Investment in land is profitable. How to invest in land and earn (how much)? Examples. key restrictions related to the intended purpose of land

Hello, dear readers of the financial magazine “site”! Today we will talk about investing in real estate.

From this publication you will learn:

• What are the advantages and disadvantages of this type of investment;
• Various real estate investment options;
• Features of investments in construction;
• How to start investing with a small amount of available funds.

In addition, at the end of the article you will find answers to frequently asked questions.

The article will appeal to you and will be useful for those who are just looking for ways to invest own funds, and experienced investors. Don't waste time, start reading. And perhaps in the near future you will take the first steps towards successful investment in real estate.

What are the main pros (+) and cons (-) of investing in real estate, which real estate is better to invest your money in, what are the ways to make a profit from this type of investment - read more about this and more

1. Pros and cons of investing in real estate - main advantages and disadvantages 📑

Every reasonable person thinks about profitable investments. It is important that investments protect money from harmful influences inflation. At the same time, it is desirable that invested funds worked and brought in additional income.

Will help you achieve the above goals investment instruments, used over a long period of time. At the same time, it is important that they have minimal risk and were very promising. That's exactly what they are real estate investment .

The need for housing arose many years ago and continues to this day. It will not go anywhere in the future. Therefore real estate Always will be in demand, which means it is an excellent investment tool.

Moreover, such investments represent a completely acceptable option for doing business. To do this, it is not at all necessary to have huge sums of money. You can still invest money in real estate at the initial stage of construction. In addition, it is possible to become a member of a housing cooperative by purchasing a share in it.

Like anyone else financial instrument real estate investing has both pros , so minuses .

Among the advantages (+) of this type of investment are the following:

• real estate has high liquidity;
• over a long period of constant profitability, For example By renting out the purchased property, you can make a profit for many years;
• relative availability of investments;
• wide range of investment options.

Despite the significant advantages of investing in real estate, like all existing investment options, they are subject to risk.

The main disadvantages (-) of such investments are:

• the demand for real estate is quite significantly dependent on the economic situation in the country as a whole and a particular region in particular;
• real estate prices are quite high;
• in small towns the demand for real estate is at a fairly low level;
• high additional expenses- utilities, repairs, taxes.

Moreover, there is also the possibility force majeure . It happens that the price of a property drops sharply due to force majeure. For example, apartments in an ecologically clean area will become cheaper if a factory or a busy highway is built nearby. As a result, the investor will not only earn nothing, but also lose part of the invested money.

To avoid most problems, before investing, it is important to carry out preliminary analysis . It compares possible investment options and examines various factors and circumstances that can affect the value of a property.

Popular options where it is profitable to invest

2. Which real estate is profitable to invest in - 8 popular options + comparison table 📊

Investment experts believe that investing in real estate is much less risky than trading on the stock exchange, investing in startups and businesses. This is explained simply: real estate very rarely gets cheaper.

It is most profitable to invest money in immovable objects V large cities. This is especially true for residential premises. In this case, there is a direct relationship: The larger the city, the more profitable it is to invest money in real estate. This fact is connected, first of all, with the difference in liquidity for it in different cities.

But it is important to understand that in each locality you can find your own suitable real estate for investment. To obtain maximum profit, should be carried out thorough analysis all existing directions and choose the most profitable one.

Option 1. Residential property

This option is the most accessible private investors. The risk of investing in residential real estate is minimal.

There are two ways to make money by purchasing residential real estate:

1. purchase with a view to subsequent resale at a higher cost;
2. purchase for rental .

In any case, when buying an apartment, it is important to pay attention to the following criteria:

• location— in a prestigious, residential or student area, environmentally friendly, remote from the city center;
• room layout, including the presence of a balcony, combined or separate bathroom;
• state— availability and quality of repairs;
• infrastructure— how far are kindergartens, schools, clinics, bus stops located? public transport, the shops.

In general, any criterion, even a seemingly insignificant one, can be important for buyers:

• view from the window;
• floor;
• neighbours;
• contingent of the location area.

To buy an apartment (or other residential property) as profitably as possible, you will have to look for it on one's own , without the help of a realtor. However, it is important to check the purity of the transaction. About how to do this both at the primary and secondary market housing, we talked about in the last issue.

Option 2. Commercial real estate

This option is for more experienced investors. Such investments are suitable for both small office and retail space, and large buildings designed to house warehouses, supermarkets, and production workshops.

Such premises are invariably in quite high demand. A huge number of businessmen are looking for space to conduct business and are ready to give it to the owner rent. To those who purchase commercial real estate, all that remains is to regularly receive a profit from your investments.

Rent is a classic option for obtaining . The investor's profit in this case does not depend on the time spent on work.

It is useful for an investor to know that when choosing commercial real estate as an investment object, it is necessary to have a sufficiently large sum of money. Contributions in this direction usually begin with five -seven million rubles.

Option 3. Land plots

To purchase a plot of land, a smaller amount of money is required than to purchase an apartment or commercial property.

There are a number of advantages of investing in land:

• minimum level of fraud probability;
• no repairs required;
• lack of payment for utilities;
• the purchase procedure is simpler than for other real estate;
• relatively low taxes;
• simple design;
• there is no need to resort to the help of realtors.

All land plots can be classified by purpose of use. For short-term investments With minimal costs the areas that are used are most suitable for construction . More long-term investments should be done in lands intended for use in agriculture and industry .

