Is Land a Good Investment in 2025?

by discovernwrealtygroup-chime-me

If you’re wondering is land a good investment in 2025, the short answer is yes—especially in regions like Washington State. With rising home prices, growing interest in rural living, and increased demand for flexible land use, more buyers are turning to land as a stable and strategic asset. Whether you’re planning to build a home, retire off-grid, or simply diversify your portfolio, land investment offers unique advantages in today’s real estate market. In this guide, we’ll explore why land is gaining traction, what to consider, and which areas in Washington are worth a closer look.

Why Land Investment Still Makes Sense in 2025

Land remains one of the few truly finite assets. In 2025, several trends are reinforcing its value:

Remote work and self-sufficiency are driving interest in rural properties.
Inflation and housing shortages are pushing investors toward hard assets like land.
Zoning flexibility in counties like Lewis, Yakima, and Clark offers potential for residential, agricultural, or mixed use.

According to the National Association of Realtors, land sales increased year-over-year in 2024, and the upward trend is expected to continue, especially in the Pacific Northwest.

Cost of Land and Market Trends in Washington

In Washington, rural land prices can vary dramatically by location and access to utilities:

Lewis County: Raw land often starts around $10,000–$15,000 per acre
Yakima County: Orchard and agricultural parcels available from $8,000 per acre
Clark County: Higher-end rural land ranges from $25,000–$50,000 per acre

While prices have climbed, land still presents a lower barrier to entry than developed real estate. Holding costs are relatively low, especially for undeveloped parcels without utilities or structures.

Pros and Cons of Buying Land in 2025

Pros:

Appreciation Potential: Especially in growing regions near expanding cities like Spokane or Vancouver
Low Carrying Costs: Property taxes on vacant land are often much lower than on developed lots
Freedom to Build or Hold: Use it now or later—great flexibility for retirement or future resale
Tangible Asset: Unlike stocks, land can’t vanish overnight

Cons:

Utility Setup Costs: Wells, septic systems, and power lines can be expensive
Zoning Restrictions: Not all parcels allow building—check county regulations
Limited Immediate Cash Flow: Unlike rental property, land typically doesn’t generate income unless leased or subdivided

Learn more about zoning and development costs at Washington State Department of Commerce.

Best Types of Land to Buy in Washington

Depending on your goals, here are a few investment-friendly land types to explore:

Recreational land: Popular for short-term use or Airbnb-style rentals
Timberland or agricultural land: Potential for long-term revenue
Rural residential lots: Ideal for building homes or tiny houses
Unrestricted land: Flexibility to homestead or operate a small business

Counties like Lewis offer raw, unrestricted lots ideal for homesteaders or investors aiming to build equity over time.

So, Is Land a Good Investment in 2025?

Yes—especially for buyers looking for a long-term hedge against inflation, a place to build, or a future retirement option. Washington State offers diverse land opportunities from remote wilderness to semi-rural developments. Whether you’re seeking lifestyle freedom or portfolio diversification, land remains a smart buy in the right location.

Ready to explore listings or speak with a Washington land expert? Contact us today or download our free guide to buying rural property in 2025.