Land is one property that keeps appreciating all the time. With investment in land, you are able to avoid the fluctuations in stocks and count on something quite dependable and stable. As the owner of the land you can be able to derive many benefits from your property. You can rent the undeveloped land, build a property on it or just use it for recreational purposes.
Land in the rural area presents special opportunities for the investor. The property can be held for speculative reasons. You can buy the land and expect it to appreciate in future due to development in the area. In many cases secondary economic activities have enhanced the value of land and made them become investments that give the owner so much in profits. You can also buy the land and then convert them to recreational facilities. Rural land especially holds so much potential for converting into hunting grounds, equestrians, fishing cottages and camping facilities. Each of these is an income earning potential.
Buying raw land can help in the reduction of taxes for the owner. By falling to develop certain portions of the land, he can receive up to 30% reduction in property taxes. The idea is that by not developing the land, he is contributing to the governments land conservation program and therefore deserves to be compensated.
Buying rural land is very simple. It is not as complicated as city properties. Nonetheless, there are some precautions that you will have to note when buying this type of property. First, be sure about the zoning of the place. Has it been demarcated for agricultural or residential purposes? If residential what type of buildings are allowed there? If for agricultural purposes, what kinds of crops are allowed and is cattle included?
You will also have to consider the legalities. If you need to pass through another person’s property to reach yours, you will have to look into the easements associated with the land. Again, you will also have to take note of any lien on the land. You will not want to be surprised with any court actions after your purchase of the land.
Land for use as cattle rearing grounds should be of special quality. They should be flat, well drained and have lots of pasture. The soil should also not be so loamy. You can have an agricultural expert checkout the fertility and the acidity. The land should be able to support the type of crop you want to plant.
Land for equestrian purposes should be gently sloping with lots of wood and flatland.
If you are buying the land for ranch purposes, you will want to ensure that you have access to many conveniences. You need water, power and access roads. You should be able to get a land that will not be too soggy during the rains. The horses can get stuck in there. A again, log houses need a well drained area otherwise the wood will rot.
If you are buying the land for recreational purposes you need to do special analysis of the place. For example hunting grounds require that you have enough wildlife in the area. You would want to check this out with the local wildlife department. If for fishing, you will have to locate streams, lakes and other water bodies in the locality. Land bought for hiking must have trails that hikers will be able to follow.
Flooding is something you want to prevent on your land. Check out with the local authorities about the weather. Know the likelihood of flood and what you may need to do. The issue of flood is very important if you would be doing crop farming on the land. Vineyards for example can be swept away by flood.
If you are not well versed in real estate maters you may want to contract out the searching and buying of land to a real estate agent. He will be able to get you a suitable place, make arrangement for the transfer and even ensure that you get a good price. A real estate agent will also help you with the legal work, ensuing that you get a land that is free of pending or likely court actions.
By JamesDeMers from Pixabay