LandThink Pulse: Mineral Rights Conveyance Decisive Factor for Land Buyers
September’s LandThink Pulse revealed 63.8% of respondents would not purchase land without the mineral rights being transferred.
Minerals such as oil, natural gas, metals, and coal can prove to be a very profitable to a landowner if they can be developed. Most of the time, “surface” rights and “subsurface” or mineral rights of land, are not owned by the same person. It’s common for mineral rights to be retained by a previous owner or leased to an oil or gas company with the resources for development. Once mineral rights have been severed from surface rights, it makes the resale of the property tricky. Buyer’s involved in mineral rights purchases should consult an attorney that specializes in mineral rights law.
Last month, the September Pulse asked: Would you purchase land without the mineral rights being transferred? The overwhelming answer to our informal online survey was “NO”, given by 63.8% of those responding. Only 36.2% said “YES”, they would purchase land without the mineral rights being conveyed.
The results of the survey were not surprising. Mineral rights are hot topic, especially in the Western United States. In our fuel-based economy, minerals underneath the surface can be lucrative for landowners.
Here’s how the final results panned out:
63.8% answered NO, they would not purchase land without the mineral rights
36.2% answered YES, they would purchase land without the mineral rights
Congratulations to Scott Shuman, winner of the $50 Amazon gift card after answering the September Pulse question! Scott is an Auction Specialist with Hall and Hall at their Eaton, Colorado, office location.
Thank you to everyone who participated and shared the Pulse with friends and connections in the land industry.
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