Thinking about buying several acres of farmland? Note the top five things to consider before buying farmland to ensure you make the right purchase.
Some of us love the idea of living off the land, growing our own food, and embracing a simpler way of life. While the idea seems idyllic, it’s important to consider certain factors before moving forward, from price to potential infrastructure on the property. Join us as we explore several crucial things to consider before buying farmland.
Price of the Acreage
Price per acre is one of the first things to consider when buying farmland. This can vary significantly depending on the location, quality of the land, and what infrastructure is already in place.
Look at comparable sales in the area to get an idea of a fair price. The cost of the land includes not just the cost of the land itself but also any associated costs, such as taxes, insurance, and maintenance. After buying the land, you may have to invest in specific improvements, such as irrigation systems, fencing, or equipment; this can get expensive, and you should factor it into your budget.
Quality of the Land
Get a professional land evaluation to assess its quality and potential for agricultural use. This includes the soil type, which can influence the crops you can grow and their productivity. You may also consider getting a soil test to determine fertility and composition.
Additionally, look at the topography of the land. Flat or gently sloping land is generally more suitable for farming than steeply sloping terrain. You may need to buy specific machinery such as a skid steer and attachments like material buckets, augers, and tillers to work on uneven land.
Pro Tip
There are countless uses for skid steer material buckets on your farm. With this attachment, you can use your skid steer to move and transport various materials such as gravel, dirt, mulch, or feed.
Location of the Farmland
Map out the location of the farmland and consider its proximity to markets, suppliers, and your residence. Transportation costs can be a significant expense when selling or buying farm supplies.
Moreover, if you plan on living on the farm, consider factors such as access to schools, medical facilities, and community services. Proximity to markets can significantly affect your profitability.
Pro Tip
Certain crops thrive in specific climates, and extreme weather events can jeopardize your harvest. Before buying a farm, research how the climate and weather patterns impact the crops you plan to grow on your farmland.
Zoning and Regulations
Zoning laws are another thing to consider before buying farmland. Depending on your plans for the land, certain zoning restrictions may limit your options. Look into any permits or licenses you need before starting farming activities.
Understanding any environmental regulations that could impact your operations is essential. Familiarize yourself with laws regarding water usage, pesticide and fertilizer use, and waste disposal.
Infrastructure on Property
As you evaluate property options, pay attention to any existing infrastructure. This can include buildings, irrigation systems, fencing, and utilities such as water and electricity. The more established a property is, the less you’ll have to spend on developing it. Keep in mind that older or poorly maintained infrastructure could cost you more in repairs and maintenance. Schedule a professional inspection to determine these structures’ condition and potential lifespan. Purchasing farmland is a significant investment that requires careful consideration to buy the right property.