But there is also flaws investing in land. Firstly, the state has tightened control over ensuring that land is used in accordance with its intended purpose. Besides, taxes on this type of property have recently been increased.

Option 4. Country property

Purchase of country real estate for the purpose of its further resale stably profitable occupation . This is especially true for major cities due to the fact that more and more often their residents are trying to settle or have the opportunity to relax as far as possible from city noise and dirty air.

There are several options for investing in countryside real estate:

• acquisition of objects under construction;
• investing in ready-made cottages;
• purchase land plots, intended for the construction of suburban real estate.

The prospects for investing in country real estate increase over time. But when choosing an object to purchase, you should pay attention on its location, existing infrastructure and communications. Other factors that are important for creating comfortable conditions residence.

Option 5. Property under construction

Another investment option is investing in real estate properties under construction (new buildings). Despite the fact that the risk of this option is somewhat higher, you can also get much big profit.

This is explained very simply– a property under construction costs much less than on the secondary market. Therefore, if you invest funds at the initial stage, after completion of construction the prices will most likely increase significantly will grow up. As a result, the investor will receive tangible profits.

Risks when investing in real estate under construction are most often associated with the developer company. If he is unreliable, he increases risk the following situations occur:

• untimely commissioning of the property;
• complete freeze of construction;
• If construction is illegal or there are no permits, the complete demolition of the building is possible.

That is why, before investing in real estate under construction, an investor needs to conduct a thorough analysis of the developer.

It is important to study not only the company’s reputation, but also the following characteristics:

• time of existence of the company;
• number of completed and commissioned facilities;
• whether there have been downtimes during the construction process in the past, their duration and reasons.

Successive stages of investment in construction

5.3.

How to invest in construction correctly - 5 main stages

Any investor knows that investing according to a pre-prepared plan allows you to increase the level of profit and minimize the risk of investments. Investments must be made consistently, in accordance with the developed strategy. There are five stages in this process.

Stage 1. Selection of developer A mandatory and important activity at the initial stage of investing in construction is developer analysis

. It is important not only to find out the name of the developer, but also to clarify what his reputation is. Experts recommend investing only in those projects under construction, the construction of which is carried out by a well-known construction company in the city.

• When choosing a developer, it is important to consider:
• company reputation;
• how many facilities the company has already put into operation;
• reviews;
• how experienced the company is in complex construction;
• how many investors does the developer have;
• partnerships with credit institutions (banks carefully choose with whom to cooperate, conduct a thorough analysis and do not interact with developers who have a dubious reputation); 214 How carefully does the developer comply with the law (the main regulatory act is federal law

-FZ).

In Moscow and the Moscow region you can trust the following developers: GC PIK – one of the largest developers in Russia. The company was founded in 1994, it successfully sells large construction projects throughout Russia. Focuses on construction affordable

housing. Over the years of activity, about 250 thousand apartments with an area of ​​15 million square meters were built. m. It is one of the systemically important enterprises in the Russian economy. A101 Development — the company has built about 500 thousand sq. m. residential real estate, as well as more than 50 thousand – commercial . The developer is also building kindergartens and schools interacting with the budget. Cooperation has been established with several large banks within the framework of programs mortgage lending

Capital Group is a company that deals with the full cycle of construction activities, from analyzing sites for construction to finishing the finished property. 71 projects were completed, resulting in the construction of 7 million square meters. m. of area. The company's facilities are named best projects in Moscow and the Moscow region.

Stage 2. Selecting an investment object

One more important stage investing in real estate under construction is selection of a suitable object. The best place to start is in the area where the demand for residential space is highest.

When choosing an investment object, it is important to consider the following parameters:

• infrastructure;
• proximity to public transport stops and metro stations;
• other characteristics that affect the degree of comfort of living.

If you are planning to invest in commercial real estate, you should think about the investor's ultimate goal in advance. It would also be a good idea to draw up a professional business plan.

Stage 3. Negotiations

When the developer and the investment object are selected. You can start conducting negotiations. It is important to understand that, in accordance with the laws of our country, it is impossible to register rights to real estate under construction.

However, the investor has the right:

• draw up a share participation agreement;
• join a construction cooperative;
• register an investment deposit;
• conclude a share agreement.

Experts advise choosing a share participation agreement.

In addition to the method of registering the agreement, the conditions for depositing funds are discussed. The main ones are the acquisition in installments(payment in installments) and one-time deposit of funds, but other options are also possible.

Stage 4. Studying the documentation

All agreements entered into must comply current legislation. It would be a good idea to check them with the help of an independent lawyer. Many people think that this is extra waste money. But it is not advisable to skimp on transaction security.

Stage 5. Conclusion of an agreement

The final stage of the transaction is conclusion of an agreement. Before signing the final agreement. It is important to carefully study all its points.

In this case, you should pay attention to:

• when is the construction planned to be completed;
• what are the terms of termination;
• the price should be fixed, there should be no conditions on the basis of which it will change;
• fines in case of violation of the terms of the contract must be specified for each party;
• force majeure circumstances.

It is important to approach the transaction for the acquisition of real estate under construction with the utmost care and responsibility. It is important to remember that there are risks that can be reduced by strictly following the sequence of investment stages.

5.4.

How to make money on investments in construction - TOP 3 working methods

An investor should know which ways to make money by purchasing real estate under construction are the safest and most proven.

