Investing in the right type of land can be a very sound and profitable investment. Although buying land when property prices appear static in many parts of the country may seem very risky, you can still make a good choice when you are properly informed. Here are some vital tips that can help you to get the land of your dreams.
Specify Your Requirements
Start by establishing a definite purpose for the land. You could buy land that will serve as a more stable long term investment than the volatile stock or property market. As a senior citizen, you may be interested in acquiring a plot of land to build a smaller home for your retirement or you could purchase a piece of landed property to assist your adult children to build their first home.
Determine Your Location
Apply the location, location, location mantra to your land acquisition. No matter what you presently intend to do with the land, you should have one eye on re-selling it. You will achieve a better resale value if the plot of land is closer to amenities, transport links, and the central business district. But if the land is meant for the development of residential accommodation in a rural setting, it must have some uniqueness and a few special qualities that will make it appealing to a potential buyer.
Get a Fair Price Estimate
The price of a piece of land depends on various factors including the size, location, proximity to major transport routes, and planning permission. Land that has planning permission will definitely have a higher value than one without it. Additionally, the current state of the property market will affect the price of the land depending on whether it is a brownfield or greenfield property.
Find a Suitable Piece of Land
Land is generally classified into two: brownfield and greenfield. A brownfield plot usually has a permanent structure or building on it and has some redevelopment potential. On the other hand, a greenfield property is largely undeveloped and is usually in form of a forest or park, and is located on the outskirts of the city or countryside. To find the land of your dreams, you have the option of contacting a land or estate agent. But you may also go directly to local developers and discuss your needs to discover if they have a vacant plot for sale. Other sources of land include: auctions, local councils, utility companies, and individual land owners or investors.
Do a Land Survey
Before you make a final decision to buy a piece of land, particularly a greenfield property, you should engage the services of a qualified land surveyor. A surveyor will help you to discover and highlight all the land boundaries and important landmarks and installations in the vicinity such as power lines and planned roads, as well as flood risk. In addition, you could ask the land surveyor to help you carry out a short feasibility study, assess the impact of any planned development on the environment and help you to ascertain whether your plans will be successfully implemented.
Finally, you should establish a good relationship with your lawyer and your local council’s planning office from the onset. Inform them about your land purchase intentions from the beginning. Most planning officers will offer you great advice and recommendations that could save you a lot of money down the road.