Flipping Land

Investing $1300 Dollars in Raw Land – Tripling Your Money

Bret recently was considering what he would do with $1300 dollars and wanted to invest it in some way, but wanted to avoid the stock market or any other institutional style of investment. Instead he wanted to do a hands on style of investment, where he was always in control of the money.

He had been a florists assistant in the past and knew where the local floral auctions were held in his town. Every town has them. This is the place where market gardeners come to sell their product cheaply to retailers. He decided he was going to invest $100 in dry seeds and grow a $40,000 dollar flower crop over 6 months. This is what he did.

Raw land is very cheap to rent. Most people that own land without a house on it would take almost anything if they found someone interested in renting the land. Bret found a nice acre on the outskirts of his town, only about 15 minutes drive from his home. He got this block for a poultry $30 dollars a month. To the lands owner, this was found money and helped offset government taxes so he was delighted to get even $30 per month. Bret signed a 12 month lease, which if his plans fell through, he would still not be out of pocket too much. This lease protected Bret from losing his flower crop should the owner decide he wanted his land back. He couldn’t get it back for a full 12 months.

So Bret plowed the soil, spending a little on fertilizer and sowed the thousand packets of seed he got for $100 This is truly a passive investment. Once the work is done, and he had his flower garden set up over a weekend with his wives help, all they had to do was come back once a week for watering and weeding. In a few months he began reaping his crop and over 6 months he did indeed sell over $50,000 worth of flower stock at the auctions.

By: Martin Thomas

About the Author:
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Be the first to comment - What do you think?  Posted by Wholesale Deals - March 20, 2010 at 12:43 pm

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Buying Land – Issues To Keep In Mind

The current real estate market is in the dumps. This has had the secondary effect of driving down the price of land. If you are interested in building your own home, it is a good time to buy land.

Buying land may seem like a similar act to buying a home, but it is very different. The issues that have to be dealt with are more or less completely different than those with house hunting. There is one exception to this statement.

One rule that doesn’t change with land is location, location and location. You need to deduce what is going to be built in the area in the future. Building a nice custom home next to a future slaughterhouse is not the best of choices. One also needs to envision what is going to be built around your home and how that will impact you.

Once you have a feeling for the perfect spot, you need to get down to the details. This means utilities, easements, roads and surveys. Let’s take a closer look.

Utilities are obviously vitally important. You need power, gas and so on. The question when buying land is whether these are already in place in the area. If so, hooking up to them from the street shouldn’t be a huge problem. If they are not present, you have a situation you have to deal with. You may have to go with a septic sewer system. At a minimum, you are going to have to pay to gain access to electrical lines and such or go completely “off the grid” with solar, wind power and the like.

Easements refer to a right of use on property. This is typically the right of ingress and egress, to wit, the right to drive in or out over a property. You really want to avoid a situation where you buy a lot that has no access to the road in or out of the area. On the other hand, you also want to make sure you know who has the right to cross your land!

Building roads is an expensive affair. In most areas, this cost is passed through to homeowners in the area. This is particularly true when new homes are being built. Make sure you understand what you are committing to as the costs can be high.

Surveys are often required by lenders before they will give you a loan on the purchase of the land or construction. A survey simply establishes the boundaries of the property from a legal perspective. This is vital as you might be surprised to learn that the property line is in a different area than you thought. Avoiding surprises is definitely wise.

As you can see, the issues involved with buying a piece of land are much different than buying a home. It can also be a bit costlier than you think, but it is usually a good investment in the long term. After all, they aren’t making land anymore.

By: Raynor James

About the Author:
Raynor James writes about issues surrounding land FSBO for FSBOAmerica.org.
Self Storage Investing

Be the first to comment - What do you think?  Posted by Wholesale Deals - March 19, 2010 at 8:57 am

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