How to Learn a Lot About Lot Clearing

While many people own real estate, others invest in land.  Depending on its location and the mindset of the purchaser, land can be developed right away, or it can be held to allow its value to increase before selling or developing it.  Either way, sooner or later the lot will most likely need to be cleared before the land is put to use.  When that time comes, there are a few lessons you’ll need to learn about the process of lot clearing.  Below are a few pointers designed to help you a lot.

1.      Have you thought a lot about how you’re going to use your lot? – Since there are many uses for land, the best way to profit from owning it is to determine how your lot is likely to be used.  Depending on your needs, you’ll need to hire a lot clearing service that is willing to discuss whether to clear cut your lot, or whether to leave some trees and trim others to add to the lot’s aesthetic value.

      2.      Is it better to clear a lot or keep it wooded? – That depends on the value of what sits on the lot.  While clearing a heavily wooded lot can get expensive fast, the timber on your land may be valuable enough to sell to help offset some of the costs.  A timber broker or forester will need to be hired to survey your lot to determine the value of the timber on your land.  You can also contact a state forestry association to obtain a stumpage report that will give you some idea of the value of the timber on your lot. 

      3.      How much does it cost to clear a lot? – The cost to clear a lot depends on three things: The location, the acreage, and the scope of the work involved.  The best way to determine this is to survey the land.  Not only will a land survey point out what sites between the boundaries on your property, it can also be used to value the timber on it, test the soil, identify any permit issues and discover any access or easement issues that may stand in the way of clearing or developing the lot.  Only then can you get a clear picture of how much it will cost to clear your lot.  The cost to clear a lot typically ranges anywhere from $1,000-$5000.      

      4.      Create a plan to prepare the site. – Before you start soliciting bids to clear the lot, you should create a master plan for the site.  This way you won’t find out after the fact that the babbling brook that bisects your site is a protected wetland or those dead trees you planned to remove contain a rare species of woodpecker that precludes cutting them down.  You’ll also need to determine the composition of the lot. If there are a lot of rocks or boulders on your property, you’ll need a backhoe to remove these. 

      5.       Prepare the site – While the company you hire to clear the lot will do most of the heavy lifting, it would help if you would have the lot staked out and the permits pulled to clear the way for the crew.  If there’s no easy access to your lot, you’ll also need to clear a path for the heavy machinery that is sure to follow.  You should also call your accountant to see if anything involved in clearing your lot is tax-deductible.

      6.      Secure competitive bids – Now that you’ve paved the way to legally clear your lot, it’s time to get contractors to bid on the job.  Unless you’ve dealt with the process before, you’ll need to research companies in your area that specialize in lot clearing.  While the Internet is a good place to start, typing in the term “Local Lot Clearing” is going to bring up dozens of candidates.  Before you start dialing, you should research each company online. Finding out which companies have good reviews is as easy as point and click.  Simply type in the name and location of any contractor you’d like to assess and add the word “Reviews” after it.  You should seek review sites that are monitored for accuracy, like the Better Business Bureau, Angie’s List, and the like to determine likely suspects.  Then it’s a matter of contacting at least three companies with stellar reputations to get them to provide competitive bids.

      7.      What should you ask prospective contractors? – First and foremost, you want to make sure the company you hire is licensed and bonded.  If not, any injury that should occur on your site could suddenly be a big problem for you.  Ask the company about their safety record and the kind of safety policies that their employees are required to follow.  How many years has the company been in the business of lot clearing?  Just because a company has been in business for 20-years doesn’t necessarily mean that they’ve been clearing lots for that amount of time.  Is the contractor going to pay for lot cleanup or is that going to be left to you?  Is the company willing to provide you with references from recent customers whose lots they have cleared? You also want to see a written estimate that details the entire process from start to finish.  Just because a contractor charges less, that doesn’t mean every contract is the same.  You need to read every line to find out what you’ll get for your money.

      8.      Should you be on-site when the lot is cleared? – While you certainly don’t want to be underfoot when your lot is cleared, it would behoove you to be on-site to make sure that the job is done to your satisfaction and the crew performs all the services delineated in the contract.  Besides, if you decide to invest in more land in the future, you’ll have already learned a lot about lot clearing. 

Comments

  1. The most important factor in turning a profit on land is to do your homework ahead of time.

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