The process of investment in land that anticipates future urban development has been carried out for generations by both big businesses and private speculators. For many it has been a profitable venture, resulting in many individuals amassing large land portfolios and considerable amounts of wealth. Predominantly, this investment has taken place in agricultural plots surrounding towns, villages and cities as these are seen as ripe for development as settlements expand. This type of investment has recently been opened up to the masses with many companies offering opportunities to combine funds for part ownership of land.
The opportunities to reap large financial rewards from land investment are great. In some cases it is not even required to provide a large financial injection, part ownership schemes have allowed investors to begin investment in land for as little as fifty pounds, paid on a weekly basis. As a result investors vary from those attempting to build up a retirement nest egg to those struggling to get on the property ladder.
In terms of the rewards some estimates reckon that an investment of twelve thousand pounds could lead to a return of more than fifty. This will take about ten years but when compared to other investment opportunities the returns are astronomical; naturally however, as with most investments the greater the risk, the higher the profits. Subsequently, those considering buying land should always research a number of companies thoroughly as an approach without intimate knowledge can be seen as foolhardy. This assessment should include an appraisal of a company's credibility and past history in giving investors decent returns.
In the media the land investment industry has not received the best of press in recent years. There is however a large number of companies out there that are considered reputable; all it takes is a little effort in researching the industry to find them. Once this research has been conducted, the returns from share purchasing can obtained rapidly.
Ultimately a company that understands the prerogative of investors to research proposed opportunities is the ideal; in addition, they should also readily supply this information so their clients can make informed choices pertaining to any investments. Part of this information should include reports from local authorities on the transport links, mains supply and chances of planning permission for any plot of land. It is worth remembering however that while the benefits are certainly there, they are never guaranteed; investment is a risk and hence there is always the chance of losing money. As the demand for land for housing continues to grow however, this risk is diminished somewhat, through shrewd financial investment, profits should become a reality.
As well as the profits, many investors are choosing land as a way to sidestep certain government legislation. For instance, agricultural land and forestry is a great way to achieve certain tax breaks; one example is that owners of these types of land do not have to pay inheritance tax as long as they have been in possession of this land for more than two years; with certain loopholes, this type of investment is also a way to avoid the capital gains tax.
Clearly investment in land is popular with many. Thanks to a selection of companies it has also been opened up to members of the general public making speculating an attractive profit making opportunity. As government plans to enlarge towns and speed up residential construction continue with gusto, investing can be seen as a truly realistic way to make money.
China Overseas Land & Investment
Land investment is no different from any other savings vehicle. Many people have seen excellent returns on their investment, and land prices in key areas continue to increase; particularly where the need for housing is greatest and land for development is at a premium.
So, can you make money from land? Here's why land could be a good investment for you:
Housing shortage – in the UK, there is still a housing shortage with, on average, only half the new homes needed being built each year. As demand continues to exceed supply in this area, developers will seek new sites and the planning authorities may grant permission on a wider range of sites in order to re-balance the housing scales. This creates a great opportunity for those who wish to invest in land.
Property prices – of the new homes being built, fewer of them are falling into the “affordable” price bracket. This means that developers are realising higher profits for their projects and can afford to make higher bids for land for future development.
Lifestyle – although rural and suburban land will also rise in value, there is still money to be made in central land locations. Where urban land can be regenerated, it is often turned into multi-function developments; apartments with shopping, eating and recreational activities all within the same site. There is a huge appeal to this type of lifestyle and these developments are still profitable.
Economy – land doesn't have to be earmarked for residential development in order to make a profit. Out-of-town shopping centres, business parks and leisure complexes are still big business and whilst spending is high and these developments increase job opportunities in the area, they are also likely to make money for the landowners.
As always, profits can't be guaranteed. If you buy land that's denied planning permission, you're unlikely to make the returns that are possible when planning is approved, and that's a risk you must assess before you commit your money.
Both Thomas Pretty & Nationwide are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Thomas Pretty has sinced written about articles on various topics from Formula One, Debts Loans and Interior Design. Real estate expert Thomas Pretty looks into the investment opportunities offered by the and land speculation more generally.. Thomas Pretty's top article generates over 1500000 views. to your Favourites.
Nationwide has sinced written about articles on various topics from Real Estate, Finances. Nationwide specialises in land acquisition and sale across the UK. For more information or to download a brochure, click on . Nationwide's top article generates over 3600 views. to your Favourites.
Brothers And Sisters Day They were a part of the childhood and they will always remain a part of your life. Wish them with greeting cards on this day. Send gifts and share memories. Rekindle the joy of childhood on Brothers and Sisters Day