Small investments can go a long way in Land Banking

Do you have twenty thousand?

We have heard from a number of potential real estate investors who have limited savings but not enough to buy a home in high priced states like California. In some cities like Dayton, Ohio, or Oklahoma City you can buy a home for sixty to one hundred thousand and rent it for five hundred a month. After insurance, rental fees, maintenance, travel, and taxes your return on rent will be virtually the same as a low risk CD. We think land banking may be a better risk reward opportunity for small capital investors.

San Fernando Valley California in Los Angeles County is a prime example of a past land banking opportunity. In 1950 the population was 250 thousand and today the Valley's population is 2.7 million according to the US Census. A $40,000 well placed investment there in 1968 would have increased 1000% by 1980 to $400,000. This is a huge return, and granted forty thousand was a larger investment in 1968. But this scenario shows population growth and a well placed investment can provide positive returns.

Antelope Valley in Northern Los Angeles County may provide a similar opportunity. Antelope Valley comprises of two main cities, Lancaster and Palmdale. They have a combined population of approximately 350 thousand today, and an abundance of vacant land. Antelope Valley has approximately 49% of the available pre-developed land in LA County. California's population is expected to grow to 60 million by 2050 and Southern California is expected to have the highest growth rates according to recent reports. This adds up to a great opportunity, which rivals San Fernando Valley results. The area has the potential for population growth, low capital entry point, and availability.

Land is still inexpensive in Antelope Valley and there are a number of ways to locate a well placed investment. We think Vacantlanddeals.com offers some of the best low priced well placed investments that have the potential to produce lucrative returns. They also have land available for an investment of less than twenty thousand.

Where Is The Real Discount Land For Sale?

Many of our readers and prospective clients have searched on the Internet for discount land. This is easier typed then done. There are a number of vacant land dealers which can be found on a simple Internet search, but who is getting the deal? A number of these land promoters are implying that their parcels are dicounted, but after review we found different results.

We found high prices in our comparison. We looked at three land sites in Lancaster and Palmdale Ca. Two very similar parcels at 190th East at J. The website lacountyland.com is promoting a 2.31 acre property for $39,900, while vacantlanddeals.com promotes a 2.31 acre property next door at 190th East at I-14 for $18,500. Half price for the same property, wow. Another example is where california-land.com is promoting a 2.5 acre property at 65th West at H-8 in Lancaster for $110,000, while vacantlanddeals.com is promoting a similar 5 acre parcel at 62nd West at F-4 for $110,000. That's twice the parcel for the same price. Vacantlanddeals clearly has the discounted land here, and they do promote their prices as ten to twenty percent below the retail market. These are just a couple of examples, but it shows there are drastic differences in pricing on online sites.

Buyers need to do their due diligence on properties before they buy. If there is a property you desire then there may be a similar property elsewhere for a better price. An informed buyer needs to be aware of the land prices to ensure they are getting a good price in an up or down market. They also should do their best to verify all the details regarding a properties zoning, access, title issues, and location to services. We hope to help in this matter by continually informing buyers of opportunities and information that we feel you need to know.

The Solar Wind is Creating Green Energy Land Investment Opportunities in Los Angeles County

There has been much talk in the news media and the Obama Administration regarding cap and trade, and global warming solutions. You may ask where this green energy momentum will take root. Well we see some indications in California which has been leading the way in the US regarding going green. We have noticed there has been growing development in Antelope Valley with Wind and Solar technologies. E-solar has acquired $130 million in funding from Google.org and Oak Investment Partners and they have signed a power purchase agreement with Southern California Edison Power to build a 245 megawatts solar plant in the Antelope Valley region of Los Angeles County. There will be a series of fully operational plants which will begin production in 2011, and targeted operational by 2012 according to news sources. There have also been large purchases of land in several parts of the Antelope Valley by Solar energy companies over the past year. It is either an E-solar subsidiary or a solar competitor. In addition, Luz Solar Partners has a fully operational solar plant at Kramer Junction near Hwy 58 and Hwy 395 in San Bernardino County for several years now.

If you drive through Tehachapi, California in Northern Antelope Valley you will see many Wind Turbines taking advantage of the heavy winds through the grape vine and Antelope Valley. Lance Dorman of Vacantlanddeals.com said, “This area is slowly and quietly becoming fertile ground for green energy solutions”. We spoke to a recent land buyer who purchased land in Kern County and a Wind Energy Company approached them within months to lease their land to install their turbine towers, Dorman said.

These are real time Land banking opportunities taking place right now in Lancaster and Palmdale California and the growth appears to be just beginning. Real Estate is at market lows, and the push for the nation and globe to go green is in its infancy. Many property owners purchase land in the Antelope Valley a number of years ago if not decades ago, and they are reaping rewards today. If this area continues to be ground zero for green energy technologies then the Land banking turnaround could be much shorter.