Action Steps
The best contacts and resources to help you get it done

Find blogs and websites featuring rural land news and listing information

Blogs and websites provide news, up-to-date happenings and agricultural properties for sale to help business owners locate and evaluate the property market. These are some of the most informative news sources since they have updates regularly with the latest information and ground reporting.

I recommend: Read about farms for sale and happenings within the agricultural property market through blogs. TheLandJournal offers in-depth analysis and news on the agricultural and rural land markets. USAgNet offers agricultural land listings, market news and headlines for each state. It is a top resource for finding rural property news.

Locate agricultural business listings news from government organizations

Several government organizations issue news statements and informative articles about the state of the agricultural industry, rural land for sale and key announcements. Keeping up to date on this information can help your business utilize the latest information for your business' success.

I recommend: Read the latest announcements and updates on farm land for sale, agricultural land requirements, loan programs, conservation requirements and other topics from government organizations. The U.S. Department of Agriculture provides businesses with national and international agricultural property information and news. Each state and county offers information and news on property listings and requirements. The Illinois Government News Network provides agricultural news including rural land real estate news.

Choose agricultural properties after learning industry-wide news

National and local organizations publish news on the agricultural industry including the ranch acreage listing, forestland industry, rural land and agricultural properties. Keep up to date within these industries by watching the news and press releases released by these organizations.

I recommend: Read about ranch acreage listings from local organizations. Many rural area organizations have property listings, auction information, tax requirements and law requirements for property owners. The North Dakota Farm Bureau provides property owners with news and up-to-date happenings locally. The National Association of Realtors monitors the real estate market. The organization offers news on the rural and agricultural markets through their news feeds, often. Organizations like LandAndFarm provide the latest real estate news specific to farm land and rural areas. They also provide property listings.

Helpful advice for making the most of this Guide

• •  Staying up to date on agricultural property listings through news sources can help a business to find land to purchase, price their own property, determine the value of rural land and help the business to know about loans, trends and economic concerns relating to them.

Guide to Agricultural Property Listings

Discover likely profits in farm land and avoid the hidden pitfalls

By G Taylor

1. Where to look.
2. How to determine initial investment potential based on listing factors.
3. How to identify agricultural property values.
4. How to narrow the potential list by questioning the broker.

Action Steps
The best contacts and resources to help you get it done

Identify available agricultural property

Today's online agricultural properties databases allow you to search for rural land for sale by criteria you establish.

I recommend: The database at LandAndFarm.com regularly lists more than 10,000 farms for sale. Realtor.com is another well-respected site with listings across the nation. To find remote rural land for sale by owner (FSBO), try hunting in the local newspapers

Look for clues to the history of the rural land

Your investment goals may be hampered if your intended land use is inconsistent with past land use practices on the farm land you are considering buying. Land used for grazing cattle can result in polluted irrigation water. If you want to turn the acreage into a viable crop farm, a waiting period may be necessary.

I recommend: Be on the lookout for the words "cattle" or "pasture" indicating past animal grazing. To determine the extent of the damage, and corrective measures necessary, consult Amber Waves. When the farm land listing offers surface or mineral rights, visit Geology.com to learn the difference.

Determine the correct land value

Agricultural land is valued upon its current usage and improvements as well as its location. The asking price may or may not be a fair market value. A quick check can assure you're still in the game.

I recommend: Visit the United States Department of Agriculture (USDA) Web site to download the most recent land values estimates by geographical area. For more location-specific results hire an appraiser in the region, Artman.net maintains a list of farm appraisers around the country.

Follow up on potential agricultural property listings with a call to the broker

After weeding out listings with obvious pitfalls or ones that are contrary to your investment goals, follow up with a call to the brokers of the agricultural properties that remain. Ask specific questions to determine the feasibility of the farm land in question.

I recommend: Ask the broker about current usage of the farm land for sale. Is there potable water on the property? Are noxious weed present? Are there any utility or other easements that cross the property? Does the property have ingress and egress?

Helpful advice for making the most of this Guide

• •  There is no substitute for viewing agricultural property in person. No matter how good the listing reads, unforeseen problems can crop up.
• •  Treat FSBO farm land listings in the same manner you would a listing handled by a broker.
• •  Question farm land listings that seem too good to be true, because they probably are.

