Lots are the barest form of real estate you can get your hands on. Unlike other real estate forms like condo units or single family houses, there is no physical structure erected in lots that can be upgraded or modified to increase its likeability and market value. Despite this, a lot for sale holds great potential in terms of investment. With the proper factors to look at, you can easily find a lot that will be a favorable asset.

Here is a guide on how to tell if a lot for sale is a good investment. 

If It Appreciates Quick

If you’ve decided to invest in land and are looking for a land parcel, the first thing to do is determine your budget and land-use purposes. Next, choose a location where you can get the best land parcel that meets your needs and is affordable.

With the absence of a physical structure, the location of a lot for sale solely determines how quickly your property will appreciate. Thus, it’s crucial to choose the location carefully when buying land. Buying land in unappealing locations may be hard to sell or may not really grow in value. By strategically choosing your land’s location you’ll be able to make your land appreciate faster and get a higher return on investment.

An ideal location can mean different things to different people, but when talking about being favorable when it comes to gaining potential appreciation, there are some factors that will help determine its value. Depending on one’s personal need and preference, buying a lot with all of the factors may not be the case all the time, but that’s ok. Because your investment in a lot for sale may mean more to that for others in the future.

When you are looking for a lot, pay attention to nearby amenities. Buyers usually want convenient grocery stores, dry cleaners, and leisure rows. Consider trains, roads, and public transportation for transportation, such as bus stops, train stations, and public bike-share locations. Proximity to amenities will typically improve the value of lots around the area..

Here are factors to consider to determine whether a location is favorable.

If It has Good Centrality

The part of town you will choose to buy your lot for sale will surely influence how much you will be spending when paying for your investment. This is because land is a finite commodity, so lots in parts of the city that are considered to be highly developed with not much room for additional growth and expansion tend to have a higher price tag compared to buying lots with room for expansion and further development.

Some of the communities in highly developed areas show many uninhabited homes or establishments or places that have been abandoned or disrepaired. So purchasing lots for sale in overdeveloped areas may not really be that favorable compared to getting a lot in progressive and developing areas.

According to research, in most cases, the urban sprawls prominent in overdeveloped areas occur due to population growth and lack of sustainable planning in the area. When cities that are sprawling face a population decline, the areas that suffer the most severe decline in property value are those lots and homes located in outlying areas. What happens here is a great way to show how location impacts the economic concept of supply and demand. As a tip, it is best to avoid investing in lots for sale in outlying areas of a city.

A good tip in order to get an ideal location to purchase a lot for sale would be to start off by identifying which areas have the promise of expansion in the near future. Research regarding whether anything is expected to substantially change within the area such as planned developments, big construction plans, or a new building or housing gets constructed.

A location may seem ideal only to undergo sweeping changes in the near future—of course, some changes could be positive ones that improve an area’s desirability. Because of this, it is safe to say that getting a lot for sale in a developing area that is expecting construction in the near future is a good investment, as you will be purchasing the land for a lower price and expect an increase in the property value within the area as soon as construction starts.

If the Neighborhood Is Ideal

Another factor that will help determine if the lot for sale is a good investment is by having a quick analysis of the neighborhood, whether it’s good or bad. The qualities of a neighborhood that appeal to you will essentially be depending on one’s personal choice. However, when it comes to a good neighborhood in terms of attracting value appreciation for land around it, there are few critical factors to look out for.

When searching for the ideal neighborhood, look out for these qualities, as these are critical factors that favorable neighborhoods have in common: Easily accessible, appealing surroundings, and close proximity to nearby amenities or key locations. These are traits of a good neighborhood with promising lots for sale.

When it comes to the neighborhood’s accessibility, look out for areas in a city that is near major transit routes and thoroughfares. Find an area with more than a single entry point because commuting in the Philippines has become a part of a person’s day that takes up a lot of time and effort. With this being said, areas with easy access to roads and public transportation have more desirable lots for sale compared to those that are tucked away among trees and can only be accessible through one route.

Neighborhoods that are surrounded by greenery such as trees, quality landscaping, walkways, parks, and pedestrian-friendly community spaces add appeal to many buyers and potential tenants, making it a quality to look out for in a lot for sale.

A great neighborhood should also include essential amenities such as grocery stores, shops, and restaurants. Most people like to frequent places that are convenient, so getting a lot here would mean that your property will be surrounded by a community, which is ideal for any future establishment on your lot, whether residential or commercial. If you plan to venture into being a landlord one day, look for neighborhoods that are near school zones or business districts as being near these areas greatly affect the value of land around their neighborhood.

With all these factors to consider when looking out for a lot for sale, you will now be able to narrow down your choices and find one that will be a good investment for you.

To safekeep your investment, make sure to get a lot for sale that has a strategic location, and is built by a reputable developer.

Greenfield Development Corporation houses three prestigious properties which offer bare lots for sale. Within Greenfield City’s 400 hectares of a self-sustaining network of residential, commercial, industrial, and recreational communities are Trava, Pramana Residential Park, and Solen Residences.

These properties offer lots for sale that are surrounded by a balance between development embraced by lush greenery, it is coined as the City within a park. Amid relaxation and serenity within the surroundings are establishments that will make its residents keep up with the city life as it is located near close to Paseo, Laguna Central, and Arcadia, three lifestyle establishments where restaurants, bars, cafes, and outlet stores, and shopping strips with sprawling open spaces and lush greenery are located. Talk about a good investment.

To learn more about these good investment properties, click on the link below: