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Top 10 Places to Buy Land for Sale in California

Published: 11-01-23 Category: Buying

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Thanks to its scarcity, appreciation, and many productive uses, land has drawn the attention (and dollars) of investors looking for resilient commercial real estate investments for centuries.

The Golden State, in particular, tends to reward those who buy its parcels handsomely. With an annual GDP of more than $3.6 trillion, California has an incredibly diverse economy, with significant activity in agriculture, manufacturing, distribution, transportation, and e-commerce—all land-intensive industries.

Here, we'll cover some of the best places to buy land for sale in California. We chose these ten locations based on their local economies, development opportunities, and location desirability.

Let's get started.

#1 – Kern County

Top 10 Places to Buy Land for Sale in California

California is a big oil producer, and most of that happens in Kern County. Kern County is the largest oil-producing county in California and the seventh-largest in the country. Based on our research, average oil lease royalties in Kern County sit at around 12.5%

As such, leasing land mineral rights can be profitable for Kern County landowners. The advantage of buying land to lease mineral rights is that you don't have to worry about land management/upkeep, and you can simultaneously enjoy a regular source of passive income.

#2 – Hemet

Located in Riverside County, the cheapest plots of land for sale in Hemet can reach as low as $3,000 to $4,000 per acre, though most plots will come in at over $10,000 an acre.

Although high compared to the rest of the nation, the cost of living in Hemet is relatively affordable for California, making it a solid candidate to buy residential land if you are homesteading.

#3 – Fresno

If farmland investing is your game, Fresno is a prime spot to buy land. Fresno County has the highest agriculture production in the state and primarily grows grapes, almonds, poultry, and tomatoes.

Fresno is also located in the San Joaquin Valley, which has some of the highest cropland cash rents in the state.

#4 – Big Bear

Located in San Bernardino County, Big Bear is most famous for nearby Big Bear Lake, which sees nearly one million tourists annually.

Big Bear's large tourist industry lends itself nicely to those looking to purchase rental properties for passive income. According to recent data, the average vacation rental in Big Bear can pull in nearly $300 a day.

The lowest prices for empty land for sale in Big Bear come in at around

$20,000 per acre. Aside from tourism, Big Bear boasts impressive manufacturing and retail sectors.

#5 – San Jose

San Jose in Santa Clara County is the largest city in the Bay Area, known for its powerful tech and advanced manufacturing economy.

San Jose boasts about 44 million square feet of industrial space as of the end of 2022, and asking rates for industrial real estate have increased consistently over the last decade.

#6 – Eureka

Located in Humboldt County, Eureka is a regional center in Northern California that's also known for its redwood forests. Land for sale in Eureka can go for as low as $7,000 to $10,000 an acre, especially if you buy farther away from the downtown center.

Humboldt County itself has the largest timber market in the state, worth $99 million, so buying and leasing commercial land for timber production is a viable option.

#7 – San Bernardino

The center of the Inland Empire and the seat of San Bernardino County, San Bernardino City is the largest county in the nation and sits at a crucial crossroads in the American Southwest.

Land for sale in San Bernardino has seen high demand recently, thanks to the region's explosive growth in industrial activity. San Bernardino also depends on its massive logistics and distribution industry that generates more than $36 billion annually.

#8 – Monterey

Monterey is another major agricultural producer in California and specializes in vegetable and fruit production. In fact, Monterey farms produce nearly half of the lettuce and a third of the broccoli Americans consume each year.

Average cash rents for land in Monterey is over $2,000 per acre—among the highest in California's Central Coast agricultural region.

#9 – Ojai

Ojai is in Ventura County, northwest of Los Angeles and south of Fresno. Ojai is known for its tourism but also has sizable healthcare, retail, and manufacturing industries. The city has also become something of an attraction for wellness tourism.

Ojai has a competitive housing market, a high percentage of renters, and high average rents, so buying land for sale in Ojai and developing rental housing is a potentially profitable strategy.

#10 – San Diego

San Diego is the second-largest city in California after Los Angeles and is a central regional hub for manufacturing, technology, and trade.

Prices for land for sale in San Diego vary considerably, but rural land that's further away from the city can reach very affordable prices as low as $5,000 per acre, with an average of $8,000 to $12,000.

How Much Does an Acre of Land Cost in California?

According to the USDA's 2023 Land Value Summary, the average cost of one acre of farmland in California is $12,400.

Overall, land prices in California are more expensive than in other states in the US, except for the Northeast.

Where's the Best Place to Buy Land in California?

It depends on your investment goals, financing situation, and whether you want to develop or lease the land for passive income.

Agricultural land is highly productive in California, so if you want to lease land, we'd recommend looking at parcels in the Central Coast or San Joaquin Valley.

Whether you're looking for land in Joshua Tree or land in Sacramento, make sure you have a land broker on your investment team. Land brokers are commercial real estate brokers specializing in buying, selling, and leasing land.

A land broker will understand best practices for investing in land. More specifically, they can help:

Find environmental reports;
Check construction permits;
Compare land financial metrics;
Secure commercial tenants;
Research land loans; and
Negotiate sales contracts.

A good land broker can spell the difference between a profitable plot of land and a piece of commercial property that weighs down your portfolio, so take your time, do your research, and happy investing.

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