Take the Guesswork Out of Buying Agricultural Land With These 10 Easy Tips

Finding the ideal agricultural land for sale in Harlingen can seem tough. There’s a lot that goes into starting up your next farm or ranch, so researching what you need to start operations and what particular qualities various properties have before finding the one that aligns with your goals is key.

Luckily, SRC Land has 10 tips to ensure that the agricultural property you pick is right for you and whatever business goals you wish to meet.

1. Look into the Land’s Previous Usage

The land’s previous use could influence your decision to purchase the property. Land that’s been unused for decades may not have enough nutrients left for your crops. In addition, an area that was used for industrial purposes could have toxic chemicals residing in the dirt and water.
Research the land’s previous purpose so you can avoid threats and focus on finding property with healthy soil.

2. Test the Soil’s Acidity and Nutrients

Before buying farmland, make sure that the soil has the right nutrients and acidity to grow your preferred crops. If you realize that the farmland for sale doesn’t have the nutrients and acidity required for your crops, then you’ll spend time and money amending the soil before planting.

3. Pay Attention to the Farmland’s Soil Drainage

Well-drained soil protects plants from diseases including stalk rot, root rot, blight, and molds. Standing water also causes breeding grounds from problematic insects like mosquitoes, aphids, and beetles that eat leaves.

If you wish to begin farming immediately, buy farmland for sale that already drains quickly.

4. Analyze the Agricultural Land’s Topology

Most farmers avoid land with steep hills since water can wash away nutrients down the incline. Make sure that the agricultural farmland’s topography matches your crops’ needs.

5. Research Access to Resources

Some agricultural land can be found in the middle or outskirts of densely populated cities. Most farmland, though, is in rural regions. Based on the agricultural land’s location, you may not have access to essential resources such as water, electricity, and natural gas.

In certain scenarios, you can extend water and sewage lines to your farm or ranch by contacting your county’s Planning and Zoning Department. For electricity, search for your county’s preferred power company. The project could be pricey, though.

6. Know Whether the Existing Infrastructure Matches Your Standards

Agricultural land requires more than healthy soil. You need a farm infrastructure that helps you grow and sell crops. The most important kinds of infrastructure include:

  • Roads
  • Buildings
  • Irrigation
  • Electricity

Farmland roads have to accommodate heavy machinery like tractors, rollers, and cultivators along with trucks. Buildings, on the other hand, should offer a secure place to store your equipment and crops. You may need to build buildings like grain silos, packing facilities, and refrigerated sheds to sustain the freshness of your produce.

Irrigation infrastructure could involve drip irrigation systems that run along rows of crops or overhead systems that sprinkle crops automatically. Before investing in farmland, make sure it has an efficient irrigation system that’ll give your crops the right amounts of water.

Additionally, bear in mind that electricity becomes scarce when you travel deeper into a farm’s acreage.

7. Determine How Easily You Can Get to the Farmland

When you look at a map, the farmland for sale might appear to have a location just off a major highway or interstate when, in actuality, you may have to drive miles of country road to get from the interstate’s exit to property.

You may not mind driving an hour from your farmland to the closest major road; however, the issue is that you’ll need to haul heavy equipment and crops a long way numerous times a year. The duration and cost of driving your car 50 miles are significantly lower than the time and expense of hauling a 6,000-pound tractor down the same route.

8. Estimate the Distance to Distributors, Retailers, And Markets

You’ll also have to take into account the distance to distributors, retailers, and markets that purchase your crops.

Look for agricultural land that puts you within a fair distance of distributors and retailers. A centralized location that grants easy access to many of the area’s cities and towns could save your farm a lot of money.

9. Check the Area’s Cell Phone Reception

Today’s farmers need smartphones to stay connected with their employees, clients, and distributors. A region lacking good cell phone reception will make it challenging for you to contact the people who help your business succeed.

Check out the location and see how well your mobile device functions there. If you get poor reception, speak with your carrier about adding nearby cell towers, or if there’s no other alternative, you may want to choose a different property that already comes with good reception.

