Have you had any investment assets for the coming days? If not, then you should think about what type of investment is interesting to choose. Yes, Investment, especially with promising long-term value, has now been considered a key requirement. Not only because the inflation rate is so fast climbing, especially in big cities. However, you also can minimize the financial risks that may occur in the old days. Meanwhile, you may check out the buy-to-let insurance if you want to have a reliable protection for your land.
The land became one of the most popular investment objects to have. Many people choose this type of property investment because of its ever-increasing value. Due to its non-renewable nature, the rapidly growing property growth will make the ground slowly experience supply shortages. Land demand will continue to increase compared to availability of available availability.
Here we have prepared some things you need to know about land investment:
Its flexible nature can allow you to earn passive income through the rental business. One example you can rent the lot units as parking lots or commercial building units such as shop (usually in the period of a dozen years). You can also use the lot to work as productive land. Examples are as a garden or rice field.
The price increase tends to be higher than inflation, where it will be very profitable for those of you who plan to have long-term savings. The average increase in land prices per year ranges from 20 to 25 percent. Another case if you invest in developing areas, the price increase can reach 30 percent to 40 percent per year. Even for the CBD (Central Business District), the value of the increase reaches 200 percent to 300 percent.
On the other hand, you also need to pay attention to soil productivity. Because if not in the work well will only provide the burden of costs, ranging from the cost of care, maintenance until taxes must be paid each year. However, the cost of care mentioned above is relatively small when compared with the building property unit. Land investment is also the minimal risk, so it does not require insurance.