Subdividing rural vacant land is one of the fastest ways to become a real estate millionaire.
This ๐ณ๐ฟ๐ฒ๐ฒ, ๐๐๐ฒ๐ฝ-๐ฏ๐-๐๐๐ฒ๐ฝ ๐ด๐๐ถ๐ฑ๐ฒ will show you how it's done.
๐๐๐ ๐๐ต๐ฒ ๐ฏ๐ฒ๐๐ ๐ฝ๐ฎ๐ฟ๐? You can do this with on-market deals.
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Here's a free, step-by-step guide to subdividing rural vacant land that could quickly make you hundreds of thousands--or even millions--of dollars while working a nine-to-five.
The best part? You can do this with on-market deals.
A ๐งต
Minor subdivides can be a great way to generate outsized returns.
For example, we recently made a $200k+ profit in under four months on one deal.
I'll walk through how we did it step-by-step ๐ฎ๐ป๐ฑ ๐๐ต๐ผ๐ ๐๐ต๐ฒ ๐๐ฒ๐๐๐น๐ฒ๐บ๐ฒ๐ป๐ ๐๐๐ฎ๐๐ฒ๐บ๐ฒ๐ป๐๐.
A ๐งต
A perc testโalso known as a โlevel three soil surveyโโis one of the most important parts of land due diligence.
We just โpassedโ one. This [๐งต] will walk you through each part of the report in detail.
Letโs talk soils.
Remember, you can make great money by subdividing small parcels.
Here's a short thread on how we generated an 83.53% return by subdividing a 3.365-acre infill lot into three ~1-acre mobile home lots.
We bought this deal for 40 cents on the dollar and made $84,000 in 48 days.
Like many of our best deals, it had title issues. But the uncooperative sellers turned it into a doozy.
Here's how we did it -- a ๐งต
Ever dreamt of flipping land but not sure where to start?
This free, step-by-step guide could make you a millionaire, even while you're working a nine-to-five.
Take the first step and dive in below.
We're under contract to buy a 369-acre property with about $350k worth of timber on it.
That's about half of our purchase price.
Come see how I look at timber reports. A ๐งต
Remember, you donโt have to invest $1,000,000 to make outsized returns.
We recently came close to tripling our money on a $25k investment in just 14 days.
Hereโs the story of our $44k net profit surprise subdivide deal.
We recouped our earnest money ($9k) and only spent about $1,500 in the due diligence process.
Terminating a deal is always painful, but I believe we made the right decision. And who knows, it could have been a grand slam. We wouldn't have known if we didn't dig in.
2024 can be the year you get your first land deal.
It could even be worth six figures.
Here's a no-fluff thread on the five-step playbook to help you get there.
While many of our deals involve subdivides and tough title issues, we often encounter "simple flips" that require minimal work and print cash.
Here's a deal review thread on a property that made us $40,397.33 in just 35 days.
Iโm still waiting on someone to tell me why bitcoin is better than land.
Land is actually scarce.
You canโt lose the password to your land.
You canโt hunt, fish, or raise a family on your bitcoin.
And when was the last time you turned this type of a profit on bitcoin?
Want to learn how to make an extra $130k while working your nine-to-five?
We did it while I was working a stressful law firm job with long hours.
All we did was make an offer. You can do it, too.
A ๐งต๐
Here's how to source great land deals.
1. Look beyond the obvious spots. Everyone's eyeing the city outskirts. Look out in the country. Despite what you city slickers think, there's a ton of demand for rural vacant land.
2. Invest heavily in marketing. This could be mail, cold
We believed the homes that would eventually go here would sell in the $500-600k range. The general rule of thumb we followed is that a pad-ready lot (i.e., all infrastructure is installed, and you can go vertical) is worth 15% of the value of the finished home.
This run-of-the-mill, 1.15-acre infill lot turned a $26,786 profit in just 50 days.
The crazy part?
We never even laid eyes on it.
Dive in to see how we did it. A ๐งต
@gas_biz
Depends on the following factors:
1) number of seconds until I shit my pants;
2) proximity to closest available alternative; and
3) cost of storeโs Zyn cans relative to other stores in a 10 mile vicinity.
And thatโs my Ted Talk.
Buying rural vacant land in the path of growth is one of the most straightforward and lucrative real estate strategies.
You can buy and flip or buy and hold.
This strategy makes more millionaries than almost any other. Why don't more people talk about it?
One deal wonโt change your life.
100 deals probably will.
One workout wonโt get you in shape.
Working out every day will.
Reading one book wonโt change your life.
Reading every day and applying what you learn will.
Don't forget about consistency--it's crucial.
@sweatystartup
While at my old firm, a partner told me: โI know itโs a grind to make partner, but itโs all worth it.โ
I saw his life. The guy was in the office seven to seven every weekday and came in every Sunday. Probably made $400k.
