If you want to invest in land, you should look at 5 advantages and 5 shortcomings of land investment so that you can make the right decisions. In the meantime, you should also see commercail landlord insurance to secure the protection of your land.
Benefits in the land investment
1. High Capital Gain Increase
It has become investor’s knowledge if the land has a high capital gain increase. Generally, the percentage reaches 20-25%. However, that number certainly depends on the location of the land. If the land is in a developing region in the sense that access and infrastructure are continuously built, it could be that the gain in the next few years could reach 100 to 200%. On the contrary, if the soil is in a less glowing area, then the gain may not reach the general figure.
2. Have added value
If you have enough land, you can multiply the investment of the land you have. How? You can create housing with cluster system. That way, automatically the price of your land will become more expensive, and of course, the benefits you achieve can be fruitful because you can sell 5-10 homes. But still, access to infrastructure must still be considered for the cluster that you sell behavior.
3. Minim Maintenance Fee
Empty empty care is certainly not too drain pocket than other properties such as houses, apartments, shop, and office. If the property is already complete building, of course, there are fees and special care that must be issued every year.
4. Other Business can be created
One of the advantages of land investment is that it can be transferred to other businesses. If your land may be near a school or workplace, you can use your vacant lot for parking. Or, if you are a hobby of gardening, you can also use the land for gardening while waiting for the maximum capital gain increase. That currently hits, you can use your land to be a steam washing business.