Action Steps
The best contacts and resources to help you get it done

Decide if the agricultural property for sale meets your purpose

Ranch acreage listings may include fish or aquaculture, livestock operations, horse farms, vegetable farms, row crops or orchards. Rural land includes timber investments, minerals or oil reserves and open space. New investments in green uses include alternative energy development areas and organic produce farms.

I recommend: Choose based on current use and future goals. LandAndFarm offers agricultural business listings for a variety of properties. They provide for private sale and investors looking for property. The U.S. Department of Agriculture provides rural development and farm and ranch services including loan programs, available properties and requirements for properties.

Find rural land for sale through real estate agents or private sellers

Farm land, ranches, conservations and other types of agricultural property is sold through private listings and real estate agent listings. Private owners are often seeking investors to help fund the business already in place, or hope to sell the property. Agents represent sellers and may provide more formal listings. Both should be considered when buying rural or farm land. The standard Realtor's MLS is not as effective for large acreages of land.

I recommend: Locate farms for sale through trusted real estate agents and management companies including listing services such as Capital Agricultural Property Services. The company offers consulting, real estate brokerage, auctions, appraisals and other services. Use companies like Land Incorporated to find properties listed by private owners and agents.

Gather third party resources to learn more about agricultural property listings basics

Farm land listings and rural property require further investigating prior to making a purchase. Gather additional information about any listing through the services available online.

I recommend: Work with professionals and government organizations for more information on a ranch acreage listing or other properties. The Farm Service Agency is a department of the federal government providing a number of programs for the purchase and function of agricultural land, including providing loan programs. Use the American Society of Farm Managers and Rural Appraisers for help in appraising property listings.

Helpful advice for making the most of this Guide

• •  Agricultural property listings may not be accurate. Until an appraisal is complete, work with a real estate agent, attorney and title agent for the sale of property that is rural, conservation, forestland or farmland.

Action Steps
The best contacts and resources to help you get it done

Absentee landlord

An absentee landlord is essentially a landlord who leases their farm land to a prospective farmer so that the farmer may grow their crop. Both the landlord and the farmer share in the profits depending on the pre-negotiated terms. When dealing with agricultural property listings, some may offer lease or absentee landlord services.

I recommend: Visit the University of Missouri Extension website for more information on how an absentee landlord functions.

Boundary lines

The boundary lines refer to the edges of the property on all sides. Often the boundary lines have been surveyed and recorded in the county clerk's office. When dealing with agricultural listings, many of them will detail the plots of land along with a surveyor's map that illustrates the boundary lines. Acreage is determined from the boundary lines.

I recommend: Visit Ezinearticles.com an informative article on how boundary lines are established.

Accredited rural appraiser

An accredited rural appraiser specializes in calculating the potential and current value of farm or rural land. Because farm loans may be structured differently than home loans, it's imperative that an accredited rural appraiser determines the value of the land. An agricultural property listing should indicate if an accredited rural appraiser has appraised the land.

I recommend: Visit the website for the American Society of Farm Managers and Rural Appraisers for additional information on an accredited rural appraiser.

Valuation of land

Like residential properties, agricultural land has a valuation which property taxes are based upon. However, with a piece of agricultural land, determining the type of agriculture and identifying the working structures on the land all go into an assessment. Alongside the assessment will be the tax basis from that assessment. Normally, a new assessment will be performed on the property to reflect current market valuations. Any improvements or increase in land value will raise the taxes on that agricultural listing.

I recommend: Visit the website for the Boulder County Assessor's Office to gain a general idea about the metrics that go into calculating the valuation of the land. The valuation merits the tax basis.

Counter cyclical payment, counter cyclical payment calculator

A counter cyclical payment is a payment made by the United States government to a farmer if their crop value falls below a certain threshold. It's an insurance policy of sorts. When dealing with agricultural property listings, many of them have a counter cyclical payment calculator to factor in the amount of government aid they will receive and can apply against a mortgage.

I recommend: Visit the website of Agritrade for further information on how counter cyclical payments operate. The US Department of Agriculture also defines and explains the term further.

Sealed bid

A sealed bit refers to an offer made by a buyer to a seller that only those two parties can see. Once the potential buyer has submitted their bid they can only raise the amount, not lower it. These bids are usually made on a price per acre basis and are relevant for both purchasing and leasing land.

I recommend: Visit the website for US Farm Lease for further information on how a sealed bid is placed and operates.