The Seven Kiler Advantages Of Land Investment
The investment on any plot of land is becoming a popular commercial venture.
The sole reason is that with the growth of population there is now a growing
realization of the availability of land in plenty among the people. To meet the
demands many landholders and contractors are now buying barren and fertile
lands from the farmers at a cheap rate and sold it to the highest bidder at a
surplus price rate to earn more profits. Besides, there are certain other
advantages that can be enjoyed through investing in land. These benefits are
a) Explosive growth due to limited opportunity:
Every land has fixed boundary and so there is no scope for increase in the
area of the land. However, this does not prevent the increase in prices with
the subsequent passage of time. Many landowners are now selling their
vacant land to renowned builders and construction companies. These
builders and construction companies are quite expert in obtaining profits
even from a small piece of land.
b) Low maintenance compared to flat investment:
Land whether barren or fertile does not include any maintenance cost
unlike flats or other residential establishments. Flats and residential
apartments do have a high maintenance charge that involves repairing and
painting. Land does not involve any such maintenance charge if it is for sale.
Owners only install fence to retain the boundary of their plot of land.
When the overall economy witnessed a booming phase then the prices of
fixed commodities like land also increased to a surplus extent. Prices of land
become double because of speculation. Landowners now get the surplus
opportunity to sale their lands to real estate companies at a comparatively
higher price than the actual market price. The price becomes a dominant
factor in the open market economy during the period of boom. However,
fair dealing is essential to check the price imbalance of the land.
d) Opportunity to enter in a joint venture with a builder:
Land investment allows the landowners and other shareholders of any plot
of land to enter into the real estate business in collaboration with any
renowned builder or real estate giant. In this way they can enjoy the spoil
of being associated with such functionaries. Here the owners and other
stakeholders do get the opportunity to enjoy the profit of selling flats and
apartment blocks to a group of wealthy clients along with the builder.
e) God Does not make it anymore:
Opportunities do not come automatically but need to be created at all
means. The same rules apply here while investing in land. Land is a great
gift of God and this fact is now being proved in reality. Owners are not only
selling land for profits but also leasing it to enjoy monthly installment from
the concerned party. Even for holding any events like fair the owners do
charge a decent rental charge from the authorities to lend their piece of
f) Buy in wholesale and sell in retail:
For making more profit it is ideal to buy land at a wholesale price range.
Though it involves some holes in the pocket but that can be compensated
quite easily. Owners purchasing any plot of land at a wholesale price can re-
sale it at retail price to enjoy more profit. Selling land at a retail price rate
allows more inflow of money than in wholesale.
g) Best long term investment on earth:
The demand for land unlike other commercial commodities never diminishes
and on the contrary will always be on the rise. So it is wise to invest in land to
secure a stable financial position in the market. Many young people are now
entering in this business to enjoy a stable financial security for entire life.