Texas Mineral Group
Valuable resources
for Texas Mineral Owners
Texas Mineral Group
Valuable resources
for Texas Mineral Owners
Welcome to Texas Mineral Group! We provide mineral owners in Texas with information about mineral rights. Whether you want to sell mineral rights or learn more about mineral rights value in Texas, we can help. We want to provide Texas mineral owners with the access to information and resources. The information we provide is a valuable tool to help you learn more about your mineral rights and make the best decision possible when selling mineral rights.
Sell Mineral Rights in Texas
If you want to sell mineral rights in Texas you’re in the right place. Selling mineral rights in Texas can be a complicated task. Perhaps you received an unsolicited offer to sell mineral rights. Perhaps you want to find mineral buyers. Maybe you just want to learn more about mineral rights value before you sell. Whatever information you are looking for we can help you out. If you don’t find the information you need, simply fill out the free consultation form at the bottom of each page. We can help answer your questions and point you in the right direction.
How to sell mineral rights in Texas
There are a couple different ways to sell mineral rights in Texas. You can do it yourself or you can work with a qualified broker.
The most common approach people take is called the shotgun approach. When you sell mineral rights using the shotgun approach, you reach out to random buyers online and try to sell on your own. You ask them to evaluate your mineral rights and make you an offer. You gather up a few offers, take the highest offer, and assume you got a good deal. What many mineral owners don’t realize is that they left thousands of dollars on the table taking this approach.
When selling mineral rights in Texas, the only way to get maximum value is competition. There are literally thousands of mineral rights buyers in Texas. The only way to ensure the best price is to get your property in front of all these mineral rights buyers in Texas. You can then get bids from all of them which drives up the price. When you take the shotgun approach to selling mineral rights you can’t possibly get enough bids to get a fair price. Every mineral rights buyer in Texas pays different prices. Taking the shotgun approach is quite literally shooting yourself in the foot.
The best way to sell mineral rights in Texas is to use a qualified broker. A good broker will do two things:
- They will get your property in front of thousands of mineral rights buyers.
- They will guide you through the process to ensure you don’t get taken advantage of.
When you try and sell mineral rights in Texas on your own you risk getting a lower price. You also risk finding a “buyer” who has no money but puts you under contract to flip the contract. Using a high quality broker with extensive experience can help you avoid a bad deal from a shady buyer.
There are a number of different mineral rights brokers out there. However, we highly recommend US Mineral Exchange. A lot of the brokers out there are just individual people who set up a website, work with a small pool of buyers, and won’t get you the best price. There are other brokers out there who actively buy mineral rights. We recommend US Mineral Exchange because they have been around the longest, have the largest pool of buyers for individual mineral owners, and have a reputation for getting mineral owners the best price.
Mineral Rights Value in Texas
Another common question mineral owners have is about mineral rights value. How much are mineral rights worth? This is the most common question we get at Texas Mineral Group. Figuring out the value of mineral rights in Texas is a challenge. While we can’t give you an exact value, we can help you get a better understanding of mineral rights value in Texas. Before you sell mineral rights, it’s good to have a basic understanding of mineral rights value.
Factors Affecting Mineral Rights Value in Texas
One of the most important things to understand about mineral rights value in Texas is that there is no “Zillow” for mineral rights. Many mineral owners are searching “recent mineral rights sales” or “mineral rights value comps” to determine what the value is. Unfortunately when it comes to mineral rights this does not exist. The reason is that mineral rights sales values are not public record! There is no way to look and see what mineral rights sold for. Even if there was a way, it wouldn’t matter because mineral rights sales won’t tell you what your property is worth.
Why do mineral rights sales comps not matter? The reason is that every mineral rights property is unique. Even mineral rights right next to yours could be worth a vastly different price. The reason is that there are many factors that affect mineral rights value in Texas. For example, if there are no wells on your property but 6 possible locations to drill and they are actively drilling, your property will be worth substantially more than the property next door with 6 wells already producing for 10+ years.
Oil is a finite resource. There is only so much under a given property. If a few wells have already been drilled the amount of oil left to collect goes down. A mineral rights buyer in Texas is going to evaluate how much oil is left to recover, the price of oil, your royalty rate, and many other factors. Each individual factors plays a key role in mineral rights value in Texas.
Below we will provide you with a way to estimate mineral rights value in Texas, but keep in mind that it is impossible to accurately estimate value. The only way to get an accurate value is to sell mineral rights in an open market like US Mineral Exchange with competitive bidding.
How to Estimate Mineral Rights Value in Texas
If you want to estimate mineral rights value in Texas it depends on the status of your property. Your property is either producing, non-producing, or leased but non-producing. The mineral rights value in Texas will adjust depending on the status. Keep in mind that below is just an estimate of value. If you are curious to get a more accurate estimate of mineral rights value, fill out the contact form at the bottom of this page.
Producing Mineral Rights
If you have producing mineral rights, this means you get an oil and gas royalty check every month. As oil is being produced the operator pays you for your share of the sales price. There are two components to the value of producing mineral rights in Texas. Mineral rights buyers in Texas will value the mineral rights based upon the cash flow value (amount you get each month) and the future upside value. The future upside value is difficult to determine and each buyer has a unique formula.
Below, you can enter your average monthly income to see the cash flow value of mineral rights. This does not take into account the future value from additional wells being drilled.
