Invest In Land Or Stuff A Mattress
As featured in Land Investor Magazine Vol. 1
Over the past seven years, investors have been notoriously careful with their cash flow, avoiding risk and staying cash-heavy. This is no surprise. Due to the economic crisis in 2008, many investors and wealthy individuals became more risk-averse with their portfolios and began saving money instead of investing.
However, last year’s annual CapGemini/RBC survey of investors worldwide showed the number of households worth more than $1 million in investable wealth has risen 60 percent since 2008. This wealth is predicted to continue to increase by 22 percent by 2016.
As cash accumulates, though, it is predicted that domestic taxes may be imposed on cash holdings themselves. This cash-hoarding psychology in itself reveals the anxiety many investors have to part with their money. It’s a deep concern and one that is reinforced by the increase in taxation on income, capital gains, dividends, gifting to heirs, and possibly, even on cash itself.
However, the tax benefits of investing in real estate are appealing, particularly when it comes to investment-quality ranchland, farmland, and timberland investments. Land investments have historically had (and will continue to have) real, intrinsic value that can be built over time, returns boosted and diversified through thoughtful management, and is a particularly appealing asset allocation and capital preservation strategy.
So, should you invest in land or stuff a mattress? I’d say invest in land.
Discover the Charm and Opportunities of North Dakota
Are you considering a move but unsure where to settle? North Dakota, often overlooked by travelers and potential residents alike, offers a wealth of opportunities and a lifestyle to suit a variety of preferences. Whether you’re drawn to outdoor adventures, a slower pace of life, or expanding career opportunities, this charming state has something to […]
Easement Dispute – Ask an Agent
Dear Land Expert, I am preparing to list my Western ranch soon; however, my neighbor is currently contesting an easement that crosses a corner of their property, an access route I’ve used consistently and that has been essential for reaching certain parts of my land. While I’ve always understood this to be a valid easement, […]
