Buying land can be rewarding in the long term. However, to identify the best investment option in land, you have to do some hardwork. Here is a checklist.
It takes considerable knowledge to understand the extent of one’s ignorance.” So goes an impactful saying that reflects human tendency to approach the unknown with doubt and trepidation. Today's personal finance or investment scenario is a great example of how knowledge or rather the lack of knowledge can influence our decision-making process. The first thing that comes to your mind when you think about investment instruments like fixed deposits, provident funds, equities and stocks, mutual funds is an overriding principle. The principle is a product of continuous messages that come our way through ‘advisors’ be it family and friends, colleagues, financial media and the internet. What are your thoughts when someone mentions land as an investment instrument? Chances are that it is not the most positive of reflections. Does ignorance play a major factor in this perception? We will make an attempt to dispense some myths about investing in land and inform readers of the best practices to adopt and pitfalls to avoid when it comes to reinforcing your investment portfolio with land as an asset class.Let’s take the example of Rahul, who wants to invest money to satisfy long-term goals in solid investment assets which will combine great returns with lower risk.