Don’t Just Look at the Price When Buying Land! The “True Value” Lies in What Most People Never See

Many people believe that “buying cheap land equals profit.”

But in reality, many successful real estate investors think the opposite.

They don’t ask,

“Is this plot cheap?”

Instead, they ask,

“Will people want to compete to buy this plot in 10 years?”

This is the difference between a “land buyer” and a “land investor.”

Land price is just a number, but “value” is created afterward

Many people open real estate listing websites and sort prices from lowest to highest.

Professional investors rarely do this.

Because today’s land price is merely the “result” of what happened in the past.

What you should focus on is the “future.”

For example:

• Will a road pass through the area within 3 years?
• Is there a new BTS station or transportation project planned?
• Are universities, hospitals, or shopping centers coming in?
• Which direction is the city expanding?
• Are warehouses, factories, or housing estates starting to increase in the area?

Land prices don’t usually surge because of the land itself,

but because of the “activities of people” moving in.

Investors don’t buy “land”

They buy “time.”

Ordinary people buy thinking,

“The price will rise in a few years.”

But the truth is,

some plots take 20 years without any change,

while others increase in value many times over in just 3 years.

The difference is not luck,

but the “timing of the city.”

Every city has a growth direction.

When you understand that direction, you’re not just buying land,

you’re buying “time” ahead of others.

The road in front of the land is more important than the land size

Many people negotiate prices down by hundreds of thousands,

but forget to check that the frontage on the road is only 8 meters.

Land with sufficient frontage usually offers more development options, whether building houses, subdividing for sale, or constructing commercial buildings.

Sometimes land priced over 10% higher but with good frontage can generate returns many times greater than cheaper land.

Neighbors can change the land’s value

What most people overlook is the “surrounding people.”

Try to survey:

• What level of single houses surround the area?
• Are there new projects opening nearby?
• Are there heavy factories close by?
• Is there a large amount of vacant land?
• Are there shops and services supporting residential living?

Real estate doesn’t grow in isolation,

but grows along with the community.

Land with nothing on it may be worth more than developed land

This may sound contradictory,

but it’s true.

Fully developed areas often have less price growth potential than areas just beginning to change.

The key question is,

“Is the area about to change?”

Not “has it already changed.”

Good investors try to buy before the news becomes widespread,

not after everyone already knows.

Beware of the “appraisal price trap”

Many people use the Treasury Department’s appraisal price as the deciding factor.

But appraisal prices are intended for tax and government assessment purposes, not market prices.

In many areas, actual transaction prices can be significantly higher or lower than appraisal prices.

Therefore, appraisal prices should be used only as reference information, not the final answer.

The best land may not be the most beautiful land

A beautiful, rectangular plot on a main road doesn’t necessarily suit every purpose.

If you plan to build a warehouse, you may need more depth than frontage.

If you want to subdivide for sale, frontage might be more important.

If you want to rent it out, access to transportation systems might be the top priority.

Choose land that matches your goals, not based on feelings.

Insights from Hia Pick

“Cheap prices make decisions easy, but true value makes investments profitable.”

When I look at land, I don’t start with the price.

I start with questions like:

• If I sell in 5 years, who will be the buyer?
• If I rent it out, who will be the tenant?
• If I develop it, what can I build?
• If I do nothing, why will this land increase in value?

If I can’t answer these questions,

no matter how cheap it is, I won’t buy.

Summary

Buying land is not a competition to see who can buy the cheapest,

but a competition to see who can “see the future farther.”

Land prices may change daily,

but location, area potential, and city growth direction are what create long-term wealth.

If you are looking for land, whether for residence, project development, or investment, start by studying these factors, and you will see each plot very differently.

Frequently Asked Questions

What should I look at first when buying land?

Start with your intended use, then check the location, access to public roads, land title, zoning, and the area’s growth potential.

Is land on a main road always better?

Not always. For residential purposes, secondary roads may offer more tranquility. For business or commercial use, main roads provide advantages in visibility and accessibility.

Should I rush to buy cheap land?

Cheap price alone is not sufficient reason. Consider the environment, development trends, legal restrictions, and the land’s usability as well.