Method 1. Renting Earnings from the transfer of real estate for rent represent long term investment

. But this option has a stable level of profitability. The payback period in this case exceeds five six

years. But do not forget that the areas in any case remain the property of the investor. IN major cities there is a demand for various types of rentals residential real estate

: luxury apartments for a day, rooms located in residential areas, studios for young families and others. If we take into account commercial real estate , it can be noted that the demand for it from entrepreneurs is also consistently high. Particularly popular in large cities are premises located in business and shopping centers . The only disadvantage of commercial space is the need for investment.

quite large sums of money For purchase apartments 1,5 -2,5 usually it's enough If we take into account million rubles. If you plan to invest in , it will take approximately 2-3 times

large sum.

Method 2. Purchasing an apartment under construction for selling it after commissioning If you purchase real estate under construction for resale, you can recoup your investment quite quickly - 1 -2 already in of the year 100 . The faster the construction of the facility is completed, the more interesting it will be for investors. Particularly successful investors receive income in the amount of

% of invested funds. It is important to evaluate other possible options.

It is possible to carry out high-quality repairs in a finished apartment. As a result of such actions, its cost will increase by about a quarter.

Method 3. Participation in collective investments Investors who are looking for the safest options for investing in real estate under construction can be advised cooperate with intermediaries . In this case, you can become a member professional investment project without buying real estate at all. To do this, it is enough to join a collective investment fund

There are several reliable funds in Moscow and the region that invest in real estate. Including those under construction:

E3 Investment- Here minimum amount to enter is 100 thousand rubles. When profit is guaranteed at the level 25-90 percent. All investments in the fund are insured. The investor can independently choose the payback period for the investment from six months before two years. Investors' funds are invested by professionals in highly liquid real estate, leaving the investor to make a profit. This option is passive income with guaranteed profit and minimum level risk. The company provides information support, and free consultations investors.

Sminex- the company invests in finished apartments, as well as objects at the construction stage. The company builds houses itself, as additional service investors receive renovation of apartments. In addition, the company takes care of finding tenants. The company builds cottages, residential buildings, commercial properties. Experts call the undeniable advantage of the presented organization its focus on achieving high quality of real estate under construction, as well as their safety during operation.

Thus, there are several ways to make money on real estate under construction. They differ not only in the level of profitability, but also in the efforts required from the investor.

5.5.

4 main risks when investing in real estate under construction Any investment involves the risk of losing your investment. To minimize the likelihood of losses, you should early

study what schemes scammers use in the real estate industry, and what you should be afraid of when investing in construction.

Risk 1. “Soap bubble” The first way to deceive gullible investors is extremely simple. Shell companies sell to gullible investors myth

, and not actual objects under construction. All work on construction sites is carried out solely as a distraction. Often similar projects organized and conducted through various legal structures. As a result, deals look from the outside absolutely legal

. However, as soon as the scammers collect a sufficient amount of money, they disappear along with the investors' contributions. The first way to identify a soap bubble – greatly reduced value of real estate. An investor should compare prices to the average in the area under consideration.

It is also important to make sure that information about the developer is available in the official register. It includes all existing construction companies. Therefore, if the company in question is not on this list, it is not a real legal entity.

Risk 2. Bankruptcy of the developer

There are many reasons why a construction company may go bankrupt:

• ineffective management;
• misuse of funds;
• lack of finances;
• high costs.

Naturally, the lack of money affects not only the construction company itself, but also investors. To avoid such a problem, when choosing a developer, you should focus on large company , which has already put a large number of constructed facilities into operation.

Risk 3. Failure to meet real estate delivery deadlines

Another nuisance for those investing in real estate under construction is failure to meet construction deadlines . This risk is especially unpleasant for those who purchase real estate using credit funds. The lender does not care when the property will be put into operation; it is important to him that all debts are repaid on time and with the appropriate interest.

Experts have come to the conclusion that every day of missed deadlines eats up 0,01 % of investor income. In percentage terms, this is not much. However, in terms of rubles it turns out a decent amount, especially when commissioning is delayed for several months or even years.

Risk 4. Force majeure situations, as well as unpredictable changes in the real estate market

These circumstances can also lead to the loss of part of the investor’s funds. An example of force majeure is the onset of a long economic crisis . As a result, supply in the real estate market may significantly exceed demand. This circumstance leads to significant reduction in property value– often by 10 -20%. Even when the situation levels out, investors will already have lost some of their potential income.

Another example of force majeure is natural disasters (forest fires, floods, earthquakes), wars, industrial disasters. The only way to protect yourself from such risks is insurance of real estate under construction.

Thus, like any type of investment, investing in real estate under construction is accompanied by various risks. Some of them can be minimized by conducting a thorough analysis during the process of selecting an object for acquisition. In other cases, insurance helps avoid unpleasant consequences.

6. Practical recommendations for increasing profits from real estate investments 💎

When investing money in real estate under construction or ready-made, any investor strives maximize final profit. You can do this using the methods below.

Recommendation 1. Make a redevelopment and coordinate (legitimize) it

Redevelopment of a residential property- the simplest option that allows you to make your home more functional without changing it total area. If you carry out redevelopment activities correctly, you can increase the cost of an apartment or house by 15 -30%.

At the same time, you should not carry out uncoordinated redevelopment. All planned changes must be registered with the authorities dealing with these issues. Today it is the architectural department in BTI, as well as the district administration.

It is important to know that the law prohibits making certain types of changes to the layout, For example, demolish load-bearing walls, and also expand the kitchen at the expense of the living space, increasing its size by more than a quarter.

