Selling Mineral Rights in Texas? 5 Things to Know First
Selling mineral rights in Texas can seem simple. It’s just like selling a house, or a car, or any asset, right? But in reality, it's actually very different. Think of it this way – you’ll probably buy and sell a couple of cars in your life, most people will, and most people will buy or sell a house in their life, probably multiple times. But the same cannot be said about Mineral Rights in Texas.
Selling mineral rights is much rarer than selling other assets, which means there aren’t as many known factors, or ‘cookie-cutter’ documents. After all, every mineral rights sale is different.
This can be confusing for many, but regardless of if you decide to sell to Clear Fork Royalty or not, we want you to understand the process and feel confident in your decision.
Let’s start with the basics:
What Are Mineral Rights?
Mineral rights mean you have the legal right to take the minerals from beneath the ground at a certain location. These minerals could be oil, natural gas, coal, iron, stone, gravel, metal ore, copper, etc.
One of the largest producers of natural gas and oil in the US is Texas – which means selling your mineral rights in Texas can be a more high-pressure environment. Clear Fork works hard to make sure our clients never feel pressured though, because ultimately, we’re only happy if you are.
Do You Know Your Ownership?
Sometimes there is confusion about who owns what, or if you own the land rights, but not the mineral rights.
Owning the land rights means you own the physical land, but not the minerals beneath – meaning you can live there while others profit off the minerals. This is common after mineral rights have been sold, and Clear Fork Royalty is knowledgeable in making sure your land rights are protected after a sale.
What Minerals Do You Own?
Deciding to sell your mineral rights in Texas can look very different depending on the quality and quantity of your mineral rights. For example, do you own the rights to metal ore or oil? Gravel or gold?
Knowing what minerals, you currently have ownership of can help you understand pricing, demand, and potential profits. Make sure you have all the details and feel comfortable with the transaction before you move forward.
What Mineral Rights Do You Want to Sell?
No, you do not have to sell all your mineral rights, and no, there is no ‘one right answer’ for this question – only you know what you want to sell, because every case and individual is different. Some of our clients want to sell all their mineral rights and be paid a lump sum, some want to only sell partial mineral rights, and some decide to not sell at all. All answers are right in certain situations.
Make sure you know what you want to sell and don’t let those other companies push you around and convince you to sell more than you want to. Remember, if you feel pressured at all, you shouldn’t be working with that company at all.
What Are Your Mineral Rights Worth?
The market fluctuates often in Texas, meaning your price can fluctuate too. Think of gas prices for your car – though this is an oversimplification, it’s a good analogy of how quickly pricing can change when looking to sell your mineral rights in Texas.
Clear Fork Royalty recommends getting multiple offers from companies and asking them how long their offers are good for, to ensure you get the best price. Aren’t happy with your offers? It’s a gamble, but you could wait and see if the market changes in your favor.
Contact Clear Fork Royalty for More Information or Your Free, No Obligation Offer!
To receive an offer from the best oil and gas mineral buyers in Texas, fill out the form and click here for a free, no-obligation review of your property. We aren’t happy with your offer unless you are. Contact us today to learn more!