Land speculation is the practice of buying land with the hope that its value will increase over time. Investors purchase properties, often in undeveloped or growing areas, anticipating that demand will rise due to factors like population growth or infrastructure development. This can lead to significant profits when the land is sold at a higher price. However, land speculation carries risks, as market conditions can change unexpectedly. If the anticipated growth does not occur, investors may face losses. Speculators often rely on research and trends to make informed decisions, but the unpredictable nature of real estate markets can complicate their strategies.