|Join Nairaland / LOGIN! / Trending / Recent / New|
Stats: 2,775,227 members, 6,610,904 topics. Date: Tuesday, 30 November 2021 at 11:43 PM
|Land-banking, Its Pros And Cons by DANBELPIL: 2:55pm On Apr 21|
A concept relatively new to most real estate investors in Nigeria is land banking, one of the most overlooked and underused strategies.
Land Banking 101: An Introduction
The word "land banking" nearly perfectly describes what it is. Rather than putting money in a savings account (where it will earn a maximum of 1% interest per year) or the stock market (which has become increasingly volatile in recent times), some investors have taken a different approach by purchasing LAND and in doing so, putting their money into a tangible, fixed asset that cannot be broken, stolen, or destroyed.
Most new investors overlook vacant land because it does not sound exciting. As a result, many would-be land investors overlook many of the benefits of land over traditional real estate investments (such as houses, apartment buildings, commercial properties, and so on). Unlike other residential and industrial houses, land is inexpensive to purchase... there are no utility bills, no occupant issues, no termite infestations, no leaky faucets, and no faulty toilets.
Consider this: you can purchase a piece of barren land now, move away for ten years, and nothing will have changed when you return. Is there a more secure investment?
Consider the economics of land: it is a resource with an ever-dwindling supply (after all, they aren't producing any more) and ever-increasing demand. Given the attractiveness of land ownership, I always find myself scratching my head and asking, "Why aren't more investors interested in this?"
The History of Land Banking
|Sections: politics (1) business autos (1) jobs (1) career education (1) romance computers phones travel sports fashion health |
religion celebs tv-movies music-radio literature webmasters programming techmarket
Nairaland - Copyright © 2005 - 2021 Oluwaseun Osewa. All rights reserved. See How To Advertise. 34