There are several different types of real estate you can purchase but most people focus on houses and other types of prebuilt properties. Purchasing undeveloped Calgary land is also a good idea worth exploring and there are numerous reasons why investing in land makes sense.
The Versatility of Buying Land
Buying land gives you options. You may put a house on the property, get it zoned for a business, or let it appreciate in value and resell the land down the line. The potential of any piece of land is often limitless.
The Increasing Value of Land
Land tends to increase in value over time. Buying land for sale is a great long-term investment. Many people have purchased cheap land for sale, have sat on it for a few years, and then have turned around and sold it for double or triple the original value. Real estate will always be in demand. People will always need a space to live and do business. If you are looking for a long-term investment, then you can’t go wrong with land.
The Importance of Checking Land Zoning Before Buying Land For Construction
You may spot a parcel of a few acres of raw land for sale and start dreaming of building a custom home. However, there's some research you need to do before making any offers on land, even if there's already a home or structure on the property. The zoning of the property, which is set by the local zoning authority or office, can completely limit or control your ability to do certain things with the property.
For example, you can generally only build a commercial structure like a retail store or restaurant on a property zoned for commercial use. Residential zoning allows you to build a home in most areas, but you may be limited to a certain size, style, or number of structures. Agricultural and recreational zoning can prevent you from building a home or even any permanent structure at all, depending all on the local codes. Only checking with the municipal office overseeing the area will reveal exactly what restrictions are placed on any particular piece of property. Don't just go by the claims of a real estate agent, seller, or other interested party. Verify the zoning yourself before finalizing the purchase, or at least determine if you can petition to change the zoning to suit your plans.
Purchasing Land For Sale With a Knowledgeable Real Estate Agent
If you are thinking about looking for land for sale, work with a knowledgeable real estate agent that can help you find the best deals in the areas of your choice. As with purchasing a home, there are quite a few logistics involved when buying or selling. You’ll need to make sure that the land is free of any liens, isn’t situated in a flood-prone area and you will need to find out what the zoning laws are.
As the home values continue to rise here in Calgary, so do the land values. Land can be a good short-term or long-term investment. Keep that in mind when you are planning your investment portfolio and are putting strategies in place for your retirement fund.