Investing in land can yield substantial profits. Strategic interventions play a crucial role in enhancing property value before a sale. In this carousel, we’ll explore essential strategies to boost desirability and profitability, empowering you to make informed decisions and maximise land investment returns.
- Increasing Desirability with Accessibility
Accessibility plays a crucial role in determining the value and desirability of a property. As investors, we understand the importance of providing easy access to the parcels. Thus, we often invest in grading and improving roads leading to the properties we sell.
The impact of enhanced accessibility can be profound. Properties that are conveniently reachable are more desirable to potential buyers. This intervention can instantly elevate the market value of the property, ensuring a more rewarding investment for potential buyers.
2. Clear Demarcation and Fencing
Clear demarcation with beacons and fencing adds value to a property. By defining the boundaries, potential buyers can have a clear view of the property’s size. While we typically avoid fencing our properties due to cost or location, fencing can be an effective way to increase perceived security and, therefore, the value as well.
3. Connecting Utilities
Connecting essential utilities such as power, water, and sewer systems can be a powerful value-adding intervention. However, this is a costly endeavour and is typically done by governments as part of community development projects. Private developers undertaking these tasks often need to recoup their expenses, which could impact the final property price. As an individual investor, it’s essential to consider the feasibility and potential returns of such interventions. If you are already close to a power access point or water line, paying for reticulation to your specific property will be worth the added value to the price when you sell.
4. Planting trees
Good landscaping and mature trees on a property can add to the value of the property. If you intend on holding the property you have purchased for a good while before reselling, planting trees is a good way to add significantly to the resale value over holding years. Do a little bit of research. Plant trees that are indigenous to the area will therefore have low maintenance costs. Also, look into how long the trees take to mature. If the land you have is zoned for residential purposes, plan the location of the trees strategically, knowing that one day a buyer may want to build a home on the property. Maintain the landscaping frequently, removing unwanted bushes and shrubs as needed. A well-maintained compound will fetch more than one that requires work after purchase.
Remember that these interventions should be carefully planned and executed, taking into account the current market conditions and future prospects.
Stay tuned for more enlightening articles, where we continue to share ways to help you make the most of your property ventures. Until next time, happy investing!