You’ve made the decision to sell mineral rights, but how exactly do you do that? We’ll walk you through all your options to sell including our recommendation at the bottom. Carefully consider your options when selling your mineral rights so you can maximize the value of your minerals.
Important Tips to Sell Mineral Rights
When you decide you want to sell mineral rights, there are a number of factors to consider. The single most important factor when selling your mineral rights is reaching the largest market possible. Why is this important? Because the more buyers who know your minerals are for sale, the more value you will receive for your minerals.
Imagine putting your house on the market but only 5 people will ever see it, will that bring top dollar? Now imagine you put your house on the market and every buyer in the city sees your property! You obviously want as many buyers to have an opportunity to make an offer so get your property in front of them!
We speak with mineral owners all the time who waste a few hours talking with individual mineral rights buyers. These buyers make below market offers and waste their time! It’s much easier to get your property in front of a large audience by listing it with a company like US Mineral Exchange. They will put your property in front of thousands of buyers by creating a single listing.
Where to Sell Mineral Rights
As a mineral owner, there are a lot of different ways to sell mineral rights. Below are some of your options including our recommendation. If you want to sell mineral rights, carefully read this list and consider each option:
Options to Sell Mineral Rights:
Free Listing Websites: There are a number of free to list websites available. While these websites will get your property out there, they don’t do anything to actively market your property as mentioned above. Putting your property on these websites could yield results, but you likely aren’t reaching a large market and you never know what party you’re dealing with.
Mineral Brokers: A mineral broker works with mineral owners to market their property. Mineral brokers sometimes have an advantage locally because they know people in the area. This can lead to a quick sale because they can reach out to their existing contacts to find a buyer. There are disadvantages to working with mineral brokers as well. Many will require and exclusive contract to market your property, they don’t always have a fixed commission, and their market reach tends to be very local or region specific. When working with a mineral broker, ensure that you have a non-exclusive agreement, a fixed commission, and they have proven their ability to work with buyers from all over the country.
Letters in the Mail: If you’ve owned mineral rights for any length of time, you have probably received numerous offers to lease or buy your mineral rights in the mail. These letters will sometimes include a draft check and a contract making it easy to sign the agreement and receive your funds asap. While this is the quickest and easiest way to lease your minerals, it’s almost guaranteed that you’re getting a below market offer. These companies profit at your expense by mass mailing mineral owners and waiting for one owner to accept a below market offer.
Landman Offers: Sometimes a landman will visit you directly to make an offer on your property. These landmen are hired by either oil and gas companies or investment firms who are targeting an area they want to own or lease. They also make the process simple by providing everything you need right to your front door. Remember though, that you want to find a large market for your property so that as many buyers as possible can view your property. A doorstep offer represents a single buyer and does not represent what everyone in the market is willing to pay.
Best way to Sell Mineral Rights
We highly recommend the services of US Mineral Exchange who work exclusively with mineral owners. There are a lot of reasons to recommend them, but here are the most important:
- Large Market: If you’re looking to reach the largest market, US Mineral Exchange is your best option. They work with oil and gas professionals from all over the country to find a buyer for your property. Their website is simple to use and has a very active following among oil and gas professionals.
- Active Marketing: Unlike many other options, US Mineral Exchange actively markets your property. Other free listing websites will let your property sit on their website with no effort on their part but US Mineral Exchange goes the extra mile. Since they work closely with industry professionals, they know what buyers could have an interest in your property and work hard to get your property in front of the right people.
You won’t find a better way to sell your mineral rights than listing with US Mineral Exchange.