Buying undeveloped land is a great way to expand your investment portfolio. Once you’ve chosen a land parcel in a good area, you need to figure out what you want to do with it. While you can turn around and sell a raw piece of land, it will not garner a huge profit.
If you want to maximize your return on investment, then taking on a land development project is crucial. Most people fail to realize how complex site development in Northern Virginia can be. If you want to properly plan a land development project, consider the information below.
Check Your Local Zoning Laws
Thousands of Americans invest in real estate every year. If you’ve recently acquired a parcel of land and are unsure about how to develop it, then performing some research is important. Before you decide whether you want to develop a commercial or residential property, you need to check your local zoning laws.
Nearly every town and city in the United States has strict zoning laws. These laws are developed to dictate where commercial and residential properties can be built. If you’re more interested in building homes on a piece of land, then be sure to check zoning laws before acquiring the parcel.
Make a Detailed Budget
If you want to develop land to turn a profit, then having a budget in place is a necessity. Failing to track spending during this development process can lead to lots of money being lost. Meeting with a site development professional is a great way to assess the cost of an upcoming project.
These professionals will be able to create accurate estimates that you can follow. Leaving a little wiggle room in your budget for unexpected issues can save you a lot of stress.
As you can see, having success with a land development project isn’t easy.