8 SMART STRETEGIES TO INVEST IN LAND Investments involve huge risks, be it mutual funds, share market or property. And buying a land or investing in real estate can be a headache. You get millions of questions before investing, should I or should I not? Will it be helpful? Can I invest in real estate and get profit? What are the strategies which can lead to better investment? And many more. Hence, here are 8 strategies that can help although you need be really careful before investing. But, these strategies can help you achieve your goal and clarify your questions and worries. 1. Buy and hold: it is the most commonly used method. You buy some property hold it for years and sell it when its value increases. Or people also buy property and rent it to get periodical profit and the person who take it on rent pays the mortgage. And since the buyer is purchasing the land and holding it either for selling after years or renting it, it is considered as buy and hold. 2. Renovation: renovation is one of the simplest way to get profit through your investment. Mostly people buy a property renovate it, just little changes either in layout, or in carpet and wallpaper. This is done in order to attract buyers and sell it on nice profit or rent it and move ahead on next property. 3. Dual occupancy: dual occupancy is creating dual ways of income from single piece of land. For example if you purchased a land but it is just for investment purpose and you want to rent it, you can divide the land in two parts and give one piece to one person on rent and 2nd piece to some other person. So, in this way you get rent from different 2 parties for the land you purchased. 4. Subdivision: Subdivision is an expensive process to go through but, this is where you take a property or a block of land and you draw a line down the middle and you turn it into two separate titles. This means that one block can now be sold off or can now be developed on and other block stands on its own as well. You’re effectively taking one title and you’re turning it into two titles with smaller blocks of land. 5. Development: as the word itself says, after investment developing the property and using it by owner or rent it is buyer’s decision but it is better than just renovating or subdividing. It is most common method of investment among largescale investors and developers. 6. Positive cash flow property: it is a method which generates more rental income but you need to pay for the services still leaving the income left over. 7. Negative gearing: the idea here is to invest in some property and get loss for several years or limited period of time. But later the value of property increases and the buyer gets a really good amount of profit in hand. 8. House and land packages: when you buy a block of land but you’ve got approval already done to build a house on and a build contract in place to build that house. You see the signs up everywhere. Basically what you’re doing is you’re buying a block of land and that is going to be built on and deliver a house to you but the house isn’t there yet so you’re buying the house and land , but you have to wait for the house to be built. These were 8 simple and easily doable strategies. Which may help and solve all the doubts. So what are you waiting for? Donna lands for sale so, hurry up and use the above strategies to help you in investment. |