Toll Free 1-888-652-7212 - (403) 652-1798 PO Box 6129, High River, AB, T1V 1P7 M - F 8:30AM - 5PM

Is Buying Land A Good Investment in 2024? A Look at the Canadian Landscape

Canada’s vast and diverse landscape offers a multitude of opportunities for investors. But with the recent market fluctuations, a common question arises: is buying land a good investment in 2024?

Skip To What You Need To Know:

Land as a Long-Term Play

Unlike the stock market with its daily ups and downs, land is a long-term investment. Its value tends to appreciate steadily, especially in desirable locations.  While short-term dips may occur, history shows land recovers and often surpasses previous highs. So, if you’re looking for a stable investment with long-term growth potential, land could be a good option for you.

Considering the Canadian Context

Canada’s population is projected to continue growing, putting a strain on available developable land. This increased demand, coupled with a limited supply, could drive land prices up in the long term. Is buying land a good investment

Factors to Consider Before Buying Land

  • Location: Is buying land a good investment in a remote area? Not necessarily. Proximity to urban centers, transportation hubs, or resources can significantly impact value. Research the surrounding area and identify potential future developments. Consider infrastructure plans, zoning changes, and overall economic health of the region.
  • Purpose: Are you looking to build a home, develop the land commercially, or simply hold it as an investment? Knowing your end goal will influence the type and location of land you seek. For residential purposes, consider factors like lot size, access to utilities, and proximity to desirable amenities. Commercial development might require land with specific zoning and easy access for customers and deliveries.
  • Zoning and Regulations: Ensure the land you’re considering is zoned for your intended purpose. Research any restrictions or development fees that might come into play. Zoning can be complex, and understanding these regulations upfront can save you time and money down the road.
  • Hidden Costs: Factor in potential hidden costs beyond the purchase price. This could include surveying fees, environmental assessments, development permits, and property taxes. Understanding these additional costs will help you determine the overall investment required.

 

Land for Different Investment Styles

Vast grass field with red barns nearby.

Is buying land a good investment for everyone? Not necessarily. There are different types of land suitable for various investment approaches:

  • Raw Land: For the patient investor with a long-term outlook, raw land offers the potential for significant appreciation, especially if the area undergoes development. However, raw land typically requires more upfront research and comes with carrying costs like property taxes.
  • Farmland: Investing in farmland can provide a steady stream of income through leasing or agricultural production. However, it requires knowledge of farming practices, carries operational costs, and is subject to market fluctuations for agricultural products.
  • Recreational Land: Land with lakes, forests, or other natural features can be a good investment, especially as demand for outdoor activities continues to rise. However, the value of recreational land can be more subjective and depend heavily on location and specific features.

Consulting a Land Broker

While Hansen Land Brokers can’t tell you definitively if buying land a good investment for you, we can be a valuable resource throughout the process. Experienced land brokers possess a deep understanding of the market, zoning regulations, and development trends. We can help you identify suitable properties that align with your goals, navigate the buying process, and ensure you’re making an informed investment.

The Final Decision

Is buying land a good investment in 2024? There’s no one-size-fits-all answer. Thorough research, considering your goals and risk tolerance, is crucial. Consulting with a professional land broker can provide invaluable guidance. Remember, with careful planning and a long-term perspective, land can be a rewarding investment in Canada’s dynamic market.

Share This

Leave a Reply

Your email address will not be published. Required fields are marked *