HomeBlogHome SellingLand Investment in Missouri: What Raw Ground Really Costs Share on Like what you see? Share with a friend. Land Investment in Missouri: What Raw Ground Really Costs Chris Kirshenboim | August 9, 2020 Last updated August 10, 2026 Most of what is written about land investment stops at the purchase price, which is the least interesting number. This guide to land investment starts with the part owners actually feel: what a parcel costs you every year while nothing happens on it. Property taxes come due whether or not the ground produces anything. Mowing and brush clearing are a real bill in Jefferson and Franklin counties. Then there is the question of whether the parcel can be built on at all, which comes down to road frontage, a percolation test for a septic system, flood mapping, and whether utilities stop at the property line or half a mile short of it. Two lots priced the same can be worth very different amounts once those answers come in. A parcel without legal access is not a discount, it is a problem. Plenty of people in Missouri end up owning land they inherited, bought years ago for a house they never built, or picked up at a tax sale and never visited. If that is you, holding it out of habit is the expensive option. Chris and the team buy land and houses across the St. Louis area, rated 4.9 across 368 Google reviews and BBB A+ accredited, from an office in Webster Groves. See how we buy houses, or read what land buyers in Missouri look at before making an offer. There are many reasons to get into land investment. It can be an excellent way to begin investing or as a way to diversify an already robust portfolio. People from all parts of the country and in all income brackets are turning to land as a stable and limited resource. Is it right for you? Learn more below! Guide To Land Investment In Missouri Land In Missouri Is Low Maintenance It isn't much you have to do when owning a piece of land. Maybe some landscaping so weeds don't get out of control, but otherwise, it basically just sits there. Make sure to be aware if utilities or other expensive assessments will be enforced while you are in ownership of the land. You wouldn't want to buy a $5,000 lot only to find you will be paying $20,000 (overtime) to have water ran to it. Easy To Get Started In MO You don't need to have a ton of experience to get started in land. Do your homework and you should be able to find something for only a few thousand dollars. Learn about the market and see what lots are going for. Are there seasonal trends? What does the future population growth look like? Are there development plans or changes in zoning on the radar? It is ready to be developed or is it raw land with no foreseeable plans nearby? Why Is The MO Land For Sale? Not all land is the same. Plots of land in one neighborhood might be impacted by completely different environmental factors. Protected animals might live on your lot and not your neighbors. This can inhibit your ability to build, thus lowering the value of the land. Maybe there are oil tanks in the ground or frequent flooding problems from the creek nearby. Make sure you learn as much as possible about the lot before making a purchase! What's Your Strategy In Missouri? Flip It - To flip land effectively, you need to buy low and sell high. You can do this by finding unlisted deals or directly contacting the owners of lots that appear to be overgrown and forgotten. The land may have been purchased long ago, and all but forgotten about until it's time to pay property taxes. By reaching out to owners directly, you will be able to create a relationship and possibly take unwanted real estate off their hands. When contacting any property owner, always be respectful and respect their privacy. If they are not interested in selling, never harass or bother them in hopes of doing so. You should then market the property to retail buyers. People who want to build a home on the site for themselves, etc. Buy And Hold - Land is an excellent investment to buy and hold. It will typically appreciate over time and is very simple to maintain. Your primary expense will be property taxes which are significantly lower than taxes on a home. You can hold until land values see a considerable jump or development plans are put into place. Lease It - Another option when owning land is to lease it to a party that has a use for it. This translates into almost 100% for you. Some interested parties might be farmers, hunters, or a nearby business looking for parking. Obviously, you will need to make sure the lot is zoned for what your renter intends to use it for. Sell My House In Missouri All investments come with risk. No matter what generation you are in, or who you are working with, it is always best to consult a financial planner or advisor for your big investment decisions. At Chris Buys Homes in St. Louis, we would love to help you with your investment goals in MO! So whether you sell your house in St. Louis or want to start in land investments. We can help! As investors and Missouri home buyers ourselves, we are here to help however we can! Do You Want To Buy Or Sell Your Land In MO? Send Us A Message With Your Investment Goals Or Give Our Office A Call Now At (314) 334-1481! FAQs Frequently Asked Questions What does it actually cost to hold vacant land in Missouri each year? + Property taxes, liability insurance if you carry it, and maintenance such as mowing or brush control. Municipal parcels can also draw code citations for overgrowth, which turns a quiet cost into a fine. How do I find out whether a parcel can be built on? + Check zoning and setback rules with the county, confirm legal road access on the plat, order a percolation test if there is no sewer, and look at the FEMA flood map before you assume anything. Does raw land sell more slowly than a house? + Usually, yes. The buyer pool is smaller and most lenders will not finance bare ground, so cash buyers set the pace and listings can sit for a year or more without a serious offer. Can I sell land I inherited but have never seen? + Yes, once the estate paperwork clears title. Out-of-state owners sell inherited Missouri parcels regularly, and no site visit is required from you when the buyer inspects the ground themselves.
