This article will show you how to avoid common mineral owner mistakes that can cost you thousands of dollars. Before you sell mineral rights make sure you carefully read this article. We have been working with mineral owners for years. Unfortunately the same mistakes come up over and over. The reason is that many mineral owners don’t recognize the mistakes they are making. Use this free guide to help you avoid common mineral owner mistakes.
The most common mineral owner mistakes
Through no fault of their own, mineral owners fall into the same traps over and over. The reason is that mineral rights can be complicated. Usually a mineral owner doesn’t deal with mineral rights on a daily basis so they don’t have experience. Below are some of the most common mineral owner mistakes:
First Offer – One of the most common mineral owner mistakes we see is accepting the first offer. The worst part is that it’s also the most costly. When you accept the first offer to sell mineral rights you don’t know if it was a fair offer. The only way to know for sure is to get your property in front of lots of buyers. Accepting the firsts offer is a great way to sell below fair market value. To sell for maximum value, hold out and wait for additional offers to see what your property is really worth.
Rushing To Sell – Similar to selling based on your first offer, you should never rush to sell mineral rights. When you rush you will leave cash on the table. The smart mineral owner will understand that it takes time to sell mineral rights. When you rush through the process you don’t give buyers a chance to fully review your property. If you get a couple offers in the door and quickly sell you have probably cost yourself a lot of money.
Doing it on your own – Another very costly mistake is selling on your own. This is one of the very common mineral owner mistakes. Most mineral owners do a quick google search and locate a few buyers. They submit their information and get a bid. The quickly sell and assume they got a good deal. What they didn’t realize is that they spoke with less than 1% of all mineral buyers on the market. There are thousands of mineral rights buyers. Trying to locate all of them and speak to them on your own isn’t difficult, it’s impossible.
We highly recommend you seek professional help. When you work with a professional you will save time and sell for a higher price. These are the two key benefits to working with professionals when you sell mineral rights.
If you want to sell mineral rights we recommend listing your property at US Mineral Exchange. Doing so will get your property in front of a large number of buyers quickly. This allows you to sell mineral rights for maximum value. The nice thing about listing your property at US Mineral Exchange is that they make it simple. They handle everything for you and you can avoid the hassle of selling on your own.
Option Agreements – Did someone approach you with an option agreement? Tread carefully! An option agreement is a commonly used tactic to try and flip a property. Make sure you are working directly with an end buyer. This is another reason we recommend working with a professional. They will directly connect you to end buyers which means more cash for you.
Questions about common mineral owner mistakes?
If you are considering whether to sell mineral rights and want to avoid making a mistake, fill out the form below. We see a lot of mineral owners make the same mistakes and we want to help you avoid those! Let us know what questions you have and we can point you in the right direction.