Land Banking-Good Investment stralegy

2014年07月11日 Colleen墨尔本房产



WHY LAND BANKING IS A GOOD INVESTMENT STRATEGY?

Many investor have made small fortunes by land banking because they are able to use very small amount of money to control blocks of land for a long period of time(such as 7-10 years).As the land value increases over the time,investors obtained substantial profits as they only need to pay the land at the price that was agreed 7-10 years ago.

Key Benefits of Land Banking

  1. Land appreciates-we all know that it's the land component of your property investment that appreciates while building itself depreciates.

  2. Unlike buying established block of land yuo need to pay for the entire land price,land banking only requires a small upfront reservation fee to secure the block of land and settled in 7-10 years time.

  3. No interest payments for holding the block-As you don't need to get a bank loan until the block is settled,so you save all the interest repayment to the bank for 7-10 years.

  4. Flexibility to settle the land or sell it to make profit!-In 7-10 years when the land is ready for settlement,you have the flexibility to settle it and build your property or just to sell the land at the market price and pocket the profit!

  5. Huge Return on Investment-potentially over 500% return in 7-10 years~

  6. Hedge against unexpected inflation-Studies and researches have demonstrated that land provides significantly strong hedges against expected and unexpected inflation.

    There are only limited lots available for this opportunity

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