Financial Fellow

Written by J.P. Wicklein

     I’ve been thinking about buying some land recently.  I’d like to construct a small home on the land and grow food.  My ideal slice of land is at least 10 acres, farmable, wooded, and has a pond or stream on it.  I don’t plan on moving there.  Rather, I’d like to have a place within a 3 hour drive that I can escape to periodically.  

     Although quality land appreciates in value it still incurs costs such as a mortgage, property taxes, and seed for planting.  There are, however, ways to offset those costs by earning money from your land.  Here are ten ways to squeeze money out of your slice of heaven: 

1.     Subdivide a large plot:  One of the best ways to make money off land is by purchasing a very large plot, subdividing it, and selling the collective parts for more than the whole.  This can, however, require a significant initial cash outlay.  Further, you’ll need to have the local municipality approve the subdivision.

2.     Lease it to a farmer:  If your land is farmable consider renting it out to a farmer.  The farmer grows crops on your land, sells the harvest, and pays you rent.  Don’t expect to get rich this way.  Rental income from a farmer probably won’t pay for much beyond your property taxes. 

3.     Tree farm:  Some landowners in northern states will use their land as a Christmas tree farm.  Locals can visit your property and pick their own tree.  Alternatively, you could become a Christmas tree supplier for a distributor. 

4.     Lease it to hunters:  If your property is full of turkey, deer, or other animals humans prey on, consider renting your land to hunters.  It helps if your land has a small cabin or a decent shelter for hunters to stay in while they recount tales of the one that got away.

5.     Cow pasture:  In parts of Missouri, and other states, it’s common to see Angus cows grazing away on a pasture, fattening themselves for slaughter.  If you don’t mind cow patties on your land consider finding someone looking for a place for their cattle to roam. 

6.     Timber rights:   Landowners all over the country sell timber rights to their land.  Generally, you’ll need to have a large amount of acreage, though.  (It’s unlikely that a timber company will haul their equipment to your land for a mere 1 acre of maple trees.)  Also, take notice of any ordinances pertaining to the destruction of trees. 

7.     Put up a cell tower:  If you don’t mind a cell tower on your land, contact wireless service providers to see if they’re interested in plopping one down on your property.  To be considered, contact the wireless service providers in your area and ask to be put on their “Friendlies” list.  (This is the industry term for landowners willing to lease their land to the wireless service providers for the purposes of putting up a cell phone tower.)  Contracts vary depending on how badly they want to use your land but, you may come away with several hundred dollars a month in rent or free cell phone service. 

8.     Apple orchard:  Assuming your land is in the right climate, consider planting apple trees.  Locals can come to your land and pick a bushel of apples for a small fee.  It helps if you sell other apple based products, too, such as cider or pies.  Alternatively, you can sell your produce at a farmer’s market. 

9.     Mineral rights:  If your land is rich in copper, silver, iron, zinc, or other minerals, mining or exploration companies may be interested in leasing part of your land for their operations.  You’re less likely to have a mining company knock on your door than in years past but, it still happens once in a blue moon. 

10.  Agritainment:  Agri-what!?  Agritainment is the marriage of agriculture and entertainment.  If you have a decent amount of farmland, consider creating a corn maze or building a pumpkin launcher.  These forms of entertainment will draw folks to your land.  After they’ve worked up an appetite navigating their way through your corn maze you can sell them pies, apples, pumpkins, cider, or other products produced on your farm. 

Photo by:  busymommy