hi Casey I'm here with the tactile
academy.com and in this video we're
talking about the pros and the cons of
buying vacant land at tax cells you know
a lot of people when they think real
estate investor they automatically
assume you're investing in some sort of
structure you know a house a commercial
structure something along those lines
they forget all about those investors
out there that make a load of money
investing in just vacant land so that's
what we will talk about in this video
first let's talk about some of the pros
or some of the advantages to buying
vacant land number one it is cheap you
know sometimes it tax sells you can get
property as low as 50 100 bucks 200
bucks I mean it's very very cheap so it
the barrier entry is very very low you
know you don't have to have a whole lot
of capital compared to homes you can get
in it a lot easier the second thing is
that condition is not an issue you know
when you're looking at a house you have
to think to yourself what about the
broken windows you know the broken doors
is there plumbing leaks is the roof
leaking you know all these things to
worry about
vacant land there's not a whole lot to
worry about because obviously there's no
break in windows there's no broken doors
anything like that so there's no
condition issues and go condition
worries the third pro or the third
advantage there's no maintenance issues
just like the condition issues when you
own a house you have to maintain it at
the very least to the city or the county
standards you know hopefully your
standards are probably a little bit
higher than the city or the county which
is to make sure there's no code
violations you have to make sure that
the property is maintained up to
standard because when you go to sell
that piece of property the house has
been sitting for two or three years and
it has not been maintained that's going
to kill your value when it comes to
vacant land there's not a whole lot to
maintain besides maybe an occasional
mowing or something on those lines the
fourth thing is they're low holding cost
of vacant land you know when you buy a
house some houses I've seen at tax
auctions might have yearly taxes you
know a thousand dollars five thousand
eleven seen summit tax cells that are
six thousand dollars per year in taxes
that is a load of money to be spending
on taxes when it comes to vacant land
your taxes are substantially cheaper
sometimes as even as low as just four or
five bucks a year you know you can
easily get away though with spending a
hundred 200 dollars on taxes or vacant
land compared to houses can be a lot
more money than
that the fifth advantage is that the
buyer can do what they want to with it
you know if you have a house you're
trying to basically sell this house to
somebody they have to conform their
standards and conform their mindset to
purchase this house you know it has to
be a house they want when it comes to
vacant land you know they can do just
about anything they want to say they
don't want to build on or say they want
to build 10 or 15 years down the road
they can hold it for if they want to you
know say they want to build a custom
house they can do that if they want to
they're not really have to conforming to
the property that you're offering
instead as long as they like the area
they can buy the property and do what
they want to with it
now let's talk about some of the
disadvantages or the cons of buying
vacant land attack so auctions the first
thing is that there are less interested
buyers you know it's easy to sell a
house a lot of times because you can
find investors that'll buy houses or
buyers that will buy houses you know
there's just more of an audience out
there when it comes to vacant land
there's certainly less people interested
in vacant land so it might take a little
bit longer to sell but with that said
you know there obviously it is still
cheap so it kind of weighs itself out
here another con or another disadvantage
here is it is less valuable you know it
might take a bunch of these properties
before you create any real wealth
whereas if you have a lot of capital
start you can buy houses you can sell
these houses and keep rolling over that
money we're vacant land it is going to
take more of these properties before you
do create that same amount of wealth you
know the third thing here is that there
are some fee requirements and some taxes
possibly with no benefit you know say
you buy a piece of property in a homer
Association residence that you know
might charge you 100 bucks a month but
it has pools tennis courts club houses
that kind of thing if it's a vacant lot
well guess what you know unless you're
local to the area you don't get to enjoy
those things but you still have to pay
those HOA dues so those really those HOA
dues are basically just money being
thrown right down the toilet and the
last disadvantage here is that there are
still issues to worry about it might not
be as many issues as you know purchasing
a house at attack so but there are still
issues we're talking about things like
you know is it in a flood zone you know
all these research needs you have to
worry about and then once you buy it you
have to worry about you know is somebody
dumping trash on that property you know
what if a somebody decides to park there
Motorhome there or the decides to haul
broken-down cars there you still have to
worry about this stuff you know there's
there is still issues that you have to
worry about even though it's vacant land
so there you are there's some pros and
cons of buying vacant lands at tank sale
auctions I hope you've enjoyed this
video if you like to similar videos head
on over to my website at the tanks all
academy.com which you can do by clicking
the blue link right here next to my head
again it'll take you to the tax all
Academy comm and once you get there
download your free copy of my ebook the
tax on vesting blueprint and you'll be
on your way to a very successful taxol
investing career have a wonderful day
folks buh-bye