Debunking Some Age-Old Misconceptions about Land for Sale.

Ghana has a rich cultural heritage with every town or city having its legends and myths. Most of these stories are not factual. They’re what is known in the local parlance as ‘Kwaku Ananse stories’ – these are stories written and told not to be believed but to shape moral standards and are told for both the indigenes and foreigners to appreciate the rich culture Ghanaians find so important to preserve. Some myths, however, emerged out of misinformation and wrong assumption and are not worth preserving.

Over the past decades, the real estate industry has been significantly affected by some of these myths. They have discouraged buyers of land or have led them into making bad choices.

Here are some age-old misconceptions about land buying and selling that you should watch out for.

It takes a long time before you can see a significant appreciation in land value.

Land is one of the very few asset types that appreciate. The rate of appreciation however depends on a variety of factors, of which the most influential is the development of its location. Location is everything in real estate – A land in a prime locality with access to infrastructural development is more likely to increase in value due to the city’s rapid development.

The competition is too tight so you need to hurry up and buy the first land you find.

Even though there is high competition for land between different groups such as multiple land users, urban elite and foreign investors, land remains low most of the time. People don’t buy land every day. For many who do, it could be the first and only land they will buy in their entire life. Land sale is relatively slow and has never been swift enough to cause a stir in the market. Even parcels of land situated at vantage places sometimes stay on listings for many months. Don’t let anybody exert unnecessary pressure on you when buying. The only thing you can achieve by rushing is failure to choose the property that suits your needs and preference.

All land must be priced equally because it’s empty.

One important and unique characteristic of land is its fixed nature. Land is immovable and where it is located will have an enormous influence on its value. Although land is certainly less costly than the building on it, that doesn’t mean it should be priced the same across the board – just like a fingerprint, no two pieces of land are the same. There are other factors, apart from basic land features, that affect land value. For instance, lands in well-developed areas are pricier than those in the suburb.

Be smart when evaluating information regarding land purchase and sale. Make sure you know how to differentiate a fact from a myth so you can avoid basing your decision on false assumptions. Having a good agent to help you make decisions can increase your chance of finding the perfect plot.

 

Sources:

https://www.jstor.org/stable/3144468

https://passmasters.com/article/property-ownership/physical-characteristics-of-land

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