For many years property has been seen as a solid investment and there is a good reason for this. Property tends to go up in value. Of course, there are times when the value dips but the general trend is upward, you simply need to be able to wait long enough. 

Buying a lot means that you can create your own home, this can be seen as an investment although for many people it is somewhere to live and gives them financial security for life. But, whether you are looking at where to buy investment property or how to go about buying a lot, you need to get as much information together beforehand as possible.


There are plenty of lots for sale but that doesn’t mean all of them can be built on. While you need to spend time thinking about your ideal location, the key to successfully purchasing a lot and creating an investment property is to make sure you are purchasing somewhere that can be built on. 

You can check with your local authority to ensure you are looking at constructible land. This means you can build after getting planning approval for your intended property. If you purchase a plot that isn’t constructible there is no guarantee you’ll ever be able to build on it. 

Check The Terrain

It probably won’t surprise you to realize that hilly terrain is harder to build on than flat ground. Equally, if there is a high-water level under the ground you’ll incur additional expenses and issues when building. 

However, you may not have thought about the terrain any further than this. While most building lots don’t have woods on them, there may be a tree or two. If this is where you’re intending to build then the tree will need to be removed. Because the roots can spread over a large area, it can be surprisingly costly to remove a tree. 

You may also find there are restrictions on tree removal, check first!

Additionally, you’ll need to verify if you are in a bush fire risk zone or even a flood zone. This will affect your build options.

Finally, when looking at the plot you need to consider what is under the soil. It is a lot harder to create foundations if the ground is rock than if you simply have to dig soil.


If you’re buying a lot to create a property then you’re going to need to know where the closest gas, electricity, and water is. You’ll want these utilities to survive but the further away they are from the house the harder and more costly it is to get connected. 

Don’t Forget Stamp Duty

If you buy a lot and pay stamp duty before the house is built the stamp duty will be less than if you buy the lot with a completed house. The second option is more attractive if the builder is buying the land and building for you and then you borrow once to settle everything, but the stamp duty cost will be higher. 

Don’t forget to check if you are eligible for any grants in your area and to choose a lender that specializes in lots.