Recommendation 2. Add additional space

This cost increase option is available for private houses and cottages. There you can build additional floors, convert attics into attics, build a balcony or veranda, and make other architectural changes.

Recommendation 3. Make quality repairs

If you make high-quality repairs, the price of the apartment will increase by approximately by 15 -25%. The profit will be higher if you do the repairs yourself, investing only in the purchase of materials.

Important to buy quality materials. Buyers can easily distinguish high-quality consumables from cheap Chinese ones.

Recommendation 4. Convert residential real estate to commercial or vice versa

Having studied the demand for real estate in a certain area, you can transfer residential real estate to residential and vice versa. Making a profit from repurposing residential areas commercially relevant for large cities, especially for business districts and walkable streets.

Thus, it is important not only to invest in real estate, but also to subsequently try to extract maximum profit from it. And we told you how to do this above.

Ways to invest money in real estate with low capital

7. How to invest in real estate with low capital - 3 real methods 📄

Many people believe that not having a large enough amount of money is an obstacle to investing in real estate, but this is not true. Smart business people can get by minimal means, and also attract additional amounts. There are several methods to do this.

Method 1. Raising borrowed funds

The most popular way to increase investment capital – loan processing for the purchase of real estate. Today, many banks provide such loans.

By the way, we talked about this in one of the previous articles of our magazine.

The investor should take into account the fact that any borrowing is associated with the payment percent. Therefore, it is important to consider additional costs during the analysis process. The planned income must cover the interest on the loan and provide profit.

For a loan you should apply to large credit organizations With positive reputation.

It is not necessary to take out a loan with interest. Many wealthy relatives give loans to loved ones without charging additional fees.

Method 2. Attracting co-investors

An ideal option for investors who have insufficient capital is unite . For those who have carefully thought through the project and convince others of its effectiveness, finding partners will not be a problem.

Method 3. Choosing the right strategy

Any investor understands that competent investment planning is an important component of their success. Those who lack investment knowledge may be advised to seek help from more experienced investors.

An example of high-quality support for beginners is various investment clubs. Such projects bring together investors who pass on their experience to beginners. Clubs offer various activities– courses and seminars, telling in detail about private investments. Considerable attention is also paid to investments in real estate.

The following questions are studied on the topic of real estate investment:

• strategies;
• how to enter the world of investing with minimal capital;
• investments in different kinds real estate;
• rent and sublease.

Thus, insufficient capital is not an obstacle to investment. Any purposeful person will find ways to achieve profitable investment.

8. Help from professionals when investing in real estate ⭐

Help from professionals it's never free. However it helps much increase the level of profitability of investments.

For those investors who wish to minimize risks, but at the same time ensure a sufficiently high profit, it may be advisable to collaborate with experts in the field of real estate investing.

In Russia, three companies working in this direction can be particularly distinguished:

E3 Investment offers to invest in long term into different types real estate. This ensures a high level of income. This is the minimum threshold for entry into the real estate market. Investors can deposit an amount of 100 thousand rubles.

Those wishing to invest in this company can immediately find out the level of expected profit. To do this, just use the calculator on its website.

Contributions to investment company characterized by a high degree of reliability. All types of assets have three types of insurance.

Activo offers access to the most liquid areas. Investment security is ensured through independent collective ownership. When investing funds from two million rubles, the company guarantees a profit in the amount of 11,6 %.

The investor purchases real estate and transfers it to professionals for management. The company provides its clients with full reporting every month and also guarantees the safety of their invested funds.

Gordon Rock is a real estate agency represented on international market. Investors, using the services of the company, can invest cash to hotels, commercial and residential real estate located abroad.

The following services are also provided:

• purchasing hotel rooms, catering facilities, medical centers, mini-hotels;
• purchase of real estate for persons of retirement age;
• investment in ready business in several countries of the world;
• consultations and seminars on effective investing.

Thus, to invest in real estate, you do not need to have a lot of capital and significant knowledge. It is enough to turn to professionals for help.

9. Frequently asked questions (FAQ) 💬

The topic of investing in real estate is multifaceted and difficult to understand. Therefore, many investors have various questions on this topic. Especially it concerns newcomers . We will try to answer the most popular questions.

Question 1. Where is it more profitable to invest money: in real estate or in a bank for a deposit?

Often people without experience in investing, who have an impressive amount of money, wonder what to do with it - buy an apartment and rent it out or put it in a bank as a deposit?

Let us assume that the investor has available 3 000 000 rubles Let's consider both investment options.

1. If you put money in a bank at 10% per annum, you can earn in 12 months 300 thousand rubles, if the terms of the deposit do not provide for capitalization. Read about and how to calculate your contribution with replenishment and capitalization in a separate article in our magazine.
2. Now suppose that the investor bought with the funds available to him one-room apartment in Moscow. By renting it out, he will receive 25 thousand rubles a month. As a result, the same amount of money will accrue in a year 300 thousand rubles.

When comparing the two options, you should not lose sight of the fact that in the case of rent, additional costs arise - for utility bills, taxes, repairs and others. In addition, you will have to spend a significant amount of time searching for a suitable property and settling tenants.

It would seem that deposits are much more profitable than buying an apartment and then renting it out. But this is not entirely true; when analyzing the example, we did not take into account the presence of inflation. The depreciation of funds gradually eats up savings.

It is worth considering important rule investment — You can’t trust official data on inflation levels. In fact, money depreciates much faster. It turns out that in best case scenario interest on the deposit will cover inflation, but it is unlikely that you will be able to make money on such investments.

