Thoughts on buying plots of land to flip? Why would this be a good or bad idea?

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I guess it depends on their liquidity

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Now this is interesting. No bank is going to lend you the money, so you need “dry powder” as they say. But I do know after the hurricanes in west FL, people who can’t rebuild (or don’t want to) are selling the plots. So yes, if you’ve got the cash on hand, buy and redevelop.

It’s kinda hit and miss. You better know what you’re doing. Me and my neighbor have the same 12 acres. His is a campsite, unbuildable. Mine can support a new home and an ADU. Mine is worth 350k, his is worth 120k. It’s all because of setbacks, lot size, water front also adds some challenges. He can’t fit a well and septic within the setbacks. I can.

Another example. Thought I got a good deal. Old ratty mobile home on a lake 25k. Basically I bought the lot. I was gonna rip it out, have another delivered, lay some fresh gravel. Connect it all up and sell it for 200k. A guy with a pack of barking German Shepard’s moves in next door. I barely escaped that one with a $500 profit. It’s hard to sell peace and quiet on a lake with a pack of dogs barking non stop.

Also yeah it’s a land contract with the owner, cash or you can get a construction loan. I usually go with land contract with 1-3 years payoff. So you could potentially pay like 1k a month carrying cost, 20% down, try to sell it at a profit before payoff. 🤷‍♂️ it’s all risky, not a great beginner strategy in my opinion.

Depends where, I suppose. The land I bought dropped about 60k, because I didn't do proper due diligence. I do know others who were successful at land flips though you may need to hold for a while

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