, and it’s fair to know why.

Market value is roughly what the land could bring if you list it, wait for the right buyer, and handle the steps yourself. That can take months, sometimes a year or more for rural land.

A direct buyer like us pays less than full market value. In return you get a written offer within days, no commission, no closing costs, and a closing date you pick. We also take on land with problems, like back taxes, title issues or no access, that a regular buyer might walk away from.

Neither is right for everyone. If you have time and the land is clean, listing it may get you more. If you need it done, or the land has problems, a direct sale can make more sense.

An example with numbers

This one is made up, but the numbers are typical of what we see on rural tracts in Texas.

Say you own 10 acres in East Texas with an ag valuation. Your tax bill shows a taxable value of about $1,500, because it’s based on what the land can produce. The appraisal district page also shows a market value of $60,000, or $6,000 an acre.

You look up sold land nearby and find five sales of 5 to 20 acres from the last 18 months. Four sold for $6,500, $7,000, $7,500 and $8,000 an acre. The fifth sold for $14,000 an acre, but it’s on a lake and yours isn’t, so you set it aside. The other four average $7,250 an acre. At 10 acres, that points to about $72,500.

Now adjust. Electric is at the road, which helps. But the back 3 acres sit in a FEMA flood zone, and the lots that sold didn’t. That pulls your number toward the low end, somewhere around $65,000 to $70,000.

So the $1,500 on the tax bill was never the value, and the county’s $60,000 was a little low. If you also owe $2,000 in back taxes, the value doesn’t change. The $2,000 is paid at closing, out of the sale price.

This guide is general information, not legal, tax or appraisal advice. Values and rules vary by county. Your county appraisal district or auditor, or a licensed appraiser, can confirm what applies to your parcel.