Non-Producing but Leased Mineral Rights
If you have mineral rights that have an active lease agreement, but there has been no drilling and you don’t get royalty income, you have non-producing but leased mineral rights. Generally speaking, the value of mineral rights that are currently leased is equal to 2x to 3x the amount you got for a lease bonus.
For example, say you have 10 net mineral acres that were leased for $1,000/net mineral acres or $10,000. If you wanted to sell the mineral rights the value would be in the range of $20,000 to $30,000 if you were to sell. However, the mineral rights value in Texas for leased properties will depend on the lease royalty rate. If you leased at 12.5% to take a larger lease bonus, you will sell for a lot less than someone who took a smaller lease bonus but got a 25% royalty. The 2x to 3x lease bonus rate is just a very broad mineral rights value rule of thumb.
Non-producing Mineral Rights Value
If you have mineral rights that are not generating royalty income and you do not have an active lease, the value today is going to be $0 to extremely low. Demand for mineral rights with no active lease and no royalty income is virtually non-existent. There is simply too much risk as you could buy mineral rights and they produce no money for decades.
Recommended Content from Texas Mineral Group
If you are interested in selling mineral rights in Texas or mineral rights value in Texas, continue reading some of our most important blog posts below. We go in depth on certain topics to help you understand mineral rights ownership. Still have questions? Fill out the free consultation form at the bottom of this page. We are happy to help answer any questions you may have.
Sell Mineral Rights
If you want to sell mineral rights in Texas we can help. Mineral owners in Texas have trusted Texas Mineral Group for years to help them. Most mineral owners begin the process of selling in a state of confusion. We believe that mineral owners deserve to have the information they need to make an informed decision. By giving you the information you need you can sell mineral rights in Texas for maximum value! Before you sell mineral rights in Texas carefully read check out our most popular resources below. If you still have questions about selling mineral rights in Texas just let us know!
Before you sell mineral rights in Texas check out our most popular blog content below:
Selling mineral rights in Texas for maximum value in 2023
Selling mineral rights in Texas for maximum value in 2023 Interested in selling mineral rights in Texas for maximum value? Figuring out how to sell mineral rights in Texas can be difficult. A lot of mineral owners quickly get frustrated and end up selling mineral rights in Texas below market value. We are going to show you how you can [...]
How to Sell Mineral Rights in Texas in 2023
How to Sell Mineral Rights in Texas 3 Common Mistakes So you want to know how to sell mineral rights in Texas? You probably want a good price too right? You're in the right place! If you are thinking about selling mineral and royalty rights in Texas you're in the right place! This free guide will tell you everything you [...]
Common Mistakes when Selling Mineral Rights
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Fair offer to sell mineral rights in Texas
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Where to sell royalties in Texas
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Mineral Rights Value
If you want to know more about mineral rights value in Texas let us help you. If it feels like you can’t find any reliable information online you are correct! Buyers do not want to tell you a the true value of mineral rights in Texas. Buyers are motivated to pay you the lowest price possible. They don’t want to tell you that you could sell mineral rights in Texas for the highest value because they want to pay you the least! They also don’t want to tell you that selling oil and gas royalties in Texas generally means getting at least 4 years times the average amount of your royalty check.
Check out our most popular blog content about mineral rights value in Texas below to learn more:
Fair market value for mineral rights
Fair market value for mineral rights Figuring out the fair market value for mineral rights seems like an impossible task. You can search for hours online and never get a straight answer. We are going to clear the air and tell you everything about the fair market value for mineral rights. Before you sell mineral rights below market value carefully [...]
How much are mineral rights worth
How much are mineral rights worth We speak to a lot of mineral owners. One of the most common questions we receive is, "how much are mineral rights worth?" A lot of mineral owners want to sell mineral rights, but don't want to sell below market value. Figuring out how much are mineral rights worth isn't easy. Most websites are [...]
Mineral rights value rule of thumb
Mineral rights value rule of thumb Mineral Rights Market Update Before we talk about estimating mineral rights value, it's important to understand where the market is. With the introduction of Coronavirus, the oil market took a plunge. The demand for oil quickly dried up as people were no longer traveling for work or pleasure. The decline was so aggressive, that we even [...]
Mineral Rights Value in Texas
Fair market value for mineral rights The state of Texas is home to a large number of mineral owners and most have questions about their value. In fact, it is the most common question we are asked. It is also one of the more complex questions to answer, but this guide will be a good resource as you look to [...]
Factors Affecting Mineral Rights Value in Texas
Factors Affecting Mineral Rights Value in Texas We are often asked about factors affecting mineral rights value in Texas. Mineral owners want to know about the value of mineral rights, but they need to understand what factors affect the value. The mineral rights value in Texas is just like everywhere else in the country, there are numerous things that will [...]
Texas Mineral Group – A Trusted Source for Mineral Owners
At Texas Mineral Group our focus is on helping mineral rights owners. No matter where you are in the process of selling mineral rights or trying to determine mineral rights value, we are a reputable source for accurate information. We spend significant time researching topics and finding helpful information for mineral owners.
If there is information you are looking for that you can’t find on the website, please reach out to us directly using the free consultation form below. We love hearing from readers and we would be happy to assist with your questions or point you in the right direction.