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Monday, March 10, 2008

A well-kept secret: Investing in Land Development

The wealthy have been doing it for years....

You've probably never heard about this opportunity...

Your financial advisor certainly won't be telling you about it...

What am I talking about??? RAW LAND DEVELOPMENT INVESTING

Raw land development is widely regarded as the most lucrative form of real estate investment. In fact, land development is one of the most lucrative investment vehicles available (and that includes stocks, bonds, commodities -- you name it).

200-500% increases in land value are common returns for professional land developers. (And, they can be even greater.)

Q: What exactly is raw land development?

A: Simply put, it is the process where raw, unimproved land is acquired by the acre and governmental approvals are obtained to prepare the land for building upon. This newly "improved" land is then resold to building contractors in surveyed lots and parcels.

Why should anyone consider raw land development as an investment?

1st, as I already mentioned above, it can be very lucrative. Who wouldn't want to share in these 200-500% potential returns? However, until recently you had to have millions of dollars to invest to even be considered as a potential investor -- and, even if you had the money, you had to be "invited" by a developer in order to participate. BUT THAT HAS CHANGED, as I'll explain a little later.

2nd, because these investments are typically secured by the value of the land that's being developed -- which is in contrast to stocks, for example, where you really have NO security at all on your investment.

A 3rd reason to consider land development is because unlike residential real estate, which we all know is in foreclosure in many markets, raw land development is aggressively expanding, particularly in 10 key markets around the U.S. In fact, it's widely held that we're on the ground floor of the largest "land grab" since the build-out following WWII. (Reference: "The $25 Trillion Land Grab", Business 2.0/CNN Money.com - NOV. 2005) -- click on image link below:



A 4th reason is because the population is projected by the U.S. Census Bureau to balloon by over 111 MILLION new people between NOW-2050 (a 36% increase in our population). And these new people will require new homes, schools and communities to support them, which DICTATES more land development!

At the end of the day, it's all about supply and demand. The demand created by the population growth will need to be supplied by more and more land development.

Guess what? It's happening right now! As I write, in the 10 key markets detailed in the article mentioned above, raw land is quietly and aggressively being acquired for development now and into the coming decades.

As I mentioned above, in the past, you couldn't participate in land development investing without millions to invest and an invitation from a developer. I also, mentioned that something has changed all that. What is it?

Well, several years ago, a new investment structure was developed, now allowing smaller, accredited investors who don't have millions to invest, but who want to participate in the 200-500% value increases possible with land development investments.

To learn more, click on the image link below:




Until next time, Retirement Wiz (email me at: johnha7@yahoo.com)

1 comment:

Frances said...

You might be surprised to learn that most of the rich people these days earn their money through real estate investments. If you wish to follow in their footsteps, you ought to check out how a real estate investing course could help you realize your dream.