When most people think of real estate investments, the first thing that comes to mind is buying a house. That’s not the only way to invest, though! Recreational land is a fantastic investment that allows you to make an income while also gaining property value.
Whether you buy land for fishing or four-wheeling, here’s why recreational land is a must-buy!
1. You Get To Access This Land Whenever You Want
The top reason people love owning recreational land is that you can have fun on it whenever you want! Land buyers who invest in recreational land can use this as their playground for off-roading, fishing, swimming, or anything else that they’d need open land to do.
Although you may have to drive for a short while to be able to get to the property, it’s nice to know you have access to it instead of having to rent from someone else or get a pass to use public property.
2. Added Income From Letting Others Use It
If you have a good enough fishing hole or a great piece of river, people will be willing to pay to rent it. How much they’ll pay depends on the size of your land and how good the perks are, but you can get as much as a couple hundred a day for someone to rent it out to camp and fish on. This can quickly add up, meaning that just renting it out four times a week could leave you with over $41,000 of income a year. This allows for the land to pay for itself in no time.
3. Investment As Property Prices Are Increasing
Property prices everywhere are rapidly rising. That means that getting a piece of land as soon as possible so that you can ride this wave is a great plan. The nice thing about recreational land is you won’t have to flip it for the next buyer. Instead, you can leave it as-is, and if the area becomes popular and your land gains enough value, you can sell it to developers looking to buy land that hasn’t been touched yet.
Be careful when doing this, though, since many properties will take longer to gain value since they’re further away from town. So instead, try to find a plot of land that’s within a couple of miles of a property that’s been built on. This will ensure that anyone who wants to build on it is close enough to hookups that the price of putting in water, cable, and electricity won’t scare them away.
4. Far Less Maintenance Than The Average Property
The average investment property needs a lot of maintenance. This comes in the form of lawn mowing, planting flowers and gardens, power washing any buildings, replacing roofs, and generally caring for the property and the house on it. Owning recreational land allows for you to be a little more hands-off.
At most with recreational land, you may have to find a way to keep mosquitoes and ticks at bay, which is far easier than mowing a lawn every week. If your property has a closed-off pond, you may want to feed fish into it so that anyone coming out to fish has a good chance of catching something.
Most recreational land needs occasional check-ins, and not much more than that.
5. Many Vacant Lots Can Have Tax Deductions
In some states, there are tax deductions for buying a vacant lot! This is an incentive to try to convince people to start construction on a home or development. Although you’ll be using it as recreational land, that tax deduction can be a nice perk to have during tax season!
6. You Can Develop It If You Want To
Although the main perk of recreational land is that it’s mostly untouched if you one day decide that you want to develop it: you can! This means you can use it as an income property until you choose to build a house on it or create a space for your business. Although you could still rent it out after building on it, it would change it from being recreational land anymore.
This is a good idea to keep in the back of your mind if you’re unsure about buying recreational land, but it shouldn’t be the main reason you buy.
Recreational Land Is An Awesome Investment
It doesn’t matter if you’ve never bought land before, or this is your hundredth property: recreational land is an awesome thing to invest in. Recreational land gives you the freedom to do whatever you want, from fishing to skiing, and offers you the opportunity to make a space for yourself. Although it’s limited by how much space you buy and what land features are available, the options for what you can do with it aren’t.