His comment helped me make the jump to entrepreneurship.
Want to start doing land deals but don't have the money?
This free guide to joint venture partnerships will show you how and where to find hundreds of thousandsโor even millionsโof dollars to fund your land deals.
The best part? It's not a loan.
A ๐งต
Iโm in a planning and zoning meeting right now. The board has been considering a variance on a fence for over 25 minutes. They got down to whether the slats should be horizontal or vertical. I just donโt get it.
You can make deals happen from anywhere. Weโve successfully exited deals in 14 states.
But of all places, itโs best to work in your own backyard. You have a tangible advantage over remote investors.
Thereโs nothing like a well-manicured pasture. Thatโs why people pay top dollar for it. In my experience, where the median price/acre is $6k, people will pay $10k/ac for pasture. Donโt sleep on a pasture deal, even if surrounding non-pasture comps are lower than asking.
Our next step was to get an engineering proposal. The quote came back at +/- $100k for the project. Here's the full cost breakdown for basic engineering services:
Another guideline we followed is that shovel-ready lots (i.e., entitled lots ready to have infrastructure installed) are worth 7.5% of the value of the finished home.
I call myself The Land Lawyer.
Here's a thread about how we used a little legal "know-how" to turn a title issue property into a six-figure profit in sixty-seven days ๐งต
Hereโs a free, step-by-step โhow-toโ guide on an important part of land investing: quickly and easily identifying wetlands.
Putting your money in a wet property can ruin youโespecially if youโre starting out.
This will help you make smart land investments ๐
How are local property taxes not the same thing as unrealized capital gains taxes?
Every year, the tax assessor says my land increased in value, and then I have to pay more tax to keep it.
Sounds like a tax on an unrealized gains to me ๐คท๐ปโโ๏ธ
Buying and holding rural land in the path of growth is one of the simplest and most lucrative real estate strategies out there.
Sure, it's not as sexy as ground-up development or multifamily syndication--but it's created more millionaires. Why aren't people talking about it?
One of the reasons Iโm on Twitter is to find great deal partners to work with.
I finally set up a landing page where people can submit deals.
Hereโs where to find it on my page:
Letโs work together!
Iโm still waiting on someone to tell me why single family investing or house flipping is a better strategy than subdividing land.
Iโve heard to a lot of noise, but still canโt find any persuasive reason.
Tell me why Iโm wrong ๐
Here's a free, step-by-step guide to subdividing rural vacant land that could quickly make you hundreds of thousands--or even millions--of dollars while working a nine-to-five.
The best part? You can do this with on-market deals.
A ๐งต
The
@Hyundai
Metaplant in Savannah, Georgia is coming along. Slated to open in 2025, the Metaplant and its associated suppliers are expected to bring approximately 15,000 jobs and billions of dollars of economic impact to the area. Iโm long on Savannah.
#economicdevelopment
@SoCalGoulah8
Their state also doesn't have social programs that create major incentives for homeless people to come, while lacking real infrastructure to help them.
First, this property is in a rapidly developing area.
It's about 30 minutes from the new $7.6-billion dollar Hyundai Metaplant, which is projected to add 8,500 direct-hire jobs (the ripple effect will be much larger).
INPUT DESIRED.
Iโll soon post a series of threads on investor capital in the land space and where to find it.
The series will cover:
(1) joint venture partnership funding;
(2) hard money lending; and
(3) bank financing.
What would you like to know about these topics?
Unfortunately, we weren't able to renegotiate. The seller wanted too much in light of the issues we uncovered in due diligence.
Still, this was $1,800 well spent!
I know this doesnโt look like much.
But this property means a lot to me.
It was our first major title issue property (see thread below) and it netted a six figure profit in 67 days.
This deal was the rocket fuel we needed to reach the next level.
Getting this pic framed.
I call myself The Land Lawyer.
Here's a thread about how we used a little legal "know-how" to turn a title issue property into a six-figure profit in sixty-seven days ๐งต
@sweatystartup
Is there anything more invigorating than a closed sale?
In our business, a buy-side purchase agreement is the equivalent of a โsale.โ
Nothing gets my blood pumping faster than reaching that agreement at a price I know will yield a profit.
So, turns out I love sales?
As a business owner, I've come to realize that a lot of my job is sales:
1) "Selling" sellers on selling us their property
2) Attracting potential deal partners
3) Attracting talented people to work with us
Investment expertise is not enough; sales skills are critical.
I had no idea this many people would be interested in learning about soils.
Yโall just blew my mind.
Drop a comment to let me what topics yโall would like me to cover in the future!
While at my old firm, a partner told me: โI know itโs a grind to make partner, but itโs all worth it.โ
I saw his life. He was a workaholic who billed from seven to seven every weekday and worked Sundays.
I didnโt want it.
He helped me make the jump to entrepreneurship.
