It’s no secret that real estate is one of the wisest investments you can make. Owning one home allows you to build your wealth over time and may even qualify you for certain tax benefits. However, for the right individual, owning a farming property is an even greater investment because it’s a fantastic way to supplement your income and diversify your portfolio while providing a home for your horses.
Read on to see why owning a farm may be the right investment for you.
While you may be hesitant to jump directly into buying multiple acres at once, especially if your current home is strictly residential, owning farmland is actually considered a safe investment. Other real estate investments can fluctuate and devalue with the building of new homes, however farmland is inherently limited, meaning it it much less likely to devalue.
Conserving your farmland, or putting extra care into the property, can also help you reap the benefits. If you choose to establish the farm as an agricultural resource, you will gain returns off the crop every season.
Apart from capital return on crops annually, owning farmland provides many benefits for the future, making it a well rounded investment. If you choose to conserve your farmland, you may be able to qualify for federal income tax breaks for a donation.
You may also be entitled to real estate ad valorem tax breaks, which directly puts more money in your pocket during tax season. No matter how you look at it, owning farmland can be lucrative in both the present and the future.
You Can House Your Own Horses
Owning farmland obviously has many advantages from an investment portfolio perspective, but purchasing a second home offers strong emotional perks as well. If you currently own horses but have to board them away from your property, purchasing a farm is a great way to be able to spend more time with your four legged friend.
Purchasing a farm with pre-existing stables, or even building them yourself, not only allows you to house your own herd of horses, but also opens the potential to make extra capital by boarding other’s. Whether you just want to spend more time with your own horse, or are looking for a lucrative side business, owning stables is ideal.
Ready to Purchase Your Own Farm?
As a team of local real experts, we specialize in farms and other country properties! We’re happy to be your best resource every step of the way as you search for the right investment.
Contact us today to start the hunt for your perfect property!