Real estate investments are a pathway to building generational wealth and a healthy passive income to carry you through retirement. But unfortunately, more costs are involved when buying land than the initial purchase and any monthly payments to a lender. So if you thought owning vacant land meant you wouldn’t have any further expenses, it might be worth your will to take another look at the numbers on your investment. And if you should find hidden costs for your land are adding up to more expense than return, it may be time to exit the investment.
Successful portfolios require you carefully monitor investment returns, be ever ready to adjust your strategy, and exit properties that lower the bottom line. So read on as we explore five hidden costs of your Lorain land. Please note that this article is for informational purposes, not financial or legal advice.
Property taxes are one of the hidden costs of your Lorain land. Property taxes increase over time and, in some cases, may far outweigh the value. A professional buyer like those at Buckeye Home Solutions will provide you with the current value of your land, detailing the expenses of listing on the Lorain real estate market and how much you could profit. Then, at Buckeye Home Solutions, our professional buyers will compare this to our offer to buy your land directly at a price you’ll agree is fair. At Buckeye Home Solutions, our professional buyers operate entirely transparently because we want to make a deal you will feel good about long after closing.
Fewer Tax Benefits
While rarely considered, one of the hidden costs of your Lorain land compared to residential rentals is the loss of the tax benefits associated with investment property. Professional buyers like Buckeye Home Solutions can help determine if the cost of lost benefits outweighs the profits on your land by outlining the deductions available with other investment opportunities. For example, suppose you decide to sell directly to a professional buyer at Buckeye Home Solutions. In that case, they can help you utilize 1031 exchange rules to move into a better-performing investment that fits your portfolio better.
HOA or homeowner association communities offer conformity in appearance and maintenance of common grounds and amenities, governed by residents who share the costs. One of the downsides of investing in HOA communities is the association fees, which are another of the hidden costs of your Lorain land. Failure to pay your HOA fees can result in fines or a lien on your property. Professional buyers like those at Buckeye Home Solutions will buy your land directly for cash. The professional buyers at Buckeye Home Solutions can help alleviate your troubles with an HOA.
Maintenance costs for vacant land can vary, depending on the property’s location. These are even more hidden costs of your Lorain land. Lots in specific subdivisions or downtown may require routine mowing and clearing, while more rural properties may require little. Professional buyers like those at Buckeye Home Solutions can help save you money by buying your land directly. And, at Buckeye Home Solutions, our professional buyers never charge commissions, and there are never any hidden fees, saving you even more. And, because of our internal closing process, you won’t pay any closing costs.
The potential for someone to become injured on your property and sue you makes your liability of owning the property another one of the hidden costs of your Lorain land. Vacant land liability insurance can protect you from the emotional rollercoaster and potential financial impact of personal injury lawsuits. Professional buyers like those at Buckeye Home Solutions can relieve you of the expense of your vacant land liability insurance. With closings as quickly as a week in many cases, a direct sale to the professional buyers at Buckeye Home Solutions can help turn your potential liability into cash.
Why not talk to one of the professional buyers at Buckeye Home Solutions without obligation about the hidden costs of your Lorain land?
The professional buyers at Buckeye Home Solutions can help uncover the expenses of your Lorain land. Professional buyers at Buckeye Home Solutions offer cost-saving efficiency and work with a full-service in-house team of industry specialists, including everything you need to make the direct sale process easy. Suppose you’re looking for a trusted expert to help you learn the ropes and help you build a well-diversified healthy real estate portfolio. In that case, the professional buyers at Buckeye Home Solutions can help you turn the performance of your investments around. At Buckeye Home Solutions, our professional buyers are seasoned investors who built a career in the Lorain real estate market and can help you find the right solution for any troubles with your real estate investment portfolio. The professional buyers at Buckeye Home Solutions have what it takes to handle everything and make successful investing easy, from the initial assessment of investments to property management to the closing table. Call Buckeye Home Solutions at (440) 482-1428.