When you own raw land, you have the opportunity for many benefits. If you don’t want or need to build on it, you can rent it out. Or, depending on the location, use it for personal recreation even. With that being said, where you buy the land and what you want to do with it are two things that need to work together.
Rural land is the easiest to buy. Buying a city parcel is much more complicated. However, there are still precautions you need to take and research to be done. The zoning should be your first concern. If you want to purchase land for residential you need to know what building restrictions are in place.
Rural land has more opportunities for an investor. Buy the land and wait for it to appreciate is a common move. When an investor knows of a development being planned in the area, he will be able to cash in by reselling when that development happens. Or build his own development to compliment and feed off the success of the first development, such as with recreational purpose.
If you are looking for land to raise cattle, you want to make sure you are getting a good quality of land. Land that is flat, drains well with good soil is important. Land being purchased for equestrian use should have gentle slopes, lots of woods as well as flat ground. Land with intents of ranching you will need many conveniences close by such as water, power and road access. You will need to be sure you can gain access even in heavy rains..
If flooding is a concern, getting an agricultural report would be worth your time and money before you sign any documents. Land that floods and holds water is not suitable for horses, cattle and most crops. A visit to the local agricultural office can be worth a lot of knowledge.
Keep in mind there are legalities you need to consider too. Such as if there is a passage through another person’s land to gain access to your property. Find out what easement issues there may be, you don’t need any surprises by local law enforcement after you have made your purchase!
Land is one investment that will always hold its value. It has a history of appreciating all the time. With an investment in land, you won’t have the worries and concerns that you will with stocks and other type of investments. Land is dependable and they aren’t making any more of it!