I'm planning to buy land in Texas for around $100k. Is it a good idea given the current market? I have $20k, and I'm considering getting a loan for the rest. What are your thoughts? I am trying to diversify my investments hence planning to buy a land from great lender ( based on the reviews from couple of direct friend who bought the land w company). Instead of buying a house in texas, i thought buying a land could appreciate the value in future.
Where are you trying to buy? That’s like an acre near Austin.. or like 50 acres near the border
Near Dallas and towards san antonio
lol!
There is good land to invest in and bad land to invest in. If you don’t know what you are doing then you will get sold the bad land or get sold the good land at too high a price. Real estate is massively complex (much more than you probably realize). If you don’t know about zoning regulations, property easements, how to ensure you have clear title, use restrictions, water rights, or any number of other potential particulars then you are primed to get burned.
This!! Plus land doesn’t earn anything. Buying house at least has rental income potential. OP can buy a locked land with no ability to drive there.
Don’t listen to this guy. People like this always like to pull others back. Go for it and learn all you can.
Prices went up a lot post Covid and the only way is down for the next decade or so.
Thanks for your response.
"Why is your question in quotes?"
Make sure that you have a plan for land and have verified that the plan is feasible. Without it you might be stuck with a property that you don’t know what to do with.
Edited the post w more context. Will be using it as an investment purpose
Hoping that land would appreciate in value is recipe for failure. You need to have facts that would support your investment reason, such as upcoming shopping center or transport hub near that location etc.
With loan money not good idea 💡
Could you please elaborate?
Op is novice. It’s not easy to get loan for land without any plans to build. If you want to buy la d, buy a home with large lot. Rent the house while you work on sub dividing the lot into 4-5 lots and sell lots to make money. Permits approvals etc take few years, but it’s rewarding if you buy the right land. Land for 100k doesn’t make much sense. Land makes sense if it’s multiples 10s or 100s of acres with development possibility
Getting a loan is not a big deal if you go with a company that is selling the land. It is around 10 Acres that we are planning to buy and it can be used to build house. However we are just thinking to buy the land and hold for 5-10 year and see if it appreciates in values. It is one of a kind land that has hill country views ( according to selling company).
Makes sense. I do not know much about TX. But I hear there is abundant land in TX. Make sure it is near to a developing area. Yes, if seller financing is an option it’s good
The US
OP, you need to be more specific than just saying land. How many sqft? Does it have development potential? If not now then is rezoning possible? After building house there, will it give any return on investment? Texas has too much land and I doubt it will ever increase in value.
Around 10-12 acres for 100k We can build a house on the property and they will provide us with water and electricity connections Land can be used for farming or ranch or to build a farm house (The only restrictions they mentioned are for ping farming) Thank you for your response!
How far from main city? It’s not easy sometimes getting water and electricity. Make sure cost of getting those. If you like farming then not a bad deal. But real money in land is made using subdivision. Otherwise you will be sitting on it for next 50 years without any returns. Best way to find out about subdivision potential is with city or county.
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What you gonna do with that land?
In real estate, people when they buy land, they usually don’t do anything with it.