As investors look for ways to ensure a good return on their money, land sales are increasing in popularity. Profits, whilst not guaranteed, are often better than those from the stock market, for several reasons:
Less risk, more profit: While some investors have a significant investment in the stock market, often with a comprehensive, well-managed portfolio, for most smaller investors, their experience of the market is limited to one or two companies and they are therefore more open to stock market fluctuations and risks. Company share prices can be affected by many external factors, often beyond the companys control and, unless you are watching the market carefully day by day, you usually have to hold onto your shares for many years in order to turn a good profit. By contrast, if you select the right land, or take the advice of a reliable land agent, you can realise potentially fantastic profits in a much shorter space of time. This is because the land thats normally made available to smaller investors has been carefully chosen. Big land investors buy and then bank land that they think will be ear-marked for development in the future, and then either hold onto it, or parcel it up and sell it to private investors, who reap the benefits if planning permission is granted at a later date.
No maintenance required: Once youve bought your piece of land, you own it outright and can sell it whenever you choose. You dont need to maintain it as you would a property and you dont need to follow its fortunes day in, day out, to find out whether youre making any money. If you need to raise money, you can sell your land quickly, whereas if your shares are at a low price, you wont be able to make enough cash.
Best of both worlds: If you have thought of investing in land, but dont want to get out of the stock market completely, then just broaden your portfolio by reducing your shareholdings and investing in land as well. You get the best of both worlds, and the chance to make a very health profit if you choose the land wisely.