Why Your Savings Should Be Land Investments
Many people begin planning for retirement as soon as they start working. This is a good idea for several reasons. People are living longer healthier lives so there are longer retirement years. Also people want to be able to travel, possibly have a second home, and generally have money in order to enjoy their retirement years. There are many ways of saving money and planning for the future. A great long term solution is land investment.
Shortly after we were married we bought a small country home. There was acreage next to the home that we purchased as a land investment. We soon out grew the home and decided to sell it, however we kept the land investment thinking that one day we may build on the property. The taxes were minimal so we kept the land for several years. After several years the owners of our former home contacted us about buying the additional acreage. We had decided that we would not build there in the future so we had the land appraised to sell it. Our land investment had increased substantially from our original cost so we made a nice profit. We placed part of the money in an IRA and used the rest to purchase hunting land. The hunting area was located close to a growing community. Shortly after making this second land investment we were approached by a developer that wanted to purchase this land from us to create a housing development. My husband had found a different parcel of hunting land to purchase with his brothers, so we sold the second land investment, again for a substantial profit.
The joint land investment that we have entered into with my brother-in-laws involves a very large parcel. This parcel is surrounded by state property so the hunting is very good and the surrounding property cannot be developed. By having a large parcel we will be able to split the property and sell off lots in the future when this area is under development. Until this happens the guys have great land to hunt on.
Land investment is a solid way to turn a profit in a fairly short period of time, especially if the land is located in a growing area. There will never be more land created, so it is a closed market. The taxes on undeveloped land are very reasonable so the investment is cost effective. There is no maintenance involved and land prices are usually not affected by the stock market. This makes for a sure, sound investment if you are looking to expand your portfolio.
1 Comment »
RSS feed for comments on this post.
| TrackBack URI
You can also bookmark
this on del.icio.us or check the cosmos
Fantastic Blog. Nice theme and design. Keep-up the good work. Thanks!Master when to buy or sell foreign currencies with this amazing automatic forex trading software. Free Download Now! automatic forex trading software
Comment by Automatic Forex Trading Software — March 25, 2007 @ 6:48 am