10. Research Whether Someone Owns Mineral or Gas Rights

Buying agricultural property doesn’t mean you own everything beneath the surface. Someone else could own mineral and gas rights.

For instance, if the previous owner owns the coal, natural gas, or other mineral rights on your property and you only have surface rights–that is, the property that your home is on–then they could have the right to enter your land and start mining in only as much of an area that they need to get the job done. You could check to see who owns the surface and/or mineral rights at your local County Clerk’s Office.

A ton of research goes into discovering ranch or farmland that meets your specific needs. Land real estate transactions require specialized expertise and experience, especially when it comes to finding the right farmland for sale.

Before investing in farm real estate, find a qualified seller-financing specialist at SRC Land to help you pinpoint the greatest opportunities for your purchase without pouring extra time and money into it.

Let SRC Land Be Your Helping Hand in Finding Your Dream Agricultural Property

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5 Ways to Increase the Value of Your Properties

Land is a valuable asset, and finding ways to increase its value when you’re looking to sell may be one of the smartest things you’ll do aside from the initial investment.

S.R. Campbell began doing business in land development in 1978, and for more than 20 years, SRC Land has made the dream of owning land possible for anyone and everyone interested. We’re here to help. With beautiful lots for sale in Harlingen, our experience and standards help our customers find everything they need to fulfill their home-living experience.

If you want to take advantage of the hot market, you’ll want to check out some of our expert tips on how to increase its value. Harlingen is a booming community, and growth trends and economic forecasts predict continued prosperity and opportunity on the horizon.

Here is helpful advice on increasing your property’s value and making it more appealing to prospective buyers.

1. Improve Your Property’s Curb Appeal

Curb appeal is an important aspect that doesn’t simply apply to homes. Improving your land’s appearance is a surefire way to increase the value, and improving curb appeal is an endeavor that can be done with or without the help of a landscaping company. Depending on the size of the property, many landowners are able to complete these tasks in the course of a short period of time.

Take a walk around the property and make a list of things that need to be done or removed to improve the landscape of the property. This includes simple actions including:

  • Removing junk and garbage on premises
  • Clearing overgrown foliage and weeds
  • Pruning trees
  • Clearing brush
  • Disposing of toxic chemicals or environmental hazards
  • Sealing unused/unsafe wells or water sources

Consider installing fencing as an investment to increase the property’s value. Prospective buyers appreciate the opportunity to purchase land requiring minimal effort to improve upon. Unattractive land with no emphasis on landscape translates to land sitting on the market too long, or invites buyers to present lower offers.

2. Improve or Offer Access

Consider the perspective of a buyer when a property doesn’t offer easy road access. Many times, a property may fulfill most of the needs of a prospective buyer, but difficult access to the land may be what ultimately becomes a dealbreaker.

If a formal agreement doesn’t exist, a landowner may consider talking to neighbors about applying for a legal easement. The process of creating an easement and road maintenance agreement is inexpensive; however, it’s important to consult with a title company and a real estate agent to verify the legal validity of the agreement.

Asphalt or concrete driveways are great options for improving access; if cost is a factor, a more affordable alternative would be to use gravel. These improvements increase the value of the property dramatically, and prospective buyers won’t easily overlook these benefits.

3. Consider Installing Drainage

Drainage issues are a concern for anyone looking to purchase raw land. Land with ineffective drainage or property where standing water remains following heavy rains are some of the least appealing properties to prospective buyers.

In fact, these issues are a significant reason why values plummet. Fortunately, issues associated with poor or non-existent drainage can be fixed easily with the installation of underground drain tiles.

The tiles are an affordable solution at just under $1,000 per acre and work to disperse the water, as a result making a property more attractive by allowing improvements needed for farming, grazing, and building.

4. Run Utilities

Running utility lines to a property ensures a significant increase to the land’s value. If a seller has the budget for improvements, running utility lines is a significant way of making a property more appealing. An ideal choice for buyers are properties with utilities, and the process is easier than you may expect.

