collaborative contributed post // In recent years, it’s become increasingly important for people to make their money work for them. This often means that, if you have the available funds, investing your money rather than letting it sit in a bank account.
Photo by Adrian Dascal on Unsplash
Savings accounts rarely offer a high enough interest rate to make it worthwhile, especially if you consider the steadily rising cost of living. This is why so many financial advisors recommend investing your money to grow your wealth.
However, investing comes with an inherent risk. You can invest in all kinds of things, some more stable than others. Some people choose to invest in land, which is considered a stable, tangible option. If you’ve decided to go down this route, then you hopefully have a plan to develop it. Here are some tips to help you get the most out of your investment.
Looking For Opportunities
When it comes to making investments, the trick is to look for good opportunities and to do your research. A large investment like a plot of land isn’t something you should get into without knowing what it entails.
You should keep an eye out for local auctions happening nearby to find some good deals on local land. Make sure that you don’t overstretch your finances buying land, so that you still have the ability to develop it.
Get The Land Surveyed
Ideally, you should get the land surveyed before you buy. You should also research whether the land already has planning permission, as well as how the land is categorised. This will inform your option for what you can do with the land.
For example, some land is suitable for building and development, and may even already have planning permission for residential development. Depending on the size of the land, then you can go down the route of building one or more houses.
If you only have a small plot, then you can use this land to design and build your dream home. This gives you a place to live, as well as a secure asset that your family can rely on if they need to. Or, if you are more ambitious, then you can turn a larger plot of land into several houses or even an estate, and potentially make a decent profit through rent or selling the newly developed property.
However, different types of land are more appropriate for different levels of development. If you get the land surveyed before you buy, then you will be able to come up with an appropriate plan of action and work out how much profit you can potentially make from the land.
Developing Land
Once you’ve surveyed the land and bought it, it’s time to develop the land. The obvious land development option that many people go for is to build on it. There is always more demand for housing or commercial buildings, which means that this is always a good option for profit.
However, there are other ways that you can develop land. If you have bought some woodland, then you have some unique options and opportunities. You might also want to develop land for agricultural purposes, which is another industry that is constantly on the rise.
The important thing is to look after your investment. This might take a team to help you to best care for the land and develop it in a profitable and sustainable way. For example, you should bring in woodland management consultants to help you to care for any forests and ensure that you get better returns.
The great thing about land is that, once you own it, it isn’t going anywhere. You don’t have to jump on the opportunity to develop it or rush down a specific path. It’s often better to take your time and make sure that you hire the right people and develop it in the right way rather than rushing into something that you aren’t ready for.
Developing land will usually take further financial investment before you can see any returns. Even if you decide not to build on the land and elect to use it for farming or forestry, you will still need to spend time, money, and effort on it before you can make a profit.
You should factor in further development costs before buying the land. In many cases, you can get grants or take out loans for land development, so be sure to research what financing options you have available to you, especially if you have bought protected land.
Using Your Land
As well as developing land for industrial use, or to build on it and rent or sell properties to other people, you also have the option to use your land for your family. This is an especially good way to use smaller patches of land.
As mentioned above, one option is to buy a small plot of land and use it to build a home for you and your family. This is a great way to design a house that is perfect for your wants and needs, and often allows plenty of exterior space to enjoy as well.
If you want to preserve your land in its natural state, then you can enjoy it as your own little slice of nature. As you own the land, you’re free to camp on it and practice your bushcraft or survival skills. You can even cut down trees or start campfires, which might not be possible on other land. This is a great option throughout the year.
You can also use the land to grow and produce your own food. True, you might not want to go down the route of turning it into an agricultural area, but you can set up an allotment or smallholding and become more self sufficient by living off your land.
Owning some land also gives you the opportunity to care for it as a steward of nature. It’s important that more private owners take the responsibility to look after their land and do their bit for the local environment.
