Land Banking is a historically proven long-term investment strategy used by government agencies, corporations, nonprofit organizations, and individuals. Governments purchase land for preservation and to prepare for future land needs; businesses leverage Land Banking to gain a strategic or competitive advantage by retaining development control in critical areas; and individuals use Land Banking as a long-term asset building strategy for the following reasons:

  • Historically Consistent & High ROI (Return on Investment)
  • Proven Protection of Principal
  • Offers Substantial Risk Mitigation
  • Provides Funding for Children’s Education
  • Ensures Secure Retirement Income for Life

Historically Consistent & High ROI (Return on Investment)

Increasing populations and sprawling cities make land a very hot commodity around the world. Land hungry corporations and developers identify and purchase open real estate for future commercial, retail, and residential use in the pathways of projected growth. Successful Land Bankers can also project future growth based upon historical information from similar areas, utilizing almost any 10 year period of time to measure past results. When holding land for 10 or more years, the Land Banker can maximize returns by capturing multiple value spikes on their parcels.

Proven Protection of Principal

Many individuals often become disillusioned by the theoretical, high-risk nature of stocks and bonds, or they question the quality of information they receive from traditional investment advisors. However, investing in land is in fact investing in real property, as land is a clearly tangible asset. Its value will seldom decrease and it will never disappear. Many people are already involved in Land Banking on a passive level, in that the land upon which their home is built actually comprises a good portion of its overall value. Ownership of recreational or vacation property is also a form of land banking, as well as a place to spend quality family time. These purchases of actual land feel far more real and tangible than any stock or bond. Land Banking is a near risk-free investment. Nobody can guarantee rates of return, but your initial investment is typically well-protected from dilution. For many individuals, Land Banking is a very good balance as compared to other more speculative investments for their financial portfolios.

Offers Substantial Risk Mitigation

Any investment decision requires some balancing of potential risk. Different types of investments carry different levels of risk depending upon the type of market environment in which the investment is held. Over a period time, as market conditions and personal investment needs change, most individual investors will examine various levels, types, and degrees of risk. Many consumers view land investments (with their proven historic performances as safe, tangible assets) as a very important part of a secure investment portfolio. Seldom, if ever, is your principal at risk with GreenDeedTM Land Banking.

Provides Funding for Children’s Education

A primary investment goal of many parents or even grandparents is providing an education for their children. In less than two decades from now, a four year college education is estimated to cost over $600,000. Concerned parents must plan ahead to meet these rising costs. The acquisition of a Land Banking parcel at today’s prices and held while children and grandchildren grow up, is one of the most reliable and effective ways to ensure secure assets to fund college educations.

Ensures Secure Retirement Income for Life

GreenDeedTM Land Banking is an ideal vehicle for retirement planning since typically most Land Banking parcels are held for ten or more years. As part of a long-term retirement strategy, individuals should balance their investments in stocks and bonds with Land Banking. Your Land Banking Specialist can help you design and build your portfolio so that you are properly prepared for future financial flexibility and liquidity.

 

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