Cashflow from raw land?

[Ramon Cuevas]

Hello BP,

I recently listened to a podcast which featured Mark Podolsky a.ka the land geek and he discussed a strategy to cash flow from raw land. If I understand correctly, he is purchasing vacant lots at a discount and owner financing them at a higher price and creating cash flow. Anybody has any experience with this strategy? I bought 5 acres last year to build a home but have since reconsidered. I am considering selling it with owner financing or establishing relationships with builder/developer and maybe partner on a deal to try and develop land for new construction.

Any ideas/suggestions will be appreciated.

[Jay Hinrichs]

land game is hundreds of years old.. NOTHING any of the land geeks teach today was not being done 20, 30 , 40 , 50 years ago.. My dad did this for 30 years I grew up in it.. I suspect he bought and sold over 5,000 lots in his career.. one year he did 800 transactions.. Of course we were a full blown real estate company with 20 agents peddling our dirt full time..

the paper can be shaky at times.. kind of like timeshare paper..

just look at any hunting or fishing national mag.. you will see ads in the back for 40 acres in texas for 4,990.  100 down 75 a month.. this is the game.. most of this stuff gets traded via tax sales.

you buy at tax sale for cash sell to next person who has a dream.. they finally stop paying taxs or you and they lose it to the next person.. never ending cycle.