A Wise Investment For All To Share
Too many people have lost a lot of money trying to make their money grow.
We often heard that to become rich and wealthy, you must invest; grow your money and make your money work for you.
Sad to say, too many people have lost a lot of money trying to make their money grow, primarily because of poor investment decisions.
Most of us usually opt for the traditional financial banking strategy of “saving” the money in the bank in return of some interest. But what they are not aware of is that, putting money in the bank is not saving at all. In reality, they are actually losing the value of their deposited money. – Why? – Factors like inflation, taxes, charges, economic regression, etc are responsible for losing the value of your savings.
So what should we do then? Is there a solution? Or is there a better option? – The answer is YES!... it is called Land Banking!
Land Banking is the practice of purchasing land with the intent to hold on to it until such a time that it is profitable to sell off for more than was initially paid.
But before you do that, here are few reminders:
1. Land Banking is a long-term investment. Its value doesn’t double or triple overnight. It takes years to profit from this investment, but it is a good hedge against inflation.
2. If you are into land banking for future development, you might as well check the zoning restrictions of the area before purchasing the land. You don’t want to acquire land with some restrictions.
3. When you buy land check also for easement or other claimants. You don’t want to end up less or even nothing.
4. If possible buy areas close to the metro and high levels of economic activity, as well as proximity to water and electric utility services.
What do you think of Land Banking? Is it a wise investment? Are you willing to invest into it?
Send me your thoughts…
Nice post, I am currently looking into buying some land for the first time in my life but it is seriously compliated... law and all....
Any life experience that you want to share? Thanks
Thanks for your interest. Yes, i do have some experiences to share with.
If you are not sure yet of how it goes, since you have mentioned the complications of law and all, try buying a small parcel then. Nevertheless these are the things that you need to do on the process of acquiring land:
I hope that those tips will be able to help you and gives you a head start on what to do, though procedures from different countries might vary.
Just go on with your plans of purchasing land. You can never go wrong with that. It is the best place for your money.
Whenever you have the time, also trying checking on my blog about Making Money from Chickens, this will definitely go hand in hand with your plans of acquiring land).
Happy Investing! :)
Chickens and land!! :-) and there I was thinking etherum was a save investment!
Thanks a lot for the tips: pay, pay, pay... I am actually quite slow in dealing with this kind of thing... I hate dealing with governmental bodies :-)
Heheheheh that's how government do - make us PAY! Don't worry though, those payments are one-time only except for the yearly property tax which continue to subsist as long as you possesses the property.
I hope you can find time to support and follow me. Thank you.
Uhmmm let me think about this...... DONE!
Have a great day !!
hahahahah, thank you@marcosespes1
meep
Keep meep for meepself :-)
meep
One critical element of Land Banking has been overlooked, Why are you purchasing and what do you want to do with the land?
Land banking is primarily a technique used by developers who plan to break the land up into house blocks once the area is approved for residential development. Yes it's a lot like looking into a chrystal ball and you have to weigh up the risks and you MUST know your exit strategies otherwise you are almost guaranteed to lose money. In some countries you will pay an annual land tax and this has to be calculated into your 'holding costs'.
Add the figures up carefully: Purchase price, entry costs legals etc, carry costs & taxes for the duration you are going to hold it, then if you are able to sub-divide, the sub-division costs, where I live (Australia) they are $100,000 per block created, then finally selling costs, then weigh this all up vs selling price, are you in profit or broke?!
This is what land banking is really all about, it is a business!