Buying Land vs Apartment - What Is A Better Investment?
Investors are always looking for ways to diversify their property portfolio. With the price of real estate on an upswing, it's no surprise that more and more people are looking to invest in this asset class! But how do you choose between a plot vs an apartment? Is it better to invest in land or homes?
This article explores the pros and cons of plots vs apartments to help you make an informed decision.
Pros And Cons Of Investing In Plots And Flats
There are several factors to consider before investing in either plots or apartments. Here are some key pros and cons to help you make your decision:
Effort
One primary consideration is the amount of effort required. Building a house from scratch requires a lot of planning and coordination. You will need to find an architect, get construction permits, and hire contractors. Even if you are working with a professional team, it can be a very hands-on process. In contrast, buying a flat is generally much simpler. You will still need to do some research to find the right property, but the process is usually less complicated and time-consuming.
Value
Value-wise, plots tend to have more property value. There's less development done on them; thus, they're often seen as a more blank canvas - meaning there's more potential for appreciation. On the other hand, flats are already developed, which means that most of the appreciation has already been realized.
Return on investment
Usually, more land is available for development, so buying land for investment purposes offers greater potential for capital growth. However, flats can be easier to rent out and generate a steadier income stream. They also tend to have lower maintenance costs than plots, making them a more cost-effective investment in the long run.
Customization
Plots of land offer much more scope for customization than flats. If you buy a flat, you're generally stuck with whatever layout and facilities the builder has decided to include. With a plot of land, on the other hand, you can build exactly the home you want, tailored to your own needs and taste.
Income
A flat is usually a better option than a plot if you're looking to generate income from your property. Flats can be easily rented out or used as airbnbs, usually in high-demand areas. Yet, a farmhouse on a plot of land can also be turned into a very successful business. So, it all comes down to the location and what you're willing to do with the property.
Quality of living
Plots of land typically give you more space and flexibility than a city flat. You may have more privacy and a more tranquil setting than a densely populated urban area. However, apartments are often more convenient. They tend to be closer to city amenities and public transportation, making them a better choice for those seeking easy access to the hustle and bustle of city life.
Reasons To Invest In A Flat
Below are some key reasons to consider investing in a flat:
1. Much simpler to buy and require less effort to coordinate.
2. Closer to city amenities and public transportation.
3. Can be easily rented out or used as airbnbs.
4. Have lower maintenance costs, making them a more cost-effective investment in the long run than plots.
Find apartments for sale in Cyprus.
Reasons To Invest In A Plot
Below are some key reasons why to consider investing in a plot of land:
1. Offers more scope for customisation than flats.
2. Greater potential for capital growth.
3. More land available for development.
4. Typically gives you more space and flexibility than a city flat.
Find plots for sale in Cyprus.
So, Whats The Verdict? Which Is Better: Buying A Flat vs Buying A Land?
The answer is it depends. There are many factors to consider when making this decision. The Gogordian Real Estate team can assist you with buying either plots or flats. Navigate through our website for plots and apartments for sale in Cyprus biggest cities: Nicosia, Limassol, Larnaca, Paphos, Protaras and Ayia Napa.
Call us today for more information if you cant find what you're looking for.