Do you know why people treat land as a real estate investment? Because of its land value. Property owners make it a point to take care of their land to match up its market value (or to increase it even), and real estate investors go for property prices that are definitely worth their money to put up a real estate property from scratch. If you’re buying raw land to put up residential properties from scratch compared to buying a new real estate property, then we’d say it’s the most authentic way to develop and invest in the real estate sector as each land is unique to another.
If it’s your first time putting your land up for sale or for an investment and you don’t know how to do it, sit back and relax as we’re giving you the best tips that have been tried and tested by numerous landowners so that you’d know how to walk the land talk!
Helpful Tips on How to Increase Your Land Value
Simple Appreciation
Price appreciation is when the property value increases its market value and land value. It works automatically and must be taken care of as it ages like fine wine (unless something bad happens to the land). The land market value in the Philippines depends on the location, development, accessibility, age, size and space, and building regulations, so you need to get in touch with your real estate agent to know how much your land value would cost over the years of maintaining and taking care of it.
Improve or Provide Access
Property investors prefer to buy or invest in land that is accessible to them as accessibility can be the greatest determiner in enjoying the property that you have. Most property owners are near to properties located in central districts and cities such as shopping malls, restaurants, convenience stores, medical facilities, schools, and many more that will affect your real estate values as well as their price appreciation. A property situated in a rural or remote area wouldn’t progress as much compared to a property that is located in a city center to a prospective buyer. You should also eye for your future land that is handled by an ingress/egress easement with the necessary utilities and don’t be overburdened with easements that serve as other parcels. As much as inadequate easement provisions would be every country’s problem, so is having too much of easement provisions.
Add Utility Lines
Utility lines may be expensive to put in a vacant land, but it would affect property owners if their land value would get lower because they would benefit from running these as these investments would equate to adding 10% – 20% of the land value. Property prices usually go up in urban areas because they just hook it up and pay the hook up fee and it usually attracts potential buyers and real estate investors, making the property’s price go up as well as its land value. For property owners living in rural areas, this could take a bit of work and planning, and money as it is an investment for them. Other alternatives such as solar or wind power could work as well.
Landscape Your House and Grounds
Your curb appeal basically means your land’s appearance, and improving that is a surefire win to increase its land value. It can be done with or without the landscaping company’s help. Lots of homeowners are able to complete these tasks in a nick of time, so you need to make a list and take a walk around to see what needs to be improved in your landscape to make sure it’s clutter and trash free premises, cleared bushes from overgrown foliage and weeds, pruned trees, hazard free, and secured from unused/unsafe wells or water sources so that it can not only experience price appreciation even more, but there’ll be more demand from potential buyers and investors that will chase after you for your land.
Remove Junk and Care for the Soil
The most basic steps in improving your land value and landscape start by taking out the trash, junk, and anything toxic or harmful from your land as well as making sure that the soil quality is perfect by securing unused or unsafe water sources and by making sure to use natural fertilizer. You can also mow your grass and remove weeds and overgrown foliage so that your landscape will not only look clean and spotless, but it will also feel fresh and free to move around and smell the plants that are growing. After all, keeping yourself out of the grass is the best way to maintain that grassy freshness and improve its curb appeal. Not only that, but it also helps to have a better condition for your plants to grow better quality flowers, fruits, and vegetables!
Make a Tree Farm
Your real estate investment would definitely be an investment if you have trees (along with crops such as vegetables and root crops growing). Your farm land would not only bring instant cash, but it also adds property value, property appreciation, and curb appeal to the eyes. If you don’t have the capability to farm or plant trees, there are neighbors who operate a farm on a lease or shared basis, making it a double win for you and your neighbor!
On the other hand, you can choose to cut down trees that will only bring you diseases such as root rot, insect damage, parasite vegetation, dry weather stress, snow breakage, and many more if you own a timberland. All of these may leave the woods in a messy condition and would cause problems, but having a forest that can be managed promotes healthy tree growth, good wildlife habitat, and natural recreational use. Talk about stress free with fresh air and lots of sunlight to bask on!
Add Fencing or Improve Gates
A fence or a gate would make a great first impression to those who are interested in buying or investing in your land and it keeps the trespassers away. Installing fencing should depend on what you’ll use the land for. Fencing can accomplish many objectives at once and it can be used for different applications as a fence can define the parameters and boundaries of the land, contain livestock, or keep unwanted people and animals out. No matter what type of fencing you use, it should be well maintained and the maintenance cost and time factor should be considered when choosing it because it can be an investment for your land to be attractive and homey.
Build Structures
Adding additional homes, storage sheds, barns, and other structures can help you increase your property value, although this advice doesn’t apply to every land structure because the location, size, and space vary from one another. For example, you can’t add cattle and a fence to your vineyard, so you have to be specific on what you’ll be using the land for so that it can be beneficial for every person and animal alive for your current or future use.
Landing on a Value You Can’t Refuse
As property prices get higher demand for more population counts, and so does the quality of the property that you’re maintaining if you’re planning to have it sold or invested to someone else. With proper planning, running utilities, the right construction materials, and a high demand while following zoning laws provide proof that a property owner is doing an excellent job of taking care of the land. There are various factors that are inevitable to some that affect property selling and investing, but others take advantage and get creative with how they can make use of the land they bought or invested because these are determined by those factors. Rest assured that taking care of your land and its value by following these tips will flourish it in the long run and it will be a key role in getting the people that are looking for a land for various purposes.
So, if you have a land that you’re planning to sell or to put up for an investment, then this is your sign to follow these tips and bring the cash flow in. After all, it’s another great passive income for you as a land owner and an investment for those who want to buy or invest in it.