Real Estate /
Buying agricultural land in Poland as an investment opportunity? Cost of ploughing? [16]
halo,
what do you think about buying an agricultural land as investment. It make sense?
I got a such offer:
land is located in Mazury close to the lake. I have to admit that it is charming place but I do not know if it is worth.
votemazury.org/en/mazuria.html
some more information:
In investment complex there are 100-200 units. One unit has 3000m2 which is the lowest size possible for agricultural land in Poland. I want to buy 4 of them to avoid paying PPC tax which is 2%.
The cost of one unit is around 60000-80000 PLN depends on the location.
I pay only 20% deposit and rest of the amount I will be paying in Instalments. after I pay 6 instalments the company assign on me shares in LTD company as it is the only option that I was the owner before 2016. option where I pay in cash is 5 PLN cheaper than regular price. One share is one unit. Instalment is 500-600 PLN per unit.
price per m2 is around 25-30PLN depends on the location.
I am thinking to use leverage and to chose option with instalments.
key factors to buy.
- location: close to main roads, in nice areas, close to lake,
- in complex with other investors and people which just want to buy a land to build a house in the future or have the place where they can relax. there will be no more than 20-30% foreign investor in one complex. the more people in complex the higher possibility the land in the future will be a building plot which only increase value but I predict this will not happen in the next 5-10 years. it is rather 10-15 years investment.
- company guarantee if the land will not be a building plot in the future return of the money.
- land over the last 20 years have not gone down and it is higher possibility that is will be going up as it is limited good especially in good locations.
- no tenants, no fit-out and other cost.
everything looks ok but I do not have experience. What do you think?
and like the site :)
regards
daniel