At the same time, real estate prices rarely fall. In the long term, its value increases. Rent is also constantly becoming more expensive.

Thus, it turns out that when considering short term You can earn more on deposits. However, given that apartments are becoming more expensive, it can be noted that real estate helps to more effectively resist inflation.

Question 2. Which property is more profitable to rent out: residential or commercial?

Some investors purposefully analyze the real estate market in order to understand which properties are more profitable to rent out - residential or commercial. In general, it is impossible to answer this question unambiguously, since there are commercial and financial risks in the market.

For large investors are usually preferred commercial real estate . Experts believe that such investments pay off much faster. However, due to their features, they are more difficult for beginners.

Concerning there is a demand for various types of rentals , it is profitable to rent it out to those who received it without cash costs, for example, by inheritance or as a gift. When purchasing such a property, it will take a very long time to pay off.

Worth understanding that investing in commercial real estate is quite risky. This is due to the fact that they are more influenced by the situation in the country’s economy, for example, the onset of a crisis period.

Investments in commercial real estate are subject to other types of risks that are difficult to account for. As a result, errors may be made in the process of calculating the required capital, which will ultimately lead to an increase in the likelihood of purchasing an object with low liquidity. Such investments can not only bring profit , but also entail significant losses .

However, speaking of financial relations, it can be noted that in the case of commercial real estate they much more stable than that of residential property owners and their tenants. When renting a commercial property, the tenant is interested in keeping it in proper condition. This is due to the fact that the condition of the areas where activities are carried out shapes customers’ opinions about the company. Tenants rarely try to keep their property in the best condition possible.

A special issue is the income received from rental different types real estate. Everyone knows that when comparing premises of similar area, commercial properties generate much more income than residential ones.

Note! When buying real estate, an investor must analyze what potential income will it bring? . This is especially true for those properties that are already leased. It is quite possible to make a forecast of the profitability of a property at the time of its acquisition.

You should also compare efforts required to manage multiple properties. Naturally, objects there is a demand for various types of rentals(even if there are several of them and they are located in different parts of the city) are much easier to manage than, for example, trade area, divided into parts and leased to several businessmen. It is all the more important that commercial real estate is rented out for a much longer period than residential real estate.

Some investors will argue that today real estate management can be transferred to specialized organizations. But this again requires additional cash investments.

What conclusion can be drawn from this?

Thus, it is more profitable to rent out commercial real estate. However, this requires a significant investment of money and effort from the investor, as well as high-quality knowledge regarding the conditions of the market itself.

Investments in residential real estate are available to a wider group of investors. Money capital this would require much less. At the same time, such real estate can become a source of practically passive stable income for a very long period of time.

But still, investors who have at least minimal experience in investing in real estate can be given important advice. Before making a choice in favor of any property, it is worth conducting a thorough analysis of all possible options, focusing on both residential and commercial real estate.

Question 3. How to buy real estate as cheaply as possible?

It is unlikely that anyone will doubt that real estate is a profitable investment option. However, there are ways to significantly improve your bottom line. To do this, you can use tips on how to buy real estate as cheaply as possible. Under good circumstances, you can save about 30 % of cost.

Let's consider the possible options:

1) We discussed in detail acquisition of real estate under construction . Such investments are profitable and have good returns. However, the level of risk in this case is much higher.

Unfortunately, it is possible that the construction of the house by the developer will not be completed on the appointed day. Moreover, there are cases where houses have not been put into operation for many years. In such situations, it is often unclear whether construction work will be completed at all.

In most large cities there are several associations of defrauded shareholders. These people, for various reasons - for personal needs or for investment purposes - bought apartments in houses under construction, but ultimately stayed with broken trough . Sue construction company It can be difficult, especially if she declares herself bankrupt.

2) Another option that allows you to reduce the amount of investment is acquisition of real estate without renovation . The investor invests in Finishing work, after which the price of real estate immediately increases. With a successful combination of circumstances, carrying out high-quality repairs using high-quality materials, you can quickly get about 15 % arrived.

3) Investors with experience in the real estate market use even more interesting ways to save money on purchasing an investment property. For example, many of them acquire real estate confiscated for various reasons and put up for auction .

In the case of recognition of companies, their creditors are interested in returning the money due to them as quickly as possible. Therefore, bankrupt property is often put up for auction at very high prices. greatly reduced prices. We wrote a separate article about trading and trading.

4) Due to the emergence large quantity In the event of non-payments on mortgages and other types of secured loans, credit institutions often seize property from their clients, which under the contract was a guarantee of the return of funds. Such real estate is also sold at reduced prices, since the speed of return of own funds is important to banks.

Where to look for such offers:

On the Internet you can find specialized sites that contain information on the sale of real estate confiscated from debtors, as well as those seized as collateral. Often investors here find very interesting options for investment.

In addition, information on the sale of collateral and confiscated real estate legal entities contained in the relevant register for their bankruptcy.

Question 4: What books on real estate investing should a beginner read?

Any issues related to the field of finance require certain knowledge from those involved in them. Therefore, it is important to study specialized literature on the topic of interest. Investments in real estate are no exception.

Book 1.

Many professional investors believe that the best book on real estate investing was created by Robert Kiyosaki. It is called quite trivially - “Investments and real estate”.

Also in this work there is a huge amount of advice that does not lose its relevance, and other stories that professionals share with the reader.

Book 2.

