Chatham County Land Sales Expert Eric Andrews (https://www.ericandrewsrealtor.com/) discusses the top 4 reasons people sell land in North Carolina. Those reasons are: – Debt – Divorce – Disaster – Death
Interviewer: What are four D’s of real estate?
Eric: Four D’s of real estate?
Well, these are, this is, it’s a really crass little thing that we have in real estate. These are usually people’s motivation to sell real estate, especially land. I mean, houses, residential is a little bit different, but in the land game, we really focus on these four D’s.
And so first is debt. That is one of the big ones. I owe money over here. So I can sell this land over here and pay off that debt. So that’s a big one.
The other big one, that’s about 20% of my sales is divorce. I mean, husband and wife, you are liquidating some assets because North Carolina is tenancy by the entireties: one to buy, two to sell. So if you bought a piece of land while you were married, she’s got an equal right to that. And then when you get the divorce, you either are still owning it together, or you need to liquidate that asset and walk away with the funds 50/ 50. So divorce is a big reason.
This is unfortunate, but disaster. Someone, someone gets sick. They have a lot of hospital bills. We’ve we’ve had, we’ve had UNC hospitals say, you have to sell your land because you acquired this amount in medical bills. And because you owe us this, you have this asset and it’s a for sale.
We’ve had people, they’re beach house in Georgia got leveled by a hurricane. They want to rebuild. They have this 20 acres in Silk Hope. They can sell that and then they can rebuild. So some kind of disaster.
We’ve had, you know, a plumber who got in a car accident. He’s no longer able to provide for his family. So they need money. So they sell the land to live off of. So disaster is one of the horrible ways.
And then one of the most common ones, reasons why people sell is death. And that’s a horrible thing to say, but we have so many situations in Chatham County where grandma had 50 acres in Bear Creek. All the kids now have their own lives. They live in California and New York, Texas, and they are not coming back to Chatham County. I have a lot of strong relationships with estate attorneys and attorneys in Chatham County in the area grandma passes away.
And the kids and the grandkids, we don’t know where Chatham County is. We’re not moving to Chatham County. It was a nice place to visit on Thanksgiving, but you know, they, they have, they have no idea.
And so, you know, I mean, just, just a couple hours ago, I met with a family, four siblings, three of them are married. So I have seven people that need to sign the deed. Mom passed away a couple months ago. They need to sell their property. And so death is a huge part of why we sell property.
So those are the four D’s: debt, divorce, disaster, or death. They don’t seem real good, but that is one of the reasons why people sell land and large tracks of land in Chatham.