Website design By BotEap.comBuying farmland can be an attractive prospect for many, for a number of different reasons. Whatever your reasons; it is imperative to have a full understanding of what you are getting yourself into, because the legal processes are often more complicated when it comes to buying farmland.

Website design By BotEap.comDepending on which state you’re in, there are certain laws that will prevent you from buying farmland unless you can prove you have farming experience or own another parcel of farmland. These laws exist to protect the integrity of farmers and to prevent the complete urbanization of agricultural land in the country.

Website design By BotEap.comThat being said, it is not impossible to own a farm plot. It depends on how you plan to use the plot. Read on to familiarize yourself with the pros and cons of such an investment.

Website design By BotEap.comAdvantages of buying farmland

Website design By BotEap.comOwning farmland can generate one of three main incomes; You can earn income by selling the crops and products, leasing them from a farmer, or renting a house built on them.

• Website design By BotEap.comPerhaps the only advantage that tempts people to invest heavily in farmland is the tax exemption. Profits you make from your farmland will not be subject to estate tax, which is a type of tax that is typically levied on profits made from property.
• Website design By BotEap.comYou can also grow your own crops and apply for government grants, if you’re ready to invest your time and energy. You can rent your land to other farmers and share the profits, but that would largely depend on various natural factors.
• Website design By BotEap.comYou can choose to share crops and let someone else plant crops on your land. You can take a portion of the dividends as payment. This way, you can ensure that your land is taken care of as well. You can reap great benefits in the long run. You can receive tax credits, or even divide up your land and sell it for a large profit.

Website design By BotEap.comDisadvantages of owning farmland

• Website design By BotEap.comThe main disadvantage would be adjusting to the drastic change in lifestyle, as you would have to move closer to your farmland, which is likely to be in a rural area. Even if you don’t, regularly traveling to your plot to ensure its upkeep will take a long time. Unless you have a trusted relative or friend nearby, you’ll also need to invest heavily in protecting your land from invaders.
• Website design By BotEap.comIf you plan to lease the land to a farmer, the profit you make depends on the quality of the crops. Too many extraneous variables, like weather and water supply, affect the product, leading to unreliable profits.
• Website design By BotEap.comThere are laws that restrict building a farmhouse or vacation home on your farm parcel. You will need to be familiar with these additional laws to avoid legal problems.