Ground land is the land without human influence such as excavation, backfilling and leveling but maintaining the status quo. So, the project ground is the land lot in the project of the investor, not under construction and still in the initial state.
In general, project land is often selected in areas with clear, approved planning, and many utilities around. It is intended for use in large construction projects such as ecological zones, residential areas, or can also be residential, corporate, office, and factory projects.
The biggest downside is that there is no separate pink book immediately (usual buyers will have to wait for 9-12 months to have an official pink book, some pending projects even take up to 2-3 years). Next is because there is no pink book available, the trust of the customer is very little. There is a commitment between the agency, sales agent to customers, but there is no commitment between the investor/developer and customer. The third drawback is that in order to have a large area to build projects such as urban areas, residential areas with a reasonable price, it is imperative to be located far from the main roads, far from the center, which means that there are few people live. If everything is okay then progress is the most important, some projects are pending and couldn’t finish after 5-7 years.
However, if you know how to invest, the project land also has many advantages:
The first owner that buys with the original price will have a higer profit. Also, investors can easily choose the best location. Normally, only 50% of payment is required to be granted a construction permit if the project is full legal transparency.
So what should be concerned when investing in project land?
1. Investor/developer: find out who the investor is transparent? have their investment history been successful or not, and how long is the timeline for their previous projects? You should take a look at their previous projects and see the projects under construction.
2. Look at the project location and think about 5-10 years later how will it be like? Thinking here is not about how beautiful or elaborate it is but about the surrounding areas. If there is an expansive industrial zone, that land is definitely fragrant, maybe there will be a school or a medical facility, it will turn that project into a bustling place, etc. This is called potential and surely everyone knows it.
3. Ask people around the project. Most companies and sales will say positive things to the project and the speed of the project so it is best to ask people about the construction progress of the project. A full legal project, the potential is no reason to build slowly.
4. Price is the most difficult problem because project land often has a high price, though everything is good, the price will increase, but how much a year? Can not buy land 1 billion that can only have 5-10 million after 1 year.
5. Do not forget the transparency and legality of the project. A good project has nothing to be confused about the land they sell. Take a look at the excerpts, decide when to go see the soil, etc.
Credit: Diễn Đàn Bất Động Sản Việt Nam (Facebook Group)