This is the perfect book for newbies in the field of real estate investment. It is told here in an accessible form, beneficially and correctly.

The work contains detailed, high-quality structured instructions on what actions a beginner needs to perform.

Anyone who wants it, even without having financial education, will be able to extract a lot of useful information from the book, reading it with ease.

Book 3.

This book is ideal for those who have some knowledge of investing. It will help you learn more about how to work with investment objects.

The reader will learn how to choose the most profitable property, how best to work with a huge amount necessary information and documents.

The work also places great importance on how to maximize profits.

Book 4.

Instead, the work contains useful information about how to invest in real estate without risking losing personal money.

In addition, it tells you how to get a good profit from such investments.

Book 5.

The book tells you what ways, besides reselling, there are to make money from real estate investments.

After reading, the investor begins to realize that there are a huge number of ways to make money by carrying out such activities.

10. Conclusion + video on the topic 🎥

Thus, investing in real estate is a promising way passive income. It does not matter how much money the investor has. IN modern world You can even start making money from investments with a small investment.

However, it is important to constantly educate yourself and try to learn as much useful information as possible.

And a video - “How to create inexhaustible income in the real estate market”:

That's all for today. Have a successful and profitable investment in real estate!

If you have any questions or comments on the topic of this publication, leave them in the comments below!

The real estate market has a lot of structure, there are hundreds of nuances in it, and to become successful, you will have to navigate in all directions and adhere only to modern strategies, or better yet, develop your own.

Anyone can learn to invest in land. The fact that this is not taught in universities does not make the information classified. You can always gain knowledge in practice yourself, or ask a professional for advice.

Step 1 - get rid of uncertainty

You are ambitious, full of energy and have already earned your start-up capital, But money supply is melting under the rays of inflation, and everyone around is saying that money should work. This situation puts pressure and a feeling of uncertainty arises, a desire to throw away everything that seems difficult. It seems that investing in real estate requires a bag of money, that “this topic is not for me,” that everything has been grasped for a long time and it is better not to even twitch. Therefore, the first thing to start investing in land is to get rid of uncertainty.

Getting advice from a relative or friend is a great idea, people should use their social capital and each other's life baggage. Share your experience - it's useful. However, most novice investors make the classic mistake of taking advice from those who don’t understand anything about investing. With the same effect, people themselves give each other stupid advice.

When you come for advice on how to invest money in land plots from a friend, you will receive a set of vague hypotheses that will only clog your brain. A friend or neighbor is unable to provide useful information because he does not have it. Theories, hypotheses and rumors - all they can do to help you.

At the initial stage, stick to following rules effective information exchange:

1. Friends and family are wonderful people, but they are not the jury and should not judge your every move. Seek their advice when you are confident in their competence;
2. Energy and information connection with people is necessary. Especially if you are joining a new environment. Establish and maintain relationships only with professionals or ambitious like-minded people. Avoid losers and whiners.

Step 3 - study the territory development plan

A profitable investment in land should start with monitoring the regional development plan. The data is publicly available on the region’s municipal website.

Knowledge of the region’s development plan allows you to:

1. Make an objective forecast of the region’s development for the next 5-10 years;
2. Understand the direction of urban expansion;
3. Buy land plots before starting infrastructure construction.

What determines the price of a plot of land?

To better understand the structure of price formation for land plots, I propose to consider the factors influencing the price, using the example of plots for individual housing construction. So, the price of land depends on (in order of importance):

1. Location and standard of living around the land plot (the richer the neighbors, the more expensive your land);
2. The size and shape of the land plot (it is very difficult to build on curved and oblique plots, and a large plot size is more expensive to maintain);
3. Access roads (asphalt to the site is a stomping ground);
4. Availability of communications and the prospect of their connection (electricity, gas, water, sewerage, Internet);
5. Availability of public transport (they will not take a taxi to visit you);
6. Infrastructure: shops, schools, hospitals, etc.;
7. Natural landscape: forest, river, pond;
8. Other burdensome factors (remoteness of landfills, waste treatment sites economic activity, farms, transformer substations, airports and industrial enterprises).

Now that we have learned what the price of a land plot depends on, we can move on to strategies for investing in land plots.

Strategy No. 1 - divide the plot for private household plots into plots for individual housing construction

First you should study the Land Development Plan and types of permitted use municipality in which you plan to invest money. Study cadastral prices for land in several municipalities in your region. If the cost of land plots is clearly too high, move to neighboring ones.

Step 1 - search for a site

After analyzing prices, we find a plot of land from the owner for running a personal subsidiary plot (LPH) and, preferably, about 50 acres in size. Legislatively, the sizes of land plots transferred to citizens for different purposes differ: for example, maximum size land plot for private household plots - 50 acres, and for maintaining an individual housing construction(individual housing construction) - 20 acres. However, no one sells land for individual housing construction for 20 acres, since it is more profitable to “cut it up” and sell it in parts (which is what we will do next).

Step 2 - surveying

Strategy No. 9 - waiting

Cottage villages are now popular, but new plots of land are united by one rule - at the first stage, while roads, electricity and gas are not yet connected, the plots are 20-50% cheaper than at the end of sales. Of course, not every owner of a cottage community will want to sell land cheaply, but otherwise, he will see the first sales only after communications have been installed, and this is at least 1-2 years.

Profit

If a new division of land plots is promising, contact the owner and offer your price. For example, 50% lower than the price for which you want to sell it yourself.

