How to sell a land plot quickly and profitably
To sell land in Ukraine quickly and at a favorable price is quite realistic. The main thing is to correctly determine the value of the plot and seek help from professionals. We tell you how to establish the correct value of land, what documents are required for the sale of a plot, how much tax you will have to pay and how a land plot sale transaction goes.
How to determine the value of a land plot
If you need to sell a plot of land in the shortest possible time, a correctly set price will play no small part in this. If the land is overpriced, no one will simply not respond to the advertisement: there will be no calls or viewings. If the price is underestimated, there is nothing good about that either. A suspiciously low price may lead the buyer to think that the plot for sale has some shortcomings that the seller has decided to keep silent about. But the main disadvantage of underpricing is, of course, the lack of a good income for the former owner.
A simple way to determine the approximate value of your land plot is to analyze similar plots nearby or in a similar segment of the land market. The easiest way to do this is to analyze similar plots nearby or in a similar segment of the land market.
On the site with advertisements you need to select your locality and the type of real estate "land plot". This will allow you to study the prices at which similar plots are sold. But it is important not to forget that such sites may have untrue advertisements with reduced prices, which are used by unscrupulous agents. Such information can confuse the seller and lead him to think that he wants to sell his plot at too high a price.
What factors influence the price of a plot of land:
location and transport interchange - may be successful or vice versa, for example, the neighborhood with a busy road may not appeal to those who want to build a private house or dacha on the plot;
availability of access to the site - an asphalted road will be a plus;
availability of infrastructure - if there is a city or infrastructure nearby, this is a significant advantage;
availability of lighting on the street - in general, a well-established neighborhood will be a plus, such a plot will attract more buyers;
buildings nearby - if it is neighbors with private houses, it is good, but if there is a high-rise building nearby or a plot for the construction of an apartment building, such a neighborhood may not appeal to potential buyers;
neighbors - it is also important what neighbors live nearby, if any, as few people will want to settle across the fence from a dysfunctional family;
proximity of a factory, landfill, cemetery - this feature will definitely be a disadvantage and may be a reason to reduce the price;
the view from the plot - unfinished buildings nearby can spoil the view and discourage buyers.
If the land has any disadvantages, it does not mean that no one will buy the plot. The main thing is to correctly determine the cost, taking into account the identified disadvantages and skillfully present the advantages, then a buyer will definitely be found.
When forming the price of the land plot, it is important to take into account the percentage of allowable bargaining. Many buyers haggle, so in order not to significantly reduce their benefits, it is best to immediately add a small amount of bargaining power to the price. Usually it does not exceed 10% of the value of the plot.
When selling land, it is obligatory to order a plot appraisal from an expert. This procedure will not help to determine the market value, but it is still mandatory. The valuation is carried out by professional appraisers, and it usually takes from 1 to 4 days. The cost of the appraisal is up to 2000 UAH.
What documents are needed to sell a plot of land
Before placing an advertisement for the sale of a land plot or contacting a realtor, it is important to make sure that all documents for the land are in order. If necessary, the documents should be updated. If you do not do this before the plot is put up for sale, you may lose potential buyers. Not everyone is ready to wait until the seller puts the papers in order.
So, what documents need to be prepared before selling land:
State act on the ownership of the land plot with an indication of the intended purpose of the land;
extract from the State Land Cadastre with indication of the cadastral number;
expert monetary evaluation of the land;
certificate of absence of buildings on the plot or technical passport if there are buildings;
passport and identification code of the owner (if there are several owners, then documents for each owner);
written consent of the husband/wife, if the owner is or was married at the time of the plot purchase (passport and identification code of the spouse and marriage certificate will be required);
an act of agreement on the boundaries of the land plot.
If at the time of sale the seller fails to provide any of the mandatory documents, the notary will not be able to certify the transaction, so it is best to prepare and carefully check the necessary papers in advance.
How a transaction for the sale of a land plot takes place
The sale and purchase agreement for a land plot is concluded at a notary at the place of registration of any party to the transaction or at the location of the land being sold. The land plot can be re-registered with both public and private notaries. Most often the notary is chosen by the buyer. After the main procedure, the object is reissued and registered with the local land resources department.
When selling a land plot, the conclusion of a preliminary agreement is considered an optional stage. However, if the buyer/seller wishes or by agreement between the parties, it is possible to conclude a preliminary agreement on the sale and purchase of land.
What taxes when selling a land plot
The first thing to understand about paying taxes when selling land is that their list and amounts differ depending on the intended purpose of the plot. If a land plot is sold for the construction of a house, then in 2024 there are such taxes and fees:
State duty in the amount of 1% of the value of the object specified in the contract;
personal income tax in the amount of 5% if the land plot has been in ownership for less than 3 years and has not been inherited;
military levy in the amount of 1.5% of the land value;
services of a notary, appraiser and other specialists.
Additional taxes arise if the seller conducts the second or more sale of immovable property in a calendar year. The size of the land plot also matters. Personal income tax and military duty will have to be paid if the land for the construction of a private house in a city is more than 10 hectares, in an urban-type settlement - more than 15 hectares, in a village - more than 25 hectares. The same applies to agricultural land plots - if they are larger than 2 hectares. For gardening the boundary size is 12 hectares, for individual dacha construction - 10 hectares, for a garage - 1 hectare.
If the seller is not a resident of Ukraine, he will have to pay personal income tax at the rate of 18% and military levy at the rate of 1.5%. The same tax payment conditions remain for non-residents who received a land plot as a gift. Only if the immovable property has been owned by a non-resident for more than 3 years, it is exempt from the above taxes.
When selling a land plot whose intended purpose is gardening or agriculture, re-registration may be more expensive. In this case, a 5% personal income tax and a 1.5% military levy on the value of the land are compulsory. In this case, notary services are also more expensive.
Why it is profitable to sell a plot of land through a real estate agency
You can sell a plot of land both independently and with the support of professionals. With an experienced realtor it will be possible to sell the land at a favorable price and in a short time.
The main reasons to contact a realtor when selling a land plot:
determination of market value - specialists know the market well, so they can more accurately establish the value of the land plot;
quick sale - the real estate agency has its own database of buyers, so you can find interested clients much faster;
effective advertising - realtors know how to properly and with the desired result to advertise the property, how to favorably show the advantages of the site to make it sell faster;
time saving - the realtor takes care of the search for a buyer, communication with potential clients, site inspections;
safe transaction - the realtor, who works together with a lawyer, serves as a guarantee that the transaction will be legal and without any risks for the seller.
Turning to the real estate agency "Mayak", you can be sure that the team of specialists will do everything possible to sell the land plot profitably and quickly. The agency employs not only realtors, but also lawyers and a notary. This allows us to organize a comprehensive approach to the task at hand and protect the seller from possible risks or other unpleasant moments. A team of lawyers will help to prepare a package of documents for a quick sale of land, including a sale and purchase agreement.
With the real estate agency "Mayak" you will be able to sell the land plot profitably and in the shortest possible time, without making any special efforts, as the realtor, lawyer and notary take care of all the work.
