The decision to purchase farmland in the Midwest is a big financial and investment decision that will make a huge impact on your life. You will have to not only find the right land, but have the right equipment, the drive, and the time to make the most of your investment.
When searching for farmland to buy, there are a lot of factors you will need to take into consideration before you buy.
The Location Of The Land
The location of the land that you wish to farm is an essential part of your search. You don’t want to purchase land on a whim only to discover that it doesn’t have what you need.
You will also need to ask yourself:
- What you want to do with the land, such as raise livestock, plant crops, or both
- What is the soil like?
- Is there enough clean water and appropriate irrigation? What about wells?
- How is the land zoned? Will you be able to farm or build a home on it?
- Are there environmental problems that would impact farming on the land? If so, can they be resolved? How much will it cost?
- Is the land in a flood zone?
Get the land surveyed and soil tested. This will determine what you can do with the land, what can be planted, and so on. Zoning is important in that if the land is not zoned correctly, you may not be able to bring your farm plans into fruition. For example, if the land is zoned for commercial and you want to build a home and live there, you may need to get special permissions.
What Is The Price Of Land Per Acre?
Next, you need to consider how much your desired piece of farmland is selling for per acre. Farmland is often sold in tracts, so be sure to get this information from your realtor and the sellers so you know how much land you will be working with.
Before you make a deal, you need to take a close look at your own financial situation and know what you can and cannot afford. Like a home, you will need to get the land appraised and surveyed by a professional to make sure that there are no problems with it and it is worth the amount that it is being sold for. That way, you can negotiate the price.
What Rights Are There On The Property?
In addition to price and location, you will need to determinen what rights there are on the property, such as easement rights.
Easement rights are especially important in that they allow you to access your property via your neighbors land. Easement rights are typically already established and those rights are transferred to the buyer via the deed. If there are none, you will have to work with your neighbor to work them out so you may access the property.
How Long Are You Planning On Farming?
Are you planning on farming short- or long- term? If you are only planning on farming short-time, you may be better off renting the land.
How long you are planning on farming makes a huge impact on whether or not you should buy farmland, as you may not see immediate results in terms of ROI.
Hire A Professional Realtor
Before you begin your search for farmland, you will want to hire on a professional, licensed realtor. Always get guidance from a professional realtor who has experience buying and selling farmland. They will know the market in your desired area and will be able to guide you through the process and answer whatever questions you may have.
The professionals at Merchant of Homes have the experience, professionalism, and resources you need to find the right farmland for you.