How to set goals like a pro

In investment strategies, it is important to be able to predict, evaluate and create a plan from the information received. It is important to set the goal correctly. Specify and describe your goals point by point using the “SMART” method of American marketers. The goal is achieved when it:

• Specific - Specific (for example, increase investments by 30%);
• Measurable - Measurable (how the result will be measured: rubles or dollars; per month or per year);
• Achievable - Achievable;
• Realistic - Current;
• Time - Limited in time.

conclusions

Investing in land is a complex of knowledge, work and luck, the ability to think strategically and make plans for at least the next 5 years. It is easier for people with an entrepreneurial spirit to assess risks, but “humanitarians” also have every chance of profit.

Updated legislation and available information, allow any citizen of the Russian Federation to independently develop investments in land. Land use and development rules, knowledge federal laws and paperwork - will always be useful to you in the future.

In some places, land is very inexpensive; a whole plot can cost only a couple of thousand dollars, it all depends on the location of the plot.

• Possibility of capitalization;

You can always increase the value of the acquired plot by improving it or building some kind of structure on it.

• wide range of functional uses;

Depending on the location, the plot can be used both for commercial purposes and for the construction of a residential building or cottage.

How can invest money in land?

I will list the main ways to invest in land:

• Acquisition of land for its subsequent resale for profit;
• Purchasing a plot of land for construction, and then selling or renting out the property along with the land;
• Acquisition of land in a cottage community to build a residential building there.

The profitability of the first method will depend on how well the location of the site is chosen. Average yield, in my estimation, it could be 20-30%. However, it is worth paying attention to studying the development prospects of the area where the site is located. If this is some kind of dying village without proper infrastructure, then in 2-3 years its cost may be even lower than when purchased. And vice versa, if locality is actively developing, then your land investment may turn out to be much more profitable than 30%.

The second method is rather long-term; it is unlikely to pay off in 2-3 years, and you need to be prepared for this. In this case, funds will be needed both for the purchase of the site itself and for payment construction work. Here it will also be necessary to carefully analyze the development prospects of the region so as not to build a facility in a hopeless wilderness.

The third option is an analogue of the second, only more reliable, so I decided to consider it separately. Firstly, if a cottage community is being built, it means that the area is promising and there is no need to analyze anything. Secondly, such facilities provide for the creation of appropriate infrastructure - water supply and sewerage, gasification, etc.

The nuances of investing in land plots

After searching for a site suitable for investment, you should try to collect as much information as possible about it. The fact is that the acquisition of land itself can be quite a risky undertaking, with high probability losses.

First of all, you should check the legal purity of the land: is it not in alienation or under arrest, is it in shared ownership or perpetual lease, etc. Also find out whether the site is part of the lands belonging to special environmental zones. In general, for such transactions it is better to involve a lawyer specializing in land transactions so that he correctly draws up everything Required documents and checked the ones that are there.

It’s worth taking a closer look at what’s growing in the area, at what depth groundwater whether this area is at risk of flooding and study the composition of the soil. The land may turn out to be infertile or unsuitable for the construction of any structures. In addition, it is important to evaluate transport accessibility plot, it may be located in the most picturesque and beautiful place with amazing nature, but if on the way to it there is a risk of getting stuck in a swamp, there are unlikely to be many people who want to have such a dacha.

In general, if you approach the process of investing in land plots wisely, you can count on a return no lower than bank deposit. If any of the readers of this article have had experience investing money in land, please share the investment details in the comments. In particular, it will be interesting to learn about profitability and possible pitfalls.

Profit to everyone!

Beginners and advanced investors consider a variety of forms of investing their funds. “How to invest money wisely?” - they ask themselves. One of the common ways of investing is land. Land has long been associated with stability and wealth, and therefore today it is more and more attractive.

Investments in land: pros and cons

This or that form of investment is the most competent way to preserve and increase capital. And land plots are one of the most promising types of investment. The fact is that it is almost impossible to get burned here. In any case, it is impossible to burn out completely. Your land plot at any time economic situation will remain with you.

Land in last years only increases in value. In addition, it requires virtually no maintenance costs. Of course, land in a resort area cannot be compared with a plot in the cold Siberian outback, but any plot can be profitably used for the construction of residential buildings or commercial properties or, for example, for growing forests, flowers for sale or breeding horses for racing.

Investing in land also has its own flaws. The first one is large sum original investment. The second is the length of the investment period. In addition, there is some risk that your particular plot will not rise in price over time. We should also not forget about quite frequent cases of fraud.

The biggest disadvantage of investing in land is the inability to withdraw money quickly in case of emergency. Therefore, if an investor anticipates a situation where finance may be urgently needed, then it is better to initially prefer other types of more liquid assets.

Ways to invest money in land

Land can be invested in different ways. The easiest way is to buy an undeveloped plot for construction or resale. The cost of such a plot can be increased several times if some promising facility is built on it, for example, a country entertainment complex or a hypermarket.

If you are going to invest money in construction apartment building or start such construction on your own, you should take into account that during times of crisis, prices can fall by more than 2 times, and in order to recoup your investment, you will have to wait for the end of the crisis and an increase in prices.

Often developers prefer to use the purchased land to build garages, which pays off much faster than residential buildings.

If you are still interested in residential buildings, then you should pay close attention to the development of infrastructure in the area, the proximity of schools, kindergartens, parks, shops, clinics, fitness centers, etc.

Where is the best place to buy land?