Properties within city limits may connect lines on the street and landowners may then pay for hookup fees. For those whose property is located in a rural area, the process may require a bit more time, including planning and money. Other alternatives include solar or wind power. Property owners would benefit from running utilities as the investment will equate to adding 10-20% to your land value.

5. Trees and Added Land Value

Prospective buyers are interested in a property based on potential. If a property is on a spot that offers great views but is obstructed by trees, landowners would benefit in considering removing the trees to improve views.

A forest service office in your area can provide a list of forester consultants that can explain legalities and tax issues, and assistance with timber sale which would mean extra money for you.
As well, if your land offers access to unattractive views, planting fast-growing trees makes a property more salable, and helps reduce noise including that of traffic. The important thing to remember is that landowners can find many ways to improve their land value. With proper planning and strategy, earning potential can be increased and your financial future can look even more promising.

The First Step to Increasing Property Value, However, Begins With Becoming a Landowner!

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Reasons to Buy Land Before the End of 2020

2020 has been a rough year for all of us. For many, life today looks nothing like what it did at the beginning of the year — but life does still go on. Big decisions like getting married and buying a home are still being made. While making those choices is particularly difficult right now, there are some silver linings.

The end of 2020 is actually a great time to invest in real estate. Real estate is generally a smart investment, no matter what the time of year. But some times are better than others. 

Below the team at SRC Land explains why 2020 is a good year for land buyers, and why real estate might just be the investment you’ve been looking for.

Buying Property in 2020

There’s no denying that this year has been unprecedented. The combination of an election year and a pandemic has collided with the other real estate trends that have been developing for years, all of which have come to make 2020 a particularly good time for those interested in buying a home or property.

1. Mortgage Rates Are Low

If you’re considering buying a home, you’re probably considering credit options. While SRC Land offers Harlingen owner-financed lots for those unable to access credit through traditional lenders, low mortgage rates may be one factor to consider if you’re wondering if buying a home before the end of 2020 is right for you. Specifically, mortgage rates have dropped significantly since their peak in 2018. In fact, mortgage rates have hit record lows 9 times this year.

2. Prices Are Low

According to data collected by the Federal Reserve, sales prices on homes have been decreasing since 2017, based on a median price. That decline reached nearly 10 percent by the end of 2019. In 2020, prices haven’t dropped, but they have reached a “softening period.” Those prices are expected to rebound in the coming year.

3. The Stock Market Is Weathering the Storm

2019 was a good year for stock investors, putting them in a solid position to start the year. While 2020 has been chaotic, the stock market is still doing relatively well. This means both that the economy is healthy and that your own investments may be rebounding.

Buying Property at the End of the Year

Just like Halloween candy and airline tickets, you can save money on property by buying at the right time. By being patient and striking at the right time, you can save considerable money on your investment.

1. Thin Competition from Buyers

The one thing all of us probably remember from Economics 101 is the concept of supply and demand. When demand is low, prices are likely to drop. Because of this, October and November are generally a great time for home shopping. This is the time when most buyers stop looking for the year. December is particularly good because most potential buyers will be busy with the holidays.

2. Save on Taxes

Buying a lot or land for sale in Harlingen represents a significant opportunity to save money on your taxes for this year. These savings come in a few key forms:

  • Deductions —  If you buy a home prior to Dec. 31, you can deduct some of your mortgage loan interest, closing fees, and property taxes. Taken together, these deductions add up fast. This is especially true when your mortgage is still relatively new and your payments are primarily covering the interest.
  • Tax Credits — Investment in things like energy-efficient homes can sometimes qualify you for specific tax credits.

3. Sellers Want to Save on Taxes Too

Buyers aren’t the only ones looking to save money on their taxes; sellers want to get in on those potential savings, as well. This is partly due to the fact that many sellers might be waiting to close a sale before purchasing their own home. This need to close in time to negotiate another purchase could lead sellers to be more flexible with the deals they offer you.

