Did You Know Investing In Land Is The Best Business Decision Man Takes?
Buying a land is almost like the best thing to do with your hard earned money; however you choose to earn that money. It is an investment you rarely would regret. There are a thousand and one reasons why you would want to buy a land but one reason sits atop all; it is usually because you want to build your own house on it.
Though some people buy land to resell at a later period when the value of the land would have appreciated a lot more than the purchasing price. Albeit, relinquishing cash in the course of a land purchase might just be the easiest part of a land transaction.
In other words there is a lot you should know before investing in land.
Location is as vital to a real estate investment as wedlock is vital to any serious relationship. No matter where you are headed with that land purchase, don’t you dare buy a land with no resale value; it’s a dent on the hustler’s code. In fact your children and unborn generation will not forgive their father for wasting such fortune. If you are buying land specifically for business then don’t buy land that will estrange you from potential customers. Also, if the land you are purchasing is for the purpose of building a house, then don’t buy a land you can’t build on.
Usually, you should have an idea of places you would like to own a property and not some random sampling from an after-thought of possible investment on land. Even if the places you have in mind seem out of reach due to financial constraint and its high profile nature, then you go for the places in close proximity with your dream location; places that may get the same recognition as your initial choice years to come. In all of your mind puzzles on a likely land transaction, access to school, road and infrastructures, your job, market place, and relaxation centres should be pivotal in your land search.
2. KNOW THE COST INVOLVED
Investing in land requires a specific budget which must be well thought-out and set apart irrespective of the amount you have in the bank. You have to fully put into account the entire money you will spend on acquiring that land and other expenses that will arise during and after the purchase. This of course will involve a level of research. You must also ensure that you are buying the land from a registered real estate agent which clears the air on a possible real estate scam common in this part of the world.
NOTE: There are three basic titles a land must possess for you to be secured. They are; Receipt, Deed of Assignment and a survey. Other titles such as Government Consent, letter of allocation, power of attorney, Certificate of Occupancy and deed of transfer may come later.
Finally, remember that utilities and building costs will be expensive. In some cases, you may have to pay to have electricity and water run to your house before you even begin paying monthly charges. On some land, you’ll have to drill a well or install a septic system alongside home construction. If you’re buying a piece of land as an investment, you’ll bypass quite a few of those headaches.
3. BEFORE INVESTING IN LAND KNOW THE TITLE AND INVESTIGATE THE TITLE
TITLE refers to a number of documents that come with a land purchase which ensures that the buyer claims ownership of the land in question. Title reassures you the land is your property and is free from government acquisition area. However, obtaining the title for your land is just the beginning of another journey. It is essential that you do verification on your title documents with the assistance of a registered real estate firm or solicitor to avoid any hassle that may arise from the land transaction
4. YOU MUST DO YOUR VERIFICATION ON THE LAND BEFORE INVESTING
Verification on the land you are investing in can be done in many ways depending on who you are buying from and what type of title is on the land. Title of the land can be used as a means of verification if there is a title on the land. However, if no title exists on the land in question then asides your dealings with the supposed owner of the land, you must see other family members to confirm he/she is the owner. You can possibly see the baale or oba of that community for confirmation or you can as well ask questions from the residents on the street where the land is located.
Notwithstanding you should involve a solicitor, estate surveyor and valuer when you want to invest in such land.
Read also: Pros and cons of real estate investing