There are few things trickier in real estate than becoming a real estate investor by buying land. When you buy land you can be poised to make a lot of cash, but if you aren’t careful, you can also stand to lose a lot. So how can you know if you have land-buying know-how? Ask yourself these questions:
- Are you 100% committed to buying an empty lot? Empty lots can be harder to sell in the future, so if you aren’t committed, you should think twice before jumping in.
- Are you prepared to pay more up front? Empty lots can sometimes cost more up front because lenders are afraid they won’t make their money back.
- Have you talked to zoning officials? When you buy land or buy lots that are undeveloped there are different rules and regulations. Make sure you understand them!
- What about mineral rights? Depending on the type of property this may or may not be an issue, but if a previous owner has mineral rights to your land you could be in trouble in the future.
Whether you choose to buy land or buy lot space somewhere you can be successful—just as long as you are savvy about the property before the purchase.
Do you have a piece of property (house, lot, or land) you’d like to sell fast? Fill out our Sell Fast Form and get a cash offer within one hour of us viewing the property.