4. Save on Contractors

Winter can be an excellent time to do home renovations, especially in Texas. Winter tends to reach a slow down period during which many contractors may offer lower rates or simply be more available. This means you may have an easier time hiring plumbers, roofers, electricians, inspectors, and even moving companies.

The General Benefits of Buying Property

Thankfully, 2020 won’t last forever. Even once the year is over, buying and investing in real estate will still represent a great way to build your financial portfolio and future. There are countless benefits to buying and owning your own home, some of which include:

1. Earning a Consistent Income

Those interested in securing a source of stable passive income should consider purchasing property. Once an investor has a mortgage, the property can be rented out to create a consistent flow of income. This sort of stability is the foundation of an individual’s long-term financial health.

2. Owning Your Own Home

The rental-income opportunities of buying land lead to another benefit of purchasing a home: you won’t need to pay rent anymore. Sure, when you buy a home you will probably have some sort of mortgage, but the payments you make on that mortgage will go towards a home that you own rather than a temporary living space. This also means that you will have the freedom to make any changes to the home that you may want.

3. Building Your Equity

When you initially begin making payments on a mortgage, the majority of that money goes towards paying off the interest on the loan. However, once you begin paying off the principle of the loan, the actual borrowed amount, the equity in your home will begin to grow. After consistent payments, you can borrow against that equity for things like additional properties or college tuition.

 

Take advantage of the great opportunities available to homebuyers in 2020 with SRC Land.

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Five Perks of Buying Land in Texas

Besides the rolling hills in Central Texas, vast fields of green in East Texas, and majestic mountains in West Texas, there are five other perks of purchasing land in Texas.

If you’re searching for land for sale in Harlingen or another Cameron County town, SRC Land can be your helping hand with their experience in decades of real estate and land development.

1. Property Tax Exemptions

When you purchase land in Texas, you may be eligible to qualify for a wildlife,  agricultural, and/or timber exemption. These exemptions can minimize your yearly property taxes significantly. The exemptions are given for land that’s utilized for agriculture, including for pasture and grazing land, timberland, and wildlife preservation. 

2. You Can Write Off Exemptions

Another financial advantage when it comes to buying land in Texas is that you may file a Schedule F in your federal income taxes. This applies to people who use their land specifically for farming.

What’s great about Schedule F is that it enables you to write off expenses assigned via farming, such as interest on a loan taken out to buy your land. On top of that, if you were to build on your property, you might be able to claim the interest on the construction loan in your federal income taxes.

3. You Can Invest and Profit Off of Your Land 

If your intent of buying land in Texas is to start your own business, you will discover that there are a plethora of businesses you can get into that you can’t in other states. You can consider opening an inn or bed and breakfast if your desire is to provide unmatched hospitality services, or you can go for a more rugged approach by opening up a hunting lodge and/or camping grounds. Whatever profitable venture you wish to achieve with the land you purchase is only limited by your imagination.

4. Financing in Your Favor

The majority of people aren’t in a position to raise the necessary funds to purchase land with only one payment. People that look to buy raw land also encounter an obstacle due to the fact that banks and other conventional lenders do not comprehend how this market works. One reason is that they may not have ways to accurately figure out the value of land as it is.

If you’re looking to buy land in Texas, you may borrow from lenders who finance the purchase and development of rural land in Texas. Certain financing companies are landowners and farmers who understand the necessities and difficulties that come with looking to buy land and engaging in agribusiness.

5. Extremely Affordable Rates

Getting the funds to buy land can be a challenge. The good news is buying land in Texas is very affordable. While rates from one area to another differ, generally speaking, purchasing land is a practicable investment that is far more affordable than buying or constructing commercial buildings.

Simple, Affordable, and Seller-Financed Land in Harlingen

If you’re looking to purchase land in Texas, you will not find better deals than those provided by SRC Land. We are a premier land development company, and we take pride in our affordable parcels of land available for sale in Cameron County.

 

If you’re searching for real estate in Cameron County, you can count on SRC Land to find the right place depending on your needs today.

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