Pros And Cons Of Investing In Property


Lands are compared with gold in the investment market. Due to its huge benefits, people are gravitating toward purchasing land and promoting the real estate business. But there are also some disadvantages of buying land.

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Less investment cost

If someone is unable to invest in property due to its large investment rate, buying land is a good way to enter the market. Empty or undeveloped lands are less costly than already built apartments. Vacant land is more affordable in any area,

Higher resale value

Property value increases every day. A limited supply of land keeps the demand for open property high. Which makes the resale value of empty land more profitable.

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Multiple uses

An empty property can be used for multiple purposes. Every owner’s journey is different. Depending on the situation, the owners can customize their use of it. Constructing residential property and renting is the most efficient way to generate revenue. There are also some other options like going on a joint venture.


Hard to get a loan

If you want to take loans from the bank to buy land, it might not be that easy. Banks only provide loans for constructing houses and other properties on the empty land.

No tax-benefit 

Every year a certain amount of tax has to be paid for the property. This is a part of the maintenance. Generally, this is not a concern if the land area is adequate. In the case of bigger properties, it can be a concern for the owner.

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The problem with availing finance 

Keeping the land unoccupied might not be a good idea for those who have sanctioned loans from the bank. Every month the owner has to pay a certain amount of mortgage which can increase the maintenance cost of the property.