If you plan on constructing your own home, then you need to buy yourself one among the many plots for sale. In fact, these days, it is very easy to get a loan to buy a plot to construct a home. There are many banks and financial institutions that will be willing to give you a loan to buy a plot. Buying a plot can be difficult and tricky and one has no choice but to be very careful when doing so. Many people have ended up losing everything after buying land situated on road reserves or without valid titles. Before buying land, you need to consider several things.
The first thing to consider when buying land is of course your budget. Unlike buying a ready- made house, constructing your own home requires that you set up a budget and adhere to it from the beginning. You will need to not only set aside money to buy your plot but also to construct your home. It is also be wise to set aside some amount for unforeseen expenses.
Location, location, location
Next consider the location of your plot. This is important, especially if you are planning to build rental houses or some other commercial property. Consider your target tenants. Consider how far or near the property will be to facilities like schools and shopping centers. Of course, plots that are near a shopping centre are generally more expensive than those that are further away. On the upside, tenants will be willing to pay more for houses that are near the city centre where they can have speedy access to schools, transport facilities and hospitals. Therefore, the location of your plot will also be determined by your budget and what you plan to use the plot for.
Before you buy a plot in any location, especially if you are going to build residential houses, find out how much rent tenants pay for houses in the area. This will give you a rough idea of how profitable your investment will be. Do not spend a lot of money buying a plot in an area that is not good in terms of expected rent.
Find plots for sale
Next, you will need to find plots available for sale in your chosen location. Check in the local daily and even on the Internet. Many sites online list properties and land for sale. All you have to do is input your zip code and your budget. Many property agencies will help one find land. It is also worth asking your friends and relatives who live in the area to be on the lookout for a plot that is up for sale.
It is very important to make sure that the plot you are buying has a good title. If you buy a plot with no title, you may find yourself without a plot after having spent your hard-earned cash. Make sure the seller of the plot has a clear right over the property. It is a good idea to visit your local land office and make sure that the plot you are interested in has a genuine title. When buying plots, you can never be too careful.