My Foray Into Real Estate
So as part of my exit from the world of IT, I have taken an interest in real estate-- raw land in particular. Raw land is an overlooked investment opportunity. It has a fixed supply--you can't print more land. In that way raw land is like Bitcoin. There will only be so many acres for sale, and those acres will be fed with continuous monetary inflation. The 'problem' with raw land is that it is a very inefficient market, and it is a very illiquid market. Because of this, your traditional realtors and brokers avoid it like the plague. There's no commission money to be made for 10 acres in the middle of nowhere. This is actually great news for little guys like me who want to dabble in real estate. I can hunt around for motivated sellers of land, and then sell it for a profit to motivated buyers. Better yet, I can even offer a land contract so that the buyer can make installment payments on the land. This is actually the best way to create passive income with raw land, because it has no buildings to rent or tenants. It is possible to rent land(billboards, cell phone towers, etc.), but those opportunities are few and far between.
In the crypto space, what I would really like to do is tokenize land, be able to sell fractional pieces of huge ranches and farms, or simply sell smaller ones for crypto. I can already accept crypto for land currently and will seek to do so more and more as time progresses. The real issue with that early on, is I would instantly need to sell it for dollars so I can buy more land. The demographic for most current land owners is not into the digital economy, but my guess is that we will see a lot more on the buy side.
Who knows where it will lead, but it's a small scale way to familiarize myself with the many aspects of real estate (deeds, probate, land contracts, marketing, etc.).
I've created an account for my real estate business on Hive called @questforland (I will be posting there soon). Feel free to give it a follow, and if you are interested in diversifying into raw land, let me know. As long as there are no sanctions in place, anyone in the world can have land deeded to them. With the advent of crypto, it is easier than ever to facilitate the cross-border payments. Once it's yours, just pay the taxes every year.
Have you ever thought about dabbling in real estate or have thought about owning some land?
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It's a good decision. You'll do well.
We weren't even in the market necessarily but ran into an opportunity on July 4 I couldn't refuse. Dudes house.. buncha people I don't know.. neighbor comes by.. 80 acres we were looking at behind their homes was available, they were talking how they didn't want a developer to come in and they should buy it up. I was in the right place at the right time.
The three of us got in. Thing even has a river running through it, I scratched the name. I got that center cuz I know it's just a matter of time until someone wants a road or a parcel or "something." That's where I come in. Otherwise it ain't going anywhere.
You got this.
Thanks man! As they say, there's a mud hole for every hog!
I have to disagree with you when you saw that raw land can't be printed.
There can always be vertical space, to begin with, if w are talking about an island, like Japan, or a mountainous region like Hong Kong.
I thought about investing in raw empty land but I gave up when I came across the data that less than 3% of the earth's landmass is populated.
With vertical farms, there is even more room to "print" real state.
Look around in your city. Do you see tons of empty space outside it? It is all land ready to be printed right in front of your eyes.
We'll have to agree to disagree then. It still can't be printed, only used more efficiently.
People hold land with very little utility as nothing but an inflation hedge. There are other uses as well. I own some treed land in the middle of nowhere for the sole purpose of camping--and friends and family camp there quite frequently. I speak with people daily who wish to own raw land for various reasons.
I've never talked to a developer, which is where I assume you have biased your argument. Yes, only a small percentage of available land will be developed. I never argued otherwise. I have ZERO interest in development.
Thanks for dropping in.
Tokenize Land! :)
Just take my money LOL!
This is my main problem. I told you, I have multiple rental properties, mostly single family home for rent. They are stable, relatively easy to sell and generate passive income. If you can do that with raw land, I am in.
I would be in too.
Special some can really generate passive income without do anything for the green :)
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Without doing anything?! I wouldn't go that far! :)
The passive income comes from the both the price premium and note fees applied to a land contract. Similar to financing a car. I might flip land at 1k/acre for cash, or sell it on terms for 1.3K/acre. Let's say 500 down, 150/mo for 84 months with a $10 note fee every month. If the buyer defaults on the note, you can simply sell it to someone else. The land doesn't get deeded to the buyer until the terms have been met.
Awesome, glad to see you're getting on something so quick. I followed the new account and will be looking for your updates.
I'm interested to dabble my toes a little.
Nice! Have your people call my people!
I'll hit ya up in a few days.
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STOPI think you've landed yourself in some interesting territory, literally and metaphorically. I checked the website too, good luck with this. Have you made your first sale? That will certainly be a confidence booster.