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Top 5 Advices for Land Investors! Where to Make and When to Get.

Updated on August 25, 2016

Despite the 2007 crisis, when, as everyone knows, the real estate market took a big bullet, things are now slowly, but firmly, getting better. This field of business is now growing steady, as this is not an artificial growth anymore. But what should land investors keep in mind when buying a propriety?

1. Know your Zoning on the Property

Zoning means determining how lots can be used or developed. There are hundreds of zoning types, but they can be generally included in five big categories: residential, commercial, industrial, agricultural and open space. Each one of these categories has its ups and downs. The most profitable are the commercial proprieties, although the rest should not be ignored. By buying a commercial land, your investment is at this moment guaranteed to be recovered. Commercial areas are designated for businesses, whether they provide consumer goods or services. In these areas, you can find shops, stores, and offices. When buying a property, an investor should make sure that its zoning permits it to fulfill its meant purpose.

2. Examine Condition and Facilities of the Property (water, electricity, etc)

Another important aspect when deciding to make a real estate investment is the condition of the property. It is highly preferred to buy a property with all the important facilities included, as otherwise, installing these facilities could cost a great amount of money. However, if the property doesn't have water or electricity, but it comes at a very good price, it's highly important for the investor to look deeper into the problem and estimate the costs of this task, add it to the property value and see if the result satisfies him.

3. Check if Property Located in a Flood Zone

In the past years, floods have become more and more of a problem. As the average precipitation in the world has increased almost five percents since 1960, carefully checking the flooding risks is a very important step when choosing where to invest. A land in a flooding area is pricey to maintain and develop, the eventual damages done by water can be pretty serious and it is highly possible not to be able to value it at the buying price.

4. Detect Environmental Contamination with the Property

When buying a residential or a commercial land, make sure it is not near an industrial area. Pollution is known to be a factor that can scare away potential clients, whether it is meant to be sold or rented. Commercial, as well as residential areas near industrial ones, are cheaper, and there are the first to devalue if the market knows a downgrade. Also, make sure not to buy lots near landfills, as they are almost impossible to be sold or rented.

5. Check if Property is Not Landlocked Verdict

Finally, but not least important, when buying a property, carefully check the access rights to it. Landlocked means there is no way of access to you property but to others people properties. However, if you already bought it, you can apply to the High Court for an order, but this takes time, while your property remains unused.

Real estate is a market that attracts more and more investors, as it is continuously developing. By investing smart, and keeping in mind some simple rules, this market can really be a good place to put your money in.


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