When is a good time to sell the farm?

One of the Top 5 Questions we get asked about selling farms and land… When is the best time?

The short answer is.. What is best for you? and What are your goals? We like to start here.

While there are certain times of the year that farmland or wooded property might have a peak season, the most valuable path to success is to ensure all of your ducks are in a row prior to the sale. Farmland owners and family farm trustees or heirs ask us this question all the time, “When should I sell the farm?” The answer depends on your circumstances, your needs,  and your goals. Whether an investment or family farm, every farm is different, and so is the method of sale and the reasons for sale. All said, here are the top reasons why it’s a good time to list and sell a farm in 2024:

• RECORD HIGH PRICES & LAND SALES

We remain in a period of record high land sales and prices. Farmland value has appreciated significantly over the last 10 years and prices today are considerably higher than they were then. What would you do with these profits?

• ACCESS TO CAPITAL

Whether you need to put dollars into other investments or would like capital to expand other areas of your farm operation such as tile systems and drainage, equipment and implements or grain storage – we remain in a period of record high land prices compared to 10 years ago.

• ESTATE PLANNING

Transitional time periods in our lives lead many people down the road of estate planning. Whether it’s a will, trust or estate, everyone should be concerned with proper planning. If you are in estate planning mode, selling the farm land is part of the equation. Creating a plan today is one of the finest compliments you can give to your family.

• RETIREMENT EXPENSES

From taxes and health-care to other important ‘golden years’-issues, the sale of farmland in today’s market can provide the financial freedom to remove stress and worry from these expenses. What else could you enjoy during retirement with this capital?

• PLENTY OF BUYERS / STRONG DEMAND

Today’s market includes a wide range of buyers. From the neighboring farm operations to our network of land investors, we are selling farms as soon as we have them listed for sale – netting you the highest returns possible in today’s farm real estate market. Backup offers are quite common in this market as ready, willing and able buyers compete for a chance to buy farmland.

What else could you be doing with your money? The answer to this question helps determine the route forward. Whether you plan to travel, retire or invest in other areas of interest – we believe that your needs, goals and objectives always come first. Whether your concerns are financial, legal or otherwise, selling the farm in today’s real estate market is a choice that starts with a conversation.

Alternative Investment Vehicles

From charitable remainder trusts (CRT) to deferred sales trusts (DST) or taking advantage of a 1031 tax deferred exchange (AKA the Starker) there are several tax strategy and wealth building opportunities available to sellers of farmland. Having a knowledgeable advisor on your side from the start can help you open doorways and paths to preserving wealth, while maintaining vital cash flow for retirement, medical expenses, or long term care.

 

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