Land Brokers Explained: A Glimpse Into Their Role and Responsibilities Friday, July 14, 2017
Are you interested in learning about land brokers – including their responsibilities, the types of transactions they specialize in, and whether this might be the right career path for you? Well, you came to the right place! We, at The Robert Weiler Company, have highlighted important information that we think you’ll find useful. As one of the top commercial real estate firms in Columbus, Ohio, we’re here to provide you with everything you may want to know about this field. Continue reading to learn more about this interesting, challenging, and rewarding career.
What Are Land Brokers?
First and foremost, let’s discuss exactly what a land broker does. Simply put, they are responsible for the negotiation and acquisition of land. They gain the rights of way for commercial and industrial purposes; this can include developing well sites, pipelines, coal mines, power lines, roadways, and much more. Typically, oil, gas, and mining companies, as well as engineering firms, and government agencies employ these professionals. The salary range varies, depending on location, education, and experience. However, according to the 2010 United States Bureau of Labor Statistics, those employed in the Real Estate Brokers and Sales Agents occupational group earned a median salary of $42,680 per year in the USA.
Land brokerage is a complex, diverse, and specialized niche in the real estate industry. Some key responsibilities include identifying property disposition and acquisition opportunities, acting as a public affairs liaison in communities on behalf of their employer, and maintaining the land inventory of the employing municipality. When evaluating properties, these professionals must consider many facets, such as wildlife protection, hazardous waste disposal, and all necessary permits. They should also be knowledgeable about local land ordinances and zoning issues.
Types of Land Transactions
There are several types of transactions that land brokers can specialize in. Your place of employment will determine which types of projects you work on. They include farms and ranches, undeveloped tracts, transition or early development stages, subdivision and lot wholesaling, and site location and assembling parcels. Each transaction differs and requires a unique set of skills, as briefly outlined below.
– Farms and Ranches:
The person brokering a ranch or farm for sale in Ohio needs to know specific information in order to properly determine the value of properties; this may include crop rotation, weather cycles, over-grazing, water rights, and the latest happenings from the Environmental Protection Agency (EPA).
– Undeveloped Tracts:
Brokering tracts of undeveloped land – especially those near fast-growing urban areas – requires knowledge of local business trends, employment, urban growth patterns, land use regulations, and development costs. Possessing top negotiation skills in the corporate environment is also a key asset.
– Transition or Early Development Stages:
Working with transition or early development land could include anything from closed military bases to tracts set aside for specific developmental purposes. In any case, the purpose of the tract is usually predetermined. Therefore, property brokers should be informed about the economic viability of the approved uses and the required development costs. They should also know about governmental and tax incentives in order to reach the best deal possible for all parties involved.
– Subdivision and Lot Wholesaling:
If you specialize in subdivision and lot wholesaling, this means you prefer to purchase an undeveloped tract, acquire the approvals, subdivide it, and install utilities, roads, and other infrastructure. You then wholesale the lot to builders for then construction of homes or commercial properties. To be successful, these types of lot brokers require commercial and residential expertise, as well as the capability of marketing to builders.
– Site Location and Assembling Parcels:
This highly specialized niche requires you to locate parcels for a specific buyer or purpose. This often requires negotiations with various owners to acquire enough adjacent land for the proposed project or development.
Do You Have What It Takes?
People with certain characteristics are more likely to succeed in a career as a land agent. The most important traits to note are excellent oral and written communication, strong negotiation and organizational skills, and the ability to manage both business-to-business and business-to-customer transactions. You do not need a specific degree to obtain a job in this field; although, it doesn’t hurt to have knowledge or experience in geography, environmental studies, marketing, management, economics, and/or commerce. There are also several career choices loosely related to this field, including a commercial realtor, insurance agent, and travel coordinator, which might be worth pursuing, as well.
Join the Club
If you become one of the many land brokers in Ohio, it is wise to join the REALTORS® Land Institute. This esteemed institute acts as a global network of land professionals; it provides you with the education, tools, advice, and networking opportunities needed to become an Accredited Land Consultant (ALC).
Trust The Robert Weiler Company!
The Robert Weiler Company knows what it takes to be successful at brokering Ohio land for sale. As a full-service commercial real estate brokerage, development, property management, appraisal services, and CRE consulting firm with 80 years of experience, we have a competitive knowledge of the market and a value that you won’t find at any other firm. Keep us in mind if you have any questions; we’re always here to help future land brokers.