It is not enough to just decide what to invest money in - land. It is necessary to determine its location.

Naturally, it is most advisable to purchase land in large cities or in the suburbs of these cities. A resort area in your homeland or in one of the countries popular with tourists would be ideal. Such land will be guaranteed to remain in value for the next few years, or even longer. During this time, a hotel or restaurant can be built on it, or it can be profitably resold for the construction of similar tourist facilities.

Now it is fashionable to buy land for construction in Cyprus or Turkey. It costs relatively little. However, Cyprus and Turkey have not yet resolved their territorial claims: the island is divided into 2 parts, one of which belongs to the Turks. That is, in the next few years a conflict may break out in Cyprus.

As for Turkey, scientists say that a serious earthquake can be expected in the Istanbul area and nearby areas in the next 10-20 years. Of course, you can insure your property, however Insurance companies, for sure, they will simply charge extortionate interest rates, and in the event of an earthquake, they may refuse to pay.

How to learn to invest money in land?

If you are interested in land and real estate, then you should start by purchasing land plots. There will be smaller investments and lower risks, it will be easier to negotiate directly with the seller and re-register the plot, and there will be no special expenses for its maintenance. And taxes on the site will not be so high.

As you gain experience, you can begin to buy and resell or rent real estate. Many wealthy people today have their own cottage or villa in one of the warm countries and agree in advance with a real estate agency when they will come on vacation with their family. The rest of the time, the property is rented out and brings considerable income to its owner.

: open own organization providing repair and construction services.

How to make money by raising chickens? for real farmers: care, maintenance, choice of breed, costs and payback.

Investment term

The investment period can be very different: from minimal, if the land is planned to be resold immediately, to quite long.

TO short-term investments include investments in sites on which residential buildings will be built. They are the most expensive and least profitable.

Long-term, less expensive and more profitable attachments- These are investments in agricultural land and land on which commercial development is planned.

Perceived benefits from land investment

Investments in land are more profitable than investments in gold. In a year, the cost of a land plot located in a fairly advantageous location will increase by approximately by 40%. If we talk about popular resort countries, this percentage can be much higher.

The long-term liquidity of land is unique. Today, every third or fourth person dreams of having a summer house, so the land can always be resold at a profit without additional investments.

If there is a well-developed communications network near the site, there is a metro or Railway, then in the near future the profit from resale may be minimum 100%.

If you purchase land in a cottage village, the profit will be at least 20-30%. Depending on the development prospects of the region, profits can be much higher.

Summary

So, investment in land is, in fact, a type of investment in real estate. This great way diversification investment portfolio. The main advantage of the land is its versatility.

How to invest money in land correctly? As we found out, it can be developed or resold in full or in parts. In some places, land is quite inexpensive, and its value can always be increased through gentrification or development.

All this makes investments in land incredibly attractive and promising.

The range of plots for construction in Moscow and the region is quite extensive. Suitable land is being actively sold on Kashirskoye, Gorkovskoye, Pyatnitskoye and Novorizhskoye highways. If necessary, you can find a site for multi-storey construction at a distance of up to 50 km from the Moscow Ring Road. Average prices range from 200 to 600 thousand rubles per hundred square meters. In the most prestigious areas, such as Leninsky, the cost of land reaches 1–1.8 million rubles per hundred square meters.

What explains the wide range of prices?

First and, perhaps, the most important reason is the different distance from the Moscow Ring Road. On the territory of Moscow itself, the North and South remain promising administrative districts. But most of the multi-storey construction is concentrated outside the Moscow Ring Road. Perhaps in the future the situation will change as a result of the redevelopment of individual industrial zones.

Transport interchange also influences price formation. Thus, by the end of 2016, Nekrasovka and Nizhegorodskaya streets should be connected by a new metro line, which caused a construction boom in the vicinity of the previously empty Nekrasovka. The distance from utility networks should not be overlooked.

Second The reason for the wide range of prices is differences in permitting documentation. Due to the fact that certain objects are at the stage of changing the VRI, the owners deliberately reduce the price. It increases investment attractiveness facilities, but the risk increases due to potential documentation problems.

Third the reason is the reputation of the areas, which is formed depending on the quality of infrastructure, proximity to recreational areas, and environmental conditions.

Finding a plot for multi-storey construction in such elite areas as Prechistenka, Ostozhenka and Patriarch's Ponds is almost impossible. Due to the reconstruction of the Kyiv highway and transformations in Yaroslavka, land for residential buildings in these areas has become more expensive and popular. Cost of plots in the area Dmitrovskoe highway and New Riga even reaches 50-60 thousand dollars per hundred square meters.

Main parameters of the multi-storey construction investment project

The sale of a plot is often carried out along with the implementation of an unfinished investment project. Its attractiveness depends on its location, legal characteristics, relief, consistency of sketches, design and other documentation, stage of completion. It is also necessary to take into account the estimated duration of the project.

To assess the amount of profit that an investment project can bring, you should carefully read the business plan and expert assessment. The presence of GPZU and encumbrances upon completion of construction is taken into account.

Experts give preference to investment projects in picturesque and environmentally friendly areas of the Moscow region, where there will be no problems with gas supply, organization of electricity and water supply, and sewerage. It is advisable that the number of encumbrances on the site does not exceed 5%.

Any investment in the purchase of a site for multi-storey construction must be preceded by topographical and geological examinations. Once it becomes clear how close the groundwater is, the list of technologies that will have to be used, and therefore the cost of construction, will become clear.