There are several ways to make money than building a property on it.
Depending on the size, resources available, and the location of your land, some ideas will take more effort than others. But overall, you will have a foundation on what to consider and think about how you can turn your vacant land into an investment.
1. Subdivide your land
If you own a large plot of land, you may decide to subdivide it and sell it into smaller plots to earn more money than if you were to sell it as a whole.
You can sell all of the land or keep some of it for other uses. To subdivide a lot, you must have a title deed for it.
Then get a licensed physical planner to prepare a subdivision plan at the relevant one stop center to start the process. As stated by Rwanda Land Management & Use Authority:
- The subdivision should follow the implementation of a proposed land use in a particular area by the master plan.
- And it shall respect the allowed plot size according to the land use zoning guidelines, standards for land use categories and/or specific local zoning regulations. In residential zones, the plot size should be subjected to the acceptable area for obtaining a building permit.
2. Selling your Land
It might sound counterintuitive, but it can pay off in the long run if you hold onto the land and sell it later.
The land appreciates because there is no more. It can also be appreciated according to demand and supply in the area where your land is located.
Visit www.houseinrwanda.com and keep following up land trends to get an idea of prices, amenities and infrastructure changes that could influence the price of your land. Then decide if keeping it and selling it later makes financial sense for you.
3. Rent space for events
If you have a large lot, you can rent it out for events like weddings and concerts. You can either rent the place as it is, without additional equipment and charge a fixed price for the land.
Or you can invest in and rent tents, chairs and tables. This option will be more expensive at first, but you will eventually be able to get your money back as you rent your items.
4. Start small scale farming
Depending on the soil and climate in your area, you can plant different vegetables and crops to sell them and make money from them.
Another good thing to do is to start raising animals like cows, sheep, goats or poultry. Get good at this skill, then schedule tours to your farm to teach people how to do it on their own and share your successes.
There are different ways of using your vacant land to make you money. As with any business venture, always do proper research before starting and ask for help from family and friends to advise you on the best possible ways to convert it into an investment.
5. Rental to small groups
Some people cannot afford to buy land on their own and may rent it from you. You will decide how much to charge depending on the size of the land and the investment you want to make from it.
6. Use as a storage facility
If your land is close to factories or industries, you can convert it to a storage facility for nearby businesses. Companies can buy your land to build the facility themselves, or you can charge a rent.
These are the basic idea and the best ways to use your vacant land to make money. As with any business venture, always do proper research before you start and enlist the help of family and friends to advise you on the best ways to make an investment.
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