Land

AAA

DEFINITION of 'Land'

Property or real estate, not including buildings or equipment, that does not occur naturally. Depending on the title, land ownership may also give the holder the rights to all natural resources on the land. These may include water, plants, human and animal life, fossils, soil, minerals, electromagnetic features, geographical location, and geophysical occurrences.

INVESTOPEDIA EXPLAINS 'Land'

In the traditional school of economics, land is considered a factor of production, along with labor and capital.

Selling land results in a capital gain or loss. As opposed to almost any other asset, land is not a depreciable asset under IRS tax laws. Land ownership does not contain or include any permissions to develop the property, as opposed to a 'plot', which is a real property that is slated for development.

RELATED TERMS
  1. Emblements

    Annual crops cultivated by a tenant which are treated as the ...
  2. Landominium

    A type of residential property in which the owner owns both the ...
  3. Land Contract

    An agreement between a buyer and seller of property in which ...
  4. Factors Of Production

    An economic term to describe the inputs that are used in the ...
  5. Landlord

    A real estate owner who rents or leases land or a building to ...
  6. Capital Asset

    A type of asset that is not easily sold in the regular course ...
Related Articles
  1. An Introduction To Depreciation
    Active Trading

    An Introduction To Depreciation

  2. Mortgages: How Much Can You Afford?
    Budgeting

    Mortgages: How Much Can You Afford?

  3. How To Assess A Real Estate Investment ...
    Home & Auto

    How To Assess A Real Estate Investment ...

  4. Is it true that you can sell your home ...
    Investing

    Is it true that you can sell your home ...

comments powered by Disqus
Hot Definitions
  1. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  2. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  3. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  4. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
  5. Days Payable Outstanding - DPO

    A company's average payable period. Calculated as: ending accounts payable / (cost of sales/number of days).
  6. Net Sales

    The amount of sales generated by a company after the deduction of returns, allowances for damaged or missing goods and any ...
Trading Center