Rural landowners often misunderstand the complex reality of development timelines and processes, potentially leading to unrealistic expectations about property values and sales, according to a senior land advisor working across the Southeast.
“I think there’s a misconception on all that goes into that,” says Bryant Peace, Senior Advisor at Saunders Real Estate. “It takes the better part of 18 to 24 months to get an agricultural zone property, getting your land use change and getting all your wetland studies done and getting your permits in hand.”
Peace says many landowners see high prices paid for development-ready property and assume their agricultural land can command similar values immediately. However, the process of converting agricultural land to development-ready property involves extensive studies, permitting, and patience.
“A lot of landowners would like that big number, but a lot of them don’t realize that you really have to be patient,” Peace explains. The extended timeline creates additional considerations beyond just the sale price.
According to Peace, the lengthy development process introduces significant risk factors that landowners need to understand. “Time in a contract is risk,” he says, “because you’re tying up your property, you’re giving someone a year and a half or more sometimes to take that property all the way through and do all their due diligence and get their permits in hand.”
This extended commitment period means landowners need to carefully evaluate potential buyers and their development plans before entering into agreements.
Peace identifies education as a crucial part of the land advisory role. “That’s one of the big things that we have to do as advisors is be prepared to coach people along and educate them on what the process really looks like,” he says.
This education extends beyond just understanding timelines, it includes helping landowners evaluate development potential, understand market conditions, and set realistic expectations for both process and outcome.
Saunders Real Estate has developed specialized teams across the Southeast to address these challenges. “We have specialists on our teams across the southeast that specialize in development property,” Peace notes, “and they help help landowners discern: Do you own a property that is a development prospect? If so, how do we position it? What’s a reasonable value and what are the steps to help you sell it?”
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