Vacant Land Investments

Vacant land investments can be used to build a home to live in, to build a home to resell for profit, or to hold until a future date. All 3 ways can be excellent vacant land investments.

Sounds Simple, Right?

The idea at first may seem like a simple way to get your dream home or make a large profit by flipping. While it is totally doable, do not be fooled that it will be a quick and easy task. There is a lot of planning and work that must go into buying land and building a house. Find out below if it may be right for you.

Finding Vacant Land

Finding vacant land that will suit your needs can take some time. It is best to set up an automatic search that notifies you when vacant land meeting your criteria becomes available. Land that is desirable sells quickly so you must be actively looking. I can help you set up this property search.

What Can The Land Be Used For?

Once you find what you think is a suitable piece of land for your desired project you will need to contact the town/city planning department. This should be done by you and no one else. Any details they give you ask for in writing if you do plan on purchasing the vacant land to avoid any potential future conflicts. The town/city will be able to tell you what you are allowed to build on the piece of land including zoning, size and location on the lot. They can also give you details on permits required and approximate price.

How Will You Finance Your Land Purchase?

Financing land is different than purchasing a property that already contains a dwelling. A mortgage broker is necessary to speak with before making any decision as they have unique ways to help finance vacant land; particularly construction projects.

Who Will Build/Run Your Project?

Planning a project like building on vacant land is no small task. It is actually a full-time job and one that is best with experience. Hiring an experienced project manager/contractor is highly recommended. They can save you time, money, and a whole lot of stress on a project with their expertise.

Finding a recommended contractor is key. Ask for references. Ask to see past projects. Ask them about timelines and payment schedules to ensure you both have the same expectations. I recommend contacting DArrigo Construction Ltd. to begin asking your questions.

What Will Your Return On Investment (ROI) Be?

This may be the most important question to ask yourself specifically if your project is a flip. Using software like Microsoft Project to plan an entire project from start to finish will give you the most accurate projections.

Other factors to consider that will impact your return on investment are questions such as what quality of finishes you use, what market comparisons are there based on the design and finishes, and what type of land you decided to purchase to begin with (views, lay of the land, treed, swampy, etc).