Anybody investing in a Land Financial institution (i.e. blocks of vacant land)?

MrCheapo wrote: ↑Tue Sep 03, 2024 7:20 pm
The place I reside in CA there are many empty blocks of land promoting for a fraction of what they have been going for 20 years in the past. That is as a result of they’re close by areas which have been hit by wild fires and folks and insurance coverage firms have fled. It is a basic emotionally pushed sentiment that creates super shopping for alternatives. These are nonetheless pristine areas inside just a few hours of main metropolitan areas however the price of hearth insurance coverage is $5K+ for $300K houses and residential insurance coverage is similar. And it is nonetheless California so fascinating at many ranges.

To diversify outdoors of simply shares I used to be pondering of shopping for a number of adjoining blocks for about $100K and simply sit on it for a decade if wanted and reevaluating the scenario by promoting or constructing a get-away residence.

I determine my annual prices can be simply 3% as follows:

$1K property tax (1% of buy value)
$2K to take away the hearth dangers required by the county

to op:
query:
1
100k “every” and shopping for a number of = 3 or extra?
(do you’ve gotten 300k in money to purchase and sit on for 10 years???
Mortgage/mortgage or money? (supply of funding/mortgage)?
2
Do you’ve gotten expertise growing vacant land for revenue?
Do you’ve gotten the “working capital” (heaps) to do that?
3
what would you’ve gotten earned with 100k in case you invested it in your personal market based mostly monetary portfolio in 10 years, vs if the “vacant block of land” stays or turns into unsellable, until for a similar 100k or much less 10 years from now?
4
If one among these “vacant heaps” is in an space/neighborhood of houses (subsequent door), are there any of those houses on the market? How lengthy on market on common? Common “curb worth” promoting / gross sales value? (what they offered for, not what they’re asking)??

** Observe: if these “vacant blocks of land” had very optimistic revenue projections, main {and professional} land builders would have already purchased them up. Or in a short time as soon as available on the market on the market, typically earlier than they’re listed or identified to the general public. What’s often availble to the general public, and stays for a time, are the “leftovers”, “cash pits”, “white elephants”, and so on.

j