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Our Valuation Process: Developing Realistic Property Values To Determine What Your Ranch Is Worth

One of the most common (and critical) questions we receive as land & ranch real estate agents is “What is my ranch worth?” When it comes to selling your land or ranch in Texas, understanding its true market value is a crucial first step. At Story Group Land & Ranches, our valuation process is meticulously designed and proven over more than 20 years in a variety of economic conditions to provide you with a price that's not only reflective of your property's worth but also achievable within a reasonable amount of time. Here's how we do it:


Initial Contact and Discussion


Our journey begins with a conversation. We take the time to understand your needs, expectations, and the unique features of your land. This initial discussion is crucial for setting the stage for a successful valuation, as it allows us to gather essential information and begin forming a comprehensive picture of your property. We also take the time to answer questions you might have because we want you to be comfortable with us and our valuation.


Confirmation of Property Boundaries


Before we visit, it's important to confirm the approximate boundaries of your property. This step ensures that our evaluation is accurate and encompasses the entire property. By using the latest tools and technologies, we verify property lines, which is vital for assessing the true value of your land or ranch.


Property Visit


Aerial photo of tree-lined pasture with a pond

Next, we schedule a time to visit your property in person with you. This allows us to appreciate the unique characteristics of your property - conditions and features that photos or descriptions might not fully capture. We assess items like the land's topography, accessibility, water resources, utility availability, and any structures or improvements. This on-site evaluation is essential for a thorough and accurate valuation. 


While we meet with you, we will ask questions about the exit strategy and timeline for your family. Are you looking to reinvest in land or another asset class somewhere else? Maybe you are looking to sell as part of an estate planning transaction? We can talk you through the various scenarios, and if necessary, we have the resources available to provide you with professional guidance in their area of expertise (for example, a 1031 exchange). 


We will also look at your property like a buyer would like:

  • How long has this property been in the family? 

  • Why are they selling? 

  • Where is their favorite spot on the property? 


We also perform a significant amount of research to be able to answer questions like:

  • Who is the water provider for this area? Do they have the capacity for an additional meter? 

  • What’s the hunting like in this area? Can I take two bucks a year? 

  • How is this area growing? Where do you see this property in five years?

Being able to confidently answer buyer questions puts the buyer at ease, increasing the likelihood that they will submit an offer on your property. 


Market Analysis


Our market analysis is where science meets strategy. We consider recent sales of comparable properties in the surrounding area, and we go further by analyzing your land’s highest and best use on today’s market. We also have an understanding of the trends in your area. Comparable sales are always backward-looking and should be viewed through the lens of how the area (and general market) is trending. For example, in an ascending market, solely basing a property’s value on comparable sales could result in pricing the property lower than the market would be willing to pay, costing you precious equity. 


This comprehensive approach ensures that we understand the full potential of your property and how it stands in the current market landscape. We provide you with our professional opinion on the list price of the property and what we think the property would be sold for when using our proven property positioning techniques.


The Goal of Our Valuation


Understanding that a property is ultimately worth what a buyer is willing to pay, our goal is to provide you with a valuation that is realistic and achievable. Our detailed, step-by-step process is designed to capture the true value of your property, considering all its features and the current market conditions.


At Story Group Land & Ranches, we're committed to transparency, accuracy, and realism in our valuations. We understand the importance of setting the right price—a price that reflects your property's worth and can be achieved in a reasonable timeframe. Trust us to guide you through the valuation process with expertise and care, ensuring the best possible outcome for your land or ranch sale.


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