Vacant lots offer compelling values in the Hilton Head Area. The reason for this is potential buyers have been able to purchase homes for less cost than to build new. Timing is in favor of buying lots on the Island, especially for the adjacent home owner. Here’s why.
Don’t know how many times we have heard, I should have bought the lot next door. Buying the lot next door gives an owner a little more elbow room. Lots don’t require a lot of maintenance. However, some home owners landscape the front of the lot which really dresses up the curb appeal of their main residence.
We have been through peaks and valleys with land values in the last 30 years. Currently there are lots on Hilton Head Island priced at almost 70% off their 2006 highs. While there is no promise of appreciation, land on an Island that is 97% developed is not rocket science. This article from a fellow agent sums it up the best!
Possible Tax Benefits
While this needs to be confirmed with your accountant, owning the property next door may count towards the $500,000($250,000 single) exclusion on the gain of your primary residence. Of course, the time test rules apply in the residency and sale of the adjacent property.
Residential Tax Ratio
If you own the lot adjacent to your primary home in Beaufort County(Hilton Head Island), you can apply for a contiguous lot adjustment on your tax bill and pay residential taxes on the land next door! Very cool!
Whoever owns the last lot on an Island Wins!
Search Hilton Head lots by area below:
- Sea Pines
- Forest Beach
- Palmetto Dunes
- Folly Field
- Port Royal
- Palmetto Hall
- Spanish Wells
- Indigo Run
- Long Cove
- Off Plantation