Informal transactions and fraudulent documents are being used to sell land belonging to the treasury and to individuals, as if they were owned by somebody else. Here are the matters people who have saved their money and are considering investing in land, need to know, in order not to fall into a trap.
– Obtain information from the municipality concerning the zoning / planning status of the land. If the purpose for which the buyer wants to buy the land and its building specifications on its zoning status are different, then the land may not be suitable for the purpose being considered.
– It should be checked from the title deed, which contains information on the block, map section and parcel, whether the land being purchased corresponds to what the buyer believes to be buying. A determination of the boundaries of the land shown on the title deed can be requested from the land survey directorate for this purpose.
– Buying land from regions where the land survey does not go through is risky. The buyer should go to the land registry directorate to which the land is connected, look at the title register and check whether there are any adverse charges (liens, etc.) affecting the sale of the land.
– Never forget that zoning permission in rural areas is generally 5 percent. Therefore, do not buy land less than 5 decares in rural areas.
– Find out whether the land you are going to buy belongs to one person or more than one shareholders. There may be difficulties in gathering together or convincing the shareholders in the future.
– Be careful when buying land from forestry villages. For instance, you may be shown a 20 decare piece of land, but only 6-7 decares of this may be with title.
– Do not buy land from protected areas, reservoir – lake protection areas, or the shores of streams which discharge their water to reservoirs. If you have, fence it off completely, or if possible, plant trees in order to ensure there is a barrier. Never pay any money until you have received the title.
What to invest in?
– Invest in untouched areas. In large cities and metropolises in particular, the structuring is constantly moving towards the outskirts of the city, together with a rise in the population and migration.
– Therefore, it is recommended to choose undeveloped regions for land investments. If the buyer does not want to take the risk, s/he should choose to invest in land which has zoning permission.
– The size of the land is also extremely important. It is recommended that investors buy as large an area of land as possible, within the framework of their capabilities.
– Transport and infrastructure have a direct impact on the value of land. The aspect of the land to the road and the broadness of this aspect will raise its value. Places where the infrastructure has no value should not be chosen by investors who are seeking short term returns.
– Natural beauty and the buildings in the close surroundings are also like a lens which shows the future structure of the land. Those who foresee the direction in which the city is to expand in regions which becoming more industrialized or where roads pass through, are making a lot of money in a short time. It is always profitable to buy land next to large property projects.