Real estate prices are appreciating moderately currently in Texas. We never have, and probably never will, see the double digit gains that other states saw recently, but this makes us much less likely to have a price correction in our near future!
One of our high growth specialties currently is land. In land prices we have seen double digit gains for the past five years, adding up to a robust 76% gain total. Only 1973-74 had larger percentage point increases per year.
The median land price in 2005 was $1,483, up from $1,274 per acre in 2004. Now, before you ask....No, you can't come here and get one acre for $1,483. This typically applies to a large "ranch style" estates, fairly distant from the city with 50 or more acres. Individual one to five acre tracts are still selling for 10K-50K per acre.
Much of this land is being bought for recreational property rather than agricultural use (due to drought and farm policy disarray) and the demand is quite high.
When delving into your 45 day identification period for your 1031 Exchanges, realise that land is an option and think about investing. Current predictions look fairly rosy for the future.
Comments(1)