Land acquisition is an overlooked, untapped market that can offer strong ROI for real estate professionals and entrepreneurs… as long as you have the right education, training, and knowledge.
Undeveloped land, or as we like to call it, “raw land”, is a piece of land in its most natural state—without any structures or public utilities.
Raw land offers great value because of its limited supply and its incredibly high demand for development.
Whereas with wholesaling or traditional real estate, looking at all the grunt work you have to do to find houses combined with the competition, the amount you make for the amount of time and frustration often isn’t worth it. Plus, they don’t add value as you do with raw, developable land.
But, most individuals don't know where to begin and the real challenge is finding the right kind of land, checking its availability, and making a plan to sell it to a developer.
The secret of success in raw land investing is the ability to recognize potential properties, plan them, and present them with force… which is exactly what VestRight teaches. We’ll break it all down for you below.
Are you thinking raw land might be the right opportunity for you? Learn how to gain your freedom back with the right training by downloading our free Raw Land E-Book.
What is Raw Land?
So first, you might be wondering… what is raw land?
Also known as “off-market” land, raw land is an untouched piece of property that's vacant and in its most natural state. It hasn't been built on before and is void of any structures or public utilities, but it still has development potential.
This type of vacant property has extreme value for residential developers.
In fact, in most areas of the country, undeveloped land is nearly priceless and is considered a much-desired commodity for raw land investing.
What makes raw land development so valuable?
Due to the scarcity of land… it’s finite. It’s pretty much impossible to grow or build more raw land, which makes it a strong investment.
And the demand for raw land in the U.S. is higher than ever as home builders are scouring for it.
When raw land is purchased it includes minerals, trees, and even the airspace above. Each parcel of undeveloped land is unique, meaning no two plots of raw land are alike.
But the physical characteristics of raw land differ geographically and in relation to where it’s located. Unlike structures, undeveloped land can not be moved, which further illustrates the reason why raw land is such a crucial asset.
The real state landscape of purchasing raw land is changing now.
While still virtually untapped, raw land development is starting to become a growing trend among real estate professionals, whether or not the undeveloped land has been graded or subdivided for developers to start construction.
The growing demand for land that developers need to purchase, paired with the limited number of people who know how to find raw land makes this a highly remarkable industry to get started in.
What are the Types of Land Investments?
You’re already likely familiar with the variety of real estate investments on the market.
But the type of raw land investment opportunities available are based on the type of land itself, including the location, zoning and zoning restrictions, available road access, utilities, and electricity among other considerations.
Popular raw land development investments include commercial, industrial, office, residential, agricultural, and forest.
Here at VestRight, we focus solely on residential land. But, we’ll still take a look at each type of raw land to help you understand the differences.
Land that is non-residential property exclusively zoned for specific businesses— mostly for offices, retail, industrial, and warehouse spaces.
Commercial real estate involves a buyer owning a building or having an interest in a building that’s leased to a business. Before the property can be developed, it requires an intensive amount of planning and must adhere to zoning laws.
Industrial real estate involves buying land with the opportunity to construct buildings that focus on industrial activities, including manufacturers, production, and mega-online businesses for fulfillment and distribution purposes.
For developers interested in buying land for industrial use, it's crucial to know this process is often complicated, especially when it comes time to build on the land.
Another type of land for sale is called office real estate. This type of land is typically purchased by businesses to conduct their day-to-day business activities.
Once purchased and developed, buyers can earn profits through capital gains or rental income.
With 20 years of industry experience, VestRight has become experts in residential land investing deals.
We specialize exclusively in residential, off-market raw land deals, and focus on areas with lucrative residential development potential.
A residential developer's end game is to take a piece of raw land and subdivide it into individual finished lots. The developer will then either build or sell the finished lots within the allocated profit margin.
With our successful method, we’re able to gain high returns by selling the land to these home builders who want to build single-family neighborhoods.
Agricultural land is primarily found in rural areas for large grow-crop farms to smaller farms, ranches, and land for hunting.
Making an agricultural investment can be intimidating, which is especially true for a row crop or livestock operation because it has to have a significant amount of acreage to be financially viable.
Which, consequently, can require significant capital upfront… something that’s not required with VestRight’s model with raw, residential land. Keep reading to find out what we mean.
Last, you’ll hear about forest land. The U.S. National Forest doesn't have property or land for sale.
Although it's rare, you can buy existing plots of private property within the National Forest, which is highly competitive and expensive.
However, land bordering national forests, as well as wooded and other scenic tree-filled plots are available to purchase and are usually sold to buyers who want to use the property for recreational purposes or retreats.
What are the Benefits of Raw Land?
The value of raw land is not only steady but it’s actually shown a continued trend of exponential growth in recent years. This makes finding raw land more lucrative than ever before.
When it comes to raw land investing, nothing compares in the real estate industry that’s equivalent to the value of raw “off-market,” developable land.
Home developers are having a hard time finding enough land to keep up with the housing demand. So capitalizing on raw land opens incredible opportunities for real estate professionals and entrepreneurs like you.
Here are some benefits most people don't know about when it comes to finding raw land.
While there are hundreds of thousands of people involved in traditional residential real estate investing, including rehabbing, flipping, and wholesaling, they're all competing for the same deals.
They focus on on-market deals, versus off-market, which is why there’s so much competition out there!
Hardly anyone knows how to find available, raw land with development potential, which ultimately means there’s low competition.
With the right training, you'll understand how finding raw land for developers is critical to succeeding in the industry.
When becoming a land specialist, you have the potential to earn significant profits when you find raw developable land and sell it to motivated developers, desperate for land.
Raw land continues to increase in value as the demand grows. As the population rate continues to grow, it will greatly impact the housing market and the need for land to build on.
