Land Investing - Pros and Cons Investing in Land

http://www.REIClub.com - Investing In Land Has Many Pros and Cons. Here Are Some Key Points About Land Investing For Real Estate Investors... Hi, this is Frank Chen with REIClub.com, the only site you need as a real estate investor. Today I've got quick video on investing in land. How to Invest in Land? - Begin with the end in mind - Find a location - Is it for residential or commercial use - Verify Zoning for land you are interested in - restrictions by city? - Check out traffic counts - planned road improvements - don't want to own a Lot where a highway is being built - Verify if there are water sources, septic system - DO NOT MAKE ASSUMPTIONS - Check the surveys for exact acreage - don't overpay - Speak with Local builders - new businesses coming into town? - City planning board - Purchase land in the path of growth Buying and selling land is a real estate specialty so it's important to work with an experienced real estate agent - MLS, office networking, builders - Down-payments usually 20-30% - lower for higher quality land - location Land Investment Advantages - Stability - Fixed Value - considered a stable investment in the long run - Safer than Stocks, but also more conservative - Tangible Investment - Greater long-term returns - when land becomes more scarce, value increases - You can flip it - The cost of raw land is relatively more affordable than developed land - Property taxes, and all around maintenance are less vs. developed - You can build your home, an investment property or use it commercially for profit - Farming, Agriculture and Renting - Use it for Parking Space - Sell to builders - Subdivide the land - sell portions of it Land Investing Disadvantages - no immediate cash flow - Typically longer term investment - Survey's can be expensive - secure development - Zoning Restrictions and permits - Property Taxes every year - Bad location - not in growth path - never sell - Permits and Approvals - based on political climate - changes over time - Costly to drill a well - Costly to create a septic system - Eye Sore's - Landscape maintenance - HOA Fees Investing in land is definitely a long term commitment, but offers great return potential. Depending on the location, you can secure a pretty safe land investment, at a fair price and sell it for large profits. Not every piece of land will be considered a good deal, check your zoning, check with your city, check your surveys, and perform your necessary due diligence. Remember, there is only so much space in the world, and we're only getting more crowded, so its only a matter of time before land becomes scarce, and incredibly valuable. Again, this is Frank Chen with REIClub.com. Please take the time to leave your comments for this video below and please subscribe to our YouTube channel so you'll be automatically notified when we upload more quick video tips for you. Take care and good investing.

Comments

1. So informative for a person as such as myself I love to know my risk and options thank you for also being short and to the point. Perfectly put overview organized for beginners oh anyone for that matter.
2. Where can I find builders for investment properties. I'm planning on buying land and want to build investment homes on them. I'm in the orlando florida area. please help, anyone. Thank you.
3. do you purchase land contract.
4. property with 
   permission to build 6 villa’s and hotel with 13 Rooms, piano bar, swimming pool, rest and café And a big parking place. The plot it is 8 km from Port Tanger and 28 km from city of Tanger marocco. The plot offers a beautiful view of mountain and sea.0031 627657855 thank you
5. The Gandy Blvd area in Saint Petersburg FL 33702 , Is a hot spot right now . They are increasing the roads to help push forward a casino , land byers have been working on clearing out huge plots of land . There are still many plots available .
    
6. Nice, thank you..
7. Good stuff here Frank. Land can be great, but there are a lot of things to pay very close attention to (assumptions can definitely be your worst enemy). The research can be pretty tedious, but it is SO important.
8. Great information, I just took the leap with the help of this info. I went the route of land foreclosure with a national bank who wants these parcels off there books! I purchased 1.65 acres, buildable lot that can be subdivided into two house lots. Thank for all the info and insights...keep them coming.
9. great stuff, as always. Your videos for creative real estate investors are a real prize.
10. Your comment on "to consider roads and to purchase in the path of roads" is a good one.
11. I have always considered buying land too risky but the way you present it here----hmmmm--- I am re-thinking things. It may just be a profitable and creative real estate venture.
12. I appreciate that you cover all sides--- advantages and disadvantages of this method of real estate investing.
13. You have just given me some great new ideas--I had been looking at investing in land all wrong. Thx
14. land investing is something new to me, I must admit, but…….you have opened my eyes to something that i see can be quite lucrative!!!!
15. This is one of your best--new stuff for me and will surely help my family's growing real estate business.
16. Hmmmm you have opened my eyes to something that looks like it could be very profitable
17. This is a real estate investing area I hadn't really considered.
18. Great information here! As a former( Acreage land owner 30 years ago would not buy land these days) I feel Before investing in land Know what and who lives works or is in business around the property you want to buy.Have some trusted people that can check on your land if it is out of town and you can not do so OFTEN yourself.Have video monitoring of your land if possible.BEFORE you invest i land KNOW WHAT IS ON , OVER AND UNDER the property! More illegal toxic dumping in these days!LOCATION!
19. It is good to know what to look for, thank you