Help - Purchasing an acreage in Saskatchewan

[Singh]

Hi Guys,



I am thinking of purchasing a 1 acre parce for $6000 in Saskatchewan, the town is only 200-300 people, but it is on a major highway. I am wondering if this is a good investment, I hope to hold for the next 20 years. Property tax is only 10 bux a year.



Thanks

Sikh Investor

 

[invst4profit]

$6000 could be much better invested over the next 20 years than being tied up in a piece of dirt.
For me, as it does not earn a income, it holds very little value.

 

[MonteDobson]

What town is it located in. I`m sure it is cheap for a reason??

 

[Thomas Beyer]

QUOTE (Singh @ Jul 11 2008, 09:48 PM) Hi Guys,

I am thinking of purchasing a 1 acre parce for $6000 in Saskatchewan, the town is only 200-300 people, but it is on a major highway. I am wondering if this is a good investment, I hope to hold for the next 20 years. Property tax is only 10 bux a year.

Thanks

Sikh Investor

"on highway" implies commercial use for gas station, fast food restaurant, shopping centre .. will this EVER materialize there ? Then yes, it may make sense !

What about utilities ? electricity ? gas ? water ? sewer ?

in 20 years it may be just that: an acre in the middle of nowhere with no gas, sewer, water ..

you could open a company that holds the land .. worst case is likely you lost $6000 ..

 

[lanedry77]

I`ve always wondered just how much land owners make for allowing business from nearby towns place signs on the land to draw passers-by into town for food/hotel/recreation/shopping/etc...

A $6000 personal loan at 7% would equate to under $120/month for a 5-year loan.

I would suspect that if the land has good road exposure, you could easily get the property paid quickly with some `creative` income streams like signs.

just a thought...



David.