If you’re thinking about selling your acreage in Strathcona County, you might be wondering what your property is worth. While a standard home evaluation can provide a useful starting point, determining the value of an acreage involves several additional considerations.
At the LorenzTeam Realty Group, we know that rural properties aren’t always easy to compare. From wells and septic systems to outbuildings and land use, every acreage has unique characteristics that can influence its market value.
That’s why we’ve spent the past year developing and refining a more comprehensive approach to acreage evaluations.
Why a Standard Home Evaluation Isn’t Enough
When evaluating a home in Sherwood Park or Edmonton, REALTORS® can often find several comparable properties that have sold recently.
Homes within the same neighbourhood typically share similar lot sizes, municipal services, and amenities. By reviewing recent sales, sometimes within the past 30 days, and adjusting for differences in size, condition, and upgrades, it’s often possible to establish a reasonable market value.
Acreages are different.
Two rural properties might have similarly sized homes and comparable amounts of land but very different market values. One might have a newer septic system and a heated workshop, while another relies on aging infrastructure or has restrictions on how the land can be used.
These differences matter to buyers, and they need to be reflected in the evaluation.
What Makes an Acreage Evaluation More Complex?
Beyond the home’s square footage, age, and condition, several rural-specific factors can influence what buyers are willing to pay.
Wells and Water Systems
Does the property have a functioning well, municipal water, or a cistern that requires hauled water? Water quality, reliability, and the systems commonly used in the surrounding community can all affect how a property compares with others.
Septic Systems
The age, type, and condition of a septic system are important considerations. A system requiring replacement can create additional costs for buyers and may affect financing or insurance.
Outbuildings and Additional Structures
A heated workshop, barn, oversized garage, or other outbuilding can add value, but not necessarily its full construction cost. Its condition, functionality, and appeal to potential buyers all need to be considered.
Land Use and Home-Based Businesses
Not all acreage land can be used in the same way. Zoning, permitted uses, access, and development restrictions can influence a property’s value. Acreages with facilities supporting home-based businesses may also require additional consideration, particularly when determining whether those uses are permitted and attractive to future buyers.
Location and Accessibility
Distance from Sherwood Park or Edmonton, access to major roads, nearby amenities, and even proximity to a lake can affect buyer demand. Two similar acreages just 15 minutes apart may compete in different price ranges.
Why We Look Back Up to Two Years for Comparable Sales
One of the biggest differences in our acreage evaluation process is how far back we research comparable properties.
For a typical home in town, recent sales from the past 30 days may provide enough information to establish a market value.
With acreages, there simply aren’t always enough comparable sales within that timeframe.
That’s why the LorenzTeam may review up to 24 months of sales history when evaluating rural properties.
For example, in a recent evaluation near Hastings Lake in Strathcona County, we examined two years of local property sales. During that period, only 14 houses had sold in the community.
We also reviewed sales in neighbouring lake communities, compared property features, and cross-checked our findings against Strathcona County assessments and broader rural market activity.
This additional research helped establish a more complete picture of the property’s market position.
Of course, a property sold two years ago isn’t necessarily worth the same amount today. We account for changing market conditions and differences between properties rather than simply averaging past selling prices.
The goal is to use the most relevant evidence available, even when comparable properties are harder to find.
A More Comprehensive Approach to Acreage Evaluations
Over the past year, the LorenzTeam has been developing an acreage evaluation process that goes beyond a single estimated market value.
We consider the property’s current condition, its unique rural features, comparable sales, and how potential improvements or future market conditions could influence its value.
Our approach also helps sellers explore three important questions:
- What is the acreage worth in its current condition?
- How might its value change after completing recommended improvements?
- What could its value look like in a future selling season, such as the spring market?
By considering these scenarios, we can help acreage owners make more informed decisions about repairs, timing, and pricing before putting their property on the market.
We’ll explore this three-scenario evaluation process in more detail in our next blog.
Thinking About Selling Your Acreage in Strathcona County?
Whether you own a small rural property, a hobby farm, or a larger acreage with multiple outbuildings, understanding its market value requires careful research and local knowledge.
At the LorenzTeam Realty Group, we take the time to look beyond the house itself and consider the features that make your property unique.
Thinking about selling your acreage? Contact the LorenzTeam to discuss a comprehensive property evaluation and better understand your options.
