The land is recognized as one of the most valuable assets. Tesla recently announced that they were relocating its mega plant plans to Texas for various reasons. Given the multiple advantages you stand to earn by acquiring land in Texas; it’s no wonder. When buying land in the Central TX Landsource hill country, the benefits are significant. If you’ve been thinking about investing in land, here are a few reasons why Texas hill country is a great place to start.
- Resources scarcity
Regardless of the region’s size, purchasing land in Central Texas is considered a high-value investment. This is because individuals no longer build land and can only offer what exists. Land demand will continue to climb year after year due to the restricted supply of this resource. In reality, data reveal that land is only on the market for ninety days on average before being purchased. As a result, owning land in Texas will give you a natural resource with virtually no depreciation, boundless potential, and high demand.
- Finance Specialists
The average person does not have the funds to purchase land in one lump sum. As a result, when it comes to purchasing land, most people seek assistance from a financial institution. The majority of banks and traditional lenders, on the other hand, are unfamiliar with the rural land market. This means that receiving a loan from a bank or lender can be challenging.
However, when it comes to buying rural land in Texas, you’ll be able to work with lenders who specialize in financing the development of rural acreage around the state. Landowners and farmers themselves are some of Texas’s most well-known financial companies specializing in financing rural land purchases. They have a deep awareness of the issues and needs.
- Assets Protection
Because land is classified as a “non-depreciable” asset, it is an exceptionally safe investment. This implies that land has an indefinite useful life. In reality, the land is the only asset that does not allow for depreciation. Because land cannot be moved or destroyed, this is the case. Even if a third party constructs a residential property, the land beneath it may improve in value over time, even though the residence may depreciate.
- Taxes Exemptions
You may be eligible for an agricultural, timber, or wildlife tax exemption if you buy land in Central Texas. These tax exemptions might save you hundreds of dollars in property taxes. Landowners in Central Texas who plan to utilize the land for grazing and pasture, agriculture, wildlife preservation, or forests are eligible for these exemptions.
In addition, if you intend to use the land for farming, you can file a Schedule F on your income taxes. You can deduct interest on the loan you used to buy the property by filing a Schedule F with your taxes. Let’s do some math. If the average hunter saves $30,000 for a down payment on a $150,000 property, makes some improvements, waits for it to appreciate, and finds a way to use the land’s income to help pay the mortgage, they can quickly build equity.