๐ฆ๐๐ฒ๐ฝ ๐ง๐๐ผ: ๐ฅ๐ฒ๐๐ถ๐ฒ๐ ๐๐ต๐ฒ ๐ฆ๐๐ฏ๐ฑ๐ถ๐๐ถ๐๐ถ๐ผ๐ป ๐ฅ๐ฒ๐ด๐๐น๐ฎ๐๐ถ๐ผ๐ป๐
You'll want to read these closely. In particular, look for a "minor subdivision" or "exempt subdivision" category that does not require full county approval. It's faster, easier, and cheaper.
Many people think Twitter is the hardest platform to grow a social media following.
Itโs not that hard.
People here are starving for interesting and informative content. Yet, few deliver.
Post interesting and informative content, and youโll grow.
Itโs that simple.
In other words, we projected a loss when we spread the development costs over 15 lots.
And even though we only planned on selling entitled lots, if it doesn't pencil on the construction side, it won't pencil on the entitlement side. That's how you get stuck with a bad project.
Took a day off yesterday.
Saw an epic sunrise.
Boated with dolphins.
Caught a bunch of mahi.
And we did it with a deal partner we met through Twitter (developing a small mobile home park together).
This platform is wild.
What a time to be alive!
@GuyTalksFinance
Man their steak is pretty damn good. Donโt sleep on it. And donโt sleep on what the masses tell you is awesome. Finally post shames the middle class that is the damn backbone of this country. Theyโll eat where they find value.
Here's a news flash:
If you can't cogently explain your investment strategy, then you don't have a strategy worth pursuing.
Our vacant land strategy is simple and unlocks unbelievable value.
I can outline it in just seven bullet points. ๐
Industry conferences are great places to meet fellow operators and pick up new ideas.
There arenโt many people who do what we do. Itโs refreshing to be in a room full of land and curative title guys who tackle similar issues.
Further, there are actionable ideas you can pick up
Whatโs the greatest land deal in history?
These have to be up there:
Thomas Jefferson bought the Louisiana Territory (828,000 square miles) for $15 million (4 cents/acre)
Peter Minuit bought Manhattan for $24 in fancy beads
Georgia bought Jekyll Island for $675k
@gas_biz
In my first-ever legal internship, we did wills for the matriarch and patriarch of an immigrant family in the gas station/restaurant (Subway) business. Had to have a translator at their dining room table. Three generations living under the same roof. Everything left to one guy
Hunt camp properties are freaking awesome.
Weโre buying a big tract in GAโthe property comes with a school bus-turned-camper, a ton of homemade European mounts, and a tractor from 1964.
Weโre going to subdivide this one and sell to people who will make amazing memories here!
I just finished reading โHow to Make a Few Billion Dollarsโ by Brad Jacobs (founder and former CEO of United Rentals and six other billion-dollar companies).
My takeaways:
1) think unbelievably big;
2) be on the right side of the major trend (akin to Charlie Mungerโs โsurfingโ
๐ง๐๐ผ ๐ธ๐ฒ๐ ๐ถ๐๐ฒ๐บ๐:
1) You need to find and understand the county subdivision rules. These vary by jurisdiction.
2) Find a property with road frontage. Building a road is expensive, difficult, and time-consuming. You want to subdivide off of existing road frontage.
Why shouldnโt you ski at Vail?
You can go skiing in Switzerland for half the price.
Thatโs one reason my fiancรฉe and I will be in Zermatt in a about a week ๐
Check it ๐
๐ฆ๐๐ฒ๐ฝ ๐ข๐ป๐ฒ: ๐๐ฎ๐น๐น ๐๐ต๐ฒ ๐๐ผ๐๐ป๐๐ (๐ผ๐ฟ ๐ฐ๐ถ๐๐, ๐ถ๐ณ ๐ถ๐'๐ ๐ถ๐ป๐๐ถ๐ฑ๐ฒ ๐ฐ๐ถ๐๐ ๐น๐ถ๐บ๐ถ๐๐)
First, you need to know the rules of the game. Call the county to request a copy of their "subdivision regulations." This is your subdivision bible for that county.
This meant that it would cost around $1 million--between engineering and construction--to "go horizontal" and create shovel-ready lots.
In other words, if the estimates were anywhere close to correct, we'd be underwater on the project from day one.
Next, we liked how close water and sewer were to the property. We also liked that we were close enough to the city to request an annexation and rezoning.
Here's how to become a millionaire.
Create a durable cash flow stream. Then use that to finance a quality property in the path of growth. Hunt on it. Fish on it. Ride 4-wheelers out there with your kids. And then cash in when a developer wants to turn it into a subdivision.
At the risk of oversimplifying, a perc test measures a property's ability to absorb water. If the property can't properly absorb water, you can't install a conventional septic system. This means your system will be expensive, and your land will be worth less.