Unimproved land, also known as raw land or vacant land, is land that does not have any active services or public utilities running through it, such as water lines, electricity, or street access from public roadways. It is essentially a blank canvas on which you can do whatever you want, within zoning and building code. Unimproved land is different from improved land, which has at least a few of these services making it easier to buy and develop.

Some possible uses for unimproved land include holding and reselling once property values begin to increase, building a dream house, creating an investment property to rent or sell, or developing a community or private grouping of homes. However, it is important to keep in mind that unimproved land loans are different from mortgages, and the cash for a down payment doesn’t have to come out of your savings. If you already own a home, a home equity line of credit (HELOC) could be used.

When considering purchasing unimproved land, it is important to investigate zoning, property easements, cellphone service, soil condition, flooding potential, and whether the land is suitable for a well and septic system. It is also important to keep in mind that annual property taxes will be owed even if the land isn’t improved.

In summary, unimproved land is undeveloped land that does not have any active services or public utilities running through it. It can be used for various purposes, but it is important to investigate zoning, property easements, and other factors before purchasing.