The reasons for buying land can be as varied as the people who buy it. However, there are a few commonalities that most people share.
Some people buy land where they want to eventually build a house and get away from busy city life, in order to enjoy the peace and quiet of nature.
Others buy land because they want to leave a legacy for future generations — given how inexpensive some plots can be.
Finally, not just people but businesses (such as developers and farms) also buy land for its ground usage, to either build upon or run a business from.
Land is finite
In the past, land has been seen as a resource that is limitless. However, with the population of the UK increasing (currently predicted to be 67.44 million by the end of 2022), there is less and less land to go around — especially if you count international buyers purchasing land too.
This indicates that there will possibly be more competition for what’s left of it, and therefore, possibly higher prices to pay too, due to its scarce supply and higher demand.
Less effort to own land
People may think that owning land is a privilege that not many people have. However, it can actually be seen as easier than owning a brick-and-mortar property.
For example, in comparison to a house; there are fewer amounts of bills to pay overall and there are also fewer things that can go wrong.
For instance, it’s harder to damage land and there is generally little to no repair work to be made on land, meaning, there’s not much you can do that can go wrong.
With that all said, land ownership can therefore be seen as an effortless asset to own, given it has lower problematic overheads and possible high pay-offs, should the land become of interest to nearby expanding cities and towns.
Lower competition
Since land is often a long-term investment opportunity, there is less room for competition to enter the market.
For example, most first-time buyers would rather buy a home than a parcel of land, thus cutting out a large portion of the overall competition.
Not only that, but in comparison to land, some investors may just be looking for shorter-term investments instead, such as a rental property. As it’s easier to rent property to people than land.
Flexibility of use
Provided the land has all the relevant planning permissions granted, land can be used for many things, generally including; new country-side homes, farmlands, large new-build estates and long-term investment assets.
If you’re looking for more reasons to buy land or just need some help getting started, get in touch with our team today, as we have a lot of land available for auction on our website.
This article is purely speculative and should not be mistaken for financial advice. Readers should consult a professional independently before making any financial decisions.