Little to No Capital
While other types of land or real estate investments require a lot of capital upfront, the amount of money you put into a deal with VestRight is little to none.
We show you how to successfully find off-market raw land with development potential and sell the property to land-hungry homebuilders for large profits per deal, without needing motivated sellers, hardball negotiation, or putting your own capital at risk.
You’ll learn how to use other people’s money and profit, instead.
One of the most profitable and least understood strategies in real estate is finding and selling land. As we’ve mentioned, there’s an ever-growing population, with a parallel increase in demand for raw land.
However, since there’s only a finite amount of land to accommodate growth, you have an incredible opportunity to capitalize on the unprecedented demand for raw land with development potential… with the right knowledge that is.
Once you put your time into understanding the process of acquiring land, getting it approved, and selling it to a buyer, you’ll have the ability to enhance your future in the process.
The concept of investing in land is not well understood by many. Most people aren’t knowledgeable about how the raw land process works, so they think it’s extremely risky.
And it is… but mostly for the developers.
We help you navigate a somewhat untapped industry while mitigating risks for yourself as well as these home developers you’re talking to. Through our programs, we avoid risk and help you take control of your investments, so you can substantially profit.
At VestRight, we empower our students to confidently make profitable decisions that transform their lives and their future with LAND.
We reveal a clear path to freedom with the flexibility to work from anywhere you want on your own schedule, so you can improve your life and enjoy it too.
You’ll gain the freedom to spend more time doing what you love most, like spending quality time with your family and friends, taking care of yourself and your health, traveling, and so much more.
How to Find, Evaluate, & Profit from Raw Land Investing
Alright so, we’ve discussed what raw land is, the different types of land investments, and the major benefits of investing in off-market, developable land.
Now we want to break down our unique, proven 3-step process on how it’s all done.
Finding Off-Market, Developable Land
We prospect for off-market, raw land that has development potential for home developers to build on.
Our training focuses on ethically sourcing opportunities and approaching deals authentically through a step-by-step process.
Step 1: First, you need basic acquisition criteria, which is easy to do by simply talking to developers about what they’re looking for. They’ll tell you. This will effortlessly happen as you create beneficial relationships with developers and even buyers.
Step 2: Next, we leverage internet resources and sources from counties and title companies to find a list of property owners that we can contact to purchase their raw land.
We always offer them a fair market price for their land. You'll learn through our training how to find the right sellers and land to buy.
And when you do it right, all it requires is a little bit of research and building the right relationships.
Step 3: Since we offer fair market prices, the sellers are typically happy and cooperative. There’s no hardball negotiating needed to make a sale, no need for motivated sellers, and no need to look for vulture deals or deep discounts.
That’s not what we’re about. Instead, we create a win-win situation throughout the entire process.
The sellers win by getting the price they want. We win by purchasing the land at the right price and then we sell it to developers at a higher price with added value.
And developers win too because we provide them with the vacant property they’re looking for so they can develop.
Again… we cover all of this in our courses if you’re curious and would like to check it out further.
Evaluating a Piece of Raw Land
After finding a piece of raw land, the next step is to evaluate it to ensure it’s approved for developers.
Key Concepts to Know to Determine if Land is Developable
We’ll help break down the five concepts EVERYONE should know to determine if a piece of raw land has development potential or not. These evaluations are crucial before you decide to sell a piece of raw land to builders.
Knowing how a piece of land is zoned is pertinent to determine if it's developable or not.
Zoning laws are local government rules and regulations specifying how property can be developed. It’s part of the planning process to ensure congruity and to determine what can and cannot be developed on the property.
Zoning protects surrounding properties from being improperly used.
Access is a concept that refers to whether or not there are public roads leading into or out of your property, as well as traffic flow within the area.
You need to know how to gain access to the land in order to become a developed neighborhood.
When looking at potential raw land to build on, it's important to determine the location of its utilities— such as electricity, public water, sewer, stormwater systems, if there's a flood plain or possible flooding, and if there are reservoir requirements.
It’s crucial to know these details before passing it off as it’s viable for development.
You also need to know if there are any natural habitat overlays on the property that might prevent the buyers from being able to develop.
When looking at overlays, it’s important to know if the property has wetlands, a floodplain, or steep slopes. These will determine if it's the right land to develop.
The typography illustrates the shape of the land surface, including the locations and forms of hills, valleys, streams, and other features to show the surface elevation of where a property is located.
Selling & Profiting from the Land
With our model, VestRight focuses on adding value. We add value to the land we find for developers using our specialized knowledge to help get the land through entitlements and approvals.
This is something that takes TIME. Which a lot of developers don’t have.
Once we get the land approved and under contract for developers, it adds a huge amount of value for the homebuilders, which can ultimately lead to a nice profit.
But as a land specialist at Vestright, you have options when it comes to your paydays.
You can simply find the land and pass it to a developer who will buy and build on it. Then, you’ll exit quickly and still earn a decent percentage of the deal once they close in exchange for bringing it to them.
Or you can wait out the entire process with the developer and earn a large profit. It just depends on how much time you want to dedicate and how much money you want to make.
It’s a win-win-win across the board.
Applying our model to the traditional method of development has allowed many successful students to gain big profits through land deals, all across the country without ever stepping foot on the dirt.
Understand the Raw Land Process with VestRight
Land development and investing is a “blue ocean” of opportunity and there is currently nobody else who is teaching the VestRight methods. This process can be a bit overwhelming, and it requires time and commitment to be successful.
But once you do understand our raw land development process, and utilize our proven, 3-step method, you’ll experience incredible opportunities in all aspects of your life.
We teach people like you the steps to put together land deals in the development space while avoiding the risks that land developers take on, and the capital needed to do so.
You can get started by downloading our free 7-Figure Raw Land Paydays Playbook which dives into what you need to know to get started.