Ngopisantuy.com – Land Investment: Pros and Cons!, Investment, as we all know, is also known as investment. Profits from investing are highly promising, but investors must also be able to understand the benefits and drawbacks of their investment.
The many forms of investments that may be found in Indonesia are fairly diversified. From foreign cash to jewels, equities, savings, bonds, antiquities, and real estate.
When it comes to property investing, it turns out that it is more than just houses, flats, and shops. There is another superior property investment option, namely land investing.
Land Investment: Pros and Cons!
It is evident that land prices increased many times as property investment became saturated during 2012-2013. This is because commodities prices rose during the time. In reality, the increase in land prices might be significant.
Land prices have gradually corrected themselves over time. This suggests that land investment is once again gaining traction.
If you intend to make this investment, you should first consider the benefits and drawbacks. This time, we will go over all there is to know about land investing, including the benefits and drawbacks. This is done so that you may make the best selection possible. See the complete review below.
Eligible Land Requirements for Investment
Not all property is suited for investment. If you make the wrong decision, land that was supposed to be a long-term investment may either not yield anything or.
Will cause you to lose money. As a result, pay attention to some of the following characteristics for land that is ideal for investment.
1. Total legality
The first thing to mention is that everything is perfectly legal. The land you purchase is legitimate, just like any home or construction property.
The legality of the land may be determined by the status of the land and its legal foundation, such as certifications of Hak Guna Bangunan (HGB) and HGU (Hak Guna Usaha). Not only that, but before purchasing land, examine the validity duration of the HGB and HGU.
You may also hire a notary to investigate the validity of the land you want to buy. You can handle the Certificate of Ownership after you are certain of its legitimacy (SHM).
This is necessary to determine the legal status of the real property you purchased and to avoid future land conflicts. Furthermore, SHM will make it easier land investment returns, for you to sell your land when the time comes.
2. Land Price Increase Prospects
Keep in mind that when selling or reselling land, potential buyers are land investment quotes, not only end users, but might also be investors or developers.
As a result, it is critical to comprehend the statistics on the annual growth in land prices in order to understand how to invest in property that will provide a is buying land a good investment 2022, profit.
Ideally, the yearly growth in land values should be between 5% and 20%. This figure may rise if your property is near a toll road, mall, apartment complex, or train best place to buy land for investment, station.
What if the land you own is in a faraway location? No need to be dismayed; the local municipal planning office can provide information on the potential for infrastructure how to invest in land and make money, development in the investment region.
3. Strategic Positioning
Finally, when purchasing land, choose a desirable location with easy access and comprehensive infrastructure so that the site has a high investment value. You can develop residences, how to invest in land without money, shop houses, or other sorts of structures on this property to enhance value.
So, how can you know if the land you purchased has a high investment value? The key is to select a strategic site and monitor the annual growth in the selling value of the advantages and disadvantages of real estate, land and buildings surrounding it.