In real estate appraisal, the Principle of Balance asserts that there is an optimal mix of inputs that, when combined with land, will result in the highest land value. Key inputs include labor, capital, and entrepreneurship.
Clear cutting involves felling all the timber within a designated area, in contrast to selectively cutting larger trees or specific species. This practice is often employed to prepare land for redevelopment or reforestation.
Dedication refers to the act of setting aside and transferring ownership of private land by its owner to a public agency for public use, which must be formally accepted by the governmental unit.
A developer is an individual or company that improves raw land into improved property by utilizing labor, capital, and entrepreneurial efforts.
In real estate, 'entitlement' refers to the legal rights granted to a developer for the approval of certain land uses, as well as the term associated with the VA loan guarantee available to eligible veterans.
Excess land refers to the portion of a property that sits beyond the amount needed to support its current highest and best use, and which has the potential for separate development.
A Finished Lot refers to a parcel of land that has been prepared for immediate construction with essential infrastructure, legal clearances, and utilities in place.
Improvements refer to alterations made to raw land, such as the addition of buildings, streets, and sewage systems, which tend to increase the value of the property.
Minimum lot size or minimum lot area refers to the smallest parcel of land allowed for development as per zoning regulations. This concept ensures proper land use and community planning.
A Mitigation Land Bank is a program designed to preserve environmentally sensitive natural land areas, including wetlands. The program is overseen mainly by the U.S. Army Corps of Engineers and the U.S. Environmental Protection Agency (EPA). Owners are required to set aside key portions of sensitive land, either on the development site or nearby, and they can sell credits to developers needing to offset the environmental impact of their projects.
The Office of Interstate Land Sales Registration (OILSR) supervises the regulation and oversight of interstate land sales, ensuring compliance with body legal requirements and protecting consumers from fraudulent practices. The OILSR helps maintain transparency and accountability in interstate land transactions.
A concept map for showing how a parcel of land might be divided for residential or commercial development without the detailed surveying or official approvals from planning or zoning departments.
A parcel is a defined piece of property under one ownership. It can be a standalone lot or part of a larger subdivision.
A percolation test, often referred to as a 'perc test,' is a scientific method used to measure the soil's ability to absorb and filter water, essential for designing septic systems.
A plot plan is a diagram that shows the proposed or existing use of a specific parcel of land, including structures, landscaping, utilities, and other components of the land development. It is a crucial part of the planning and permitting process in real estate and construction.
A Preliminary Plat is a detailed planning document used in real estate development to illustrate how a tract of land can potentially be subdivided into lots and outline infrastructural elements before final plat approval.
Public Purpose is the justification that the government must establish in its powers of Eminent Domain to acquire private property, demonstrating that the property will be used for the public good.
Raw land refers to undeveloped land that lacks improvements such as buildings, utilities, streets, drainage, and landscaping. Often, raw land is purchased for development purposes, such as constructing residential subdivisions or commercial properties.
The REALTORS® Land Institute (RLI) is a specialized affiliate of the National Association of REALTORS® focused on facilitating land brokerage transactions across various categories including farms and ranches, undeveloped tracts of land, transitional and development land, and more.
Realty, also known as real estate, encompasses properties consisting of land and buildings on it, along with its natural resources like crops, minerals, or water. Realty is a crucial component of the economy and plays a significant role in investment, development, and personal wealth management.
Reclamation refers to the process of converting land from an unusable or undevelopable state into a usable or developable state. It contrasts with Mitigation Land Bank.
Rezoning is the legal process of changing the designated use of a specific parcel or group of parcels on a zoning map, altering the previous permitted activities to suit new needs or goals. This can involve changing residential areas to commercial, industrial to residential, and more.
A Section (of Land) is a unit of area measurement in the U.S. Public Land Survey System (PLSS) often used in real estate and land development. It is defined as one square mile and is part of a larger 6-mile by 6-mile Township.
Site improvements refer to modifications and enhancements made to a parcel of land to increase its usability, safety, and appearance, facilitating better utility of any structures built on it.
Subdividing involves dividing a tract of land into smaller individual lots, which can then be sold separately or developed. The process of subdividing land typically involves planning, land surveying, zoning considerations, and obtaining the necessary permits.
Subdivision refers to the process of dividing a tract of land into smaller lots, typically for the purpose of homebuilding or development. This process often requires recording a subdivision plat in accordance with state and local regulations.
Topography refers to the arrangement of the natural and artificial physical features of an area. It encompasses the terrain, elevation, and landforms, and significantly influences real estate value, construction feasibility, and property management.
Unimproved property refers to land that remains in its natural state, with no existing developments, construction, or site preparation. It is often also referred to as raw land.
Vacant land refers to parcels of land that are not currently being used for any purpose. While it may contain basic utilities and some off-site improvements, it remains unutilized as opposed to developed land.
