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http://www.REIClub.com - Investing In Land Has Many Pros and Cons. Here Are Some Key Points About Land Investing For Real Estate Investors... Hi, this is Frank Chen with REIClub.com, the only site you need as a real estate investor. Today I've got quick video on investing in land. How to Invest in Land? - Begin with the end in mind - Find a location - Is it for residential or commercial use - Verify Zoning for land you are interested in - restrictions by city? - Check out traffic counts - planned road improvements - don't want to own a Lot where a highway is being built - Verify if there are water sources, septic system - DO NOT MAKE ASSUMPTIONS - Check the surveys for exact acreage - don't overpay - Speak with Local builders - new businesses coming into town? - City planning board - Purchase land in the path of growth Buying and selling land is a real estate specialty so it's important to work with an experienced real estate agent - MLS, office networking, builders - Down-payments usually 20-30% - lower for higher quality land - location Land Investment Advantages - Stability - Fixed Value - considered a stable investment in the long run - Safer than Stocks, but also more conservative - Tangible Investment - Greater long-term returns - when land becomes more scarce, value increases - You can flip it - The cost of raw land is relatively more affordable than developed land - Property taxes, and all around maintenance are less vs. developed - You can build your home, an investment property or use it commercially for profit - Farming, Agriculture and Renting - Use it for Parking Space - Sell to builders - Subdivide the land - sell portions of it Land Investing Disadvantages - no immediate cash flow - Typically longer term investment - Survey's can be expensive - secure development - Zoning Restrictions and permits - Property Taxes every year - Bad location - not in growth path - never sell - Permits and Approvals - based on political climate - changes over time - Costly to drill a well - Costly to create a septic system - Eye Sore's - Landscape maintenance - HOA Fees Investing in land is definitely a long term commitment, but offers great return potential. Depending on the location, you can secure a pretty safe land investment, at a fair price and sell it for large profits. Not every piece of land will be considered a good deal, check your zoning, check with your city, check your surveys, and perform your necessary due diligence. Remember, there is only so much space in the world, and we're only getting more crowded, so its only a matter of time before land becomes scarce, and incredibly valuable. Again, this is Frank Chen with REIClub.com. Please take the time to leave your comments for this video below and please subscribe to our YouTube channel so you'll be automatically notified when we upload more quick video tips for you. Take care and good investing.