In addition to health concerns the Covid-19 Pandemic has brought about many questions and changes in the economic/financial well being of most everyone. The Stock Market showed about a 30% drop in value during the week of March 16 to 20, 2020, and seems to be hovering around that new value, some days up a bit and some days down a bit. This has resulted in many conversations regarding where is a “true” safe place for holding capital year in and year out. While many will point to the old faithful Gold index, perhaps now more than ever the safest place is possibly in good ole dirt! People will of course always need to eat and as a result it stands to reason that Farm Land will always be needed. Buyers of Farm Land, whether the Farmer or an Investor, are in reality both Investor’s. Yes Farmers use the land to produce their crops of choice which provide a financial return and way of life. That said, the investment of their capital into Farm Land also provides a retirement source which over the last dozen or so years is a far safer haven than the Stock Market. It really is this simple, people will always need to eat, and the Covid-19 Pandemic has provided a forum for people of all walks of life to re-examine what is important in life. Farm Land is a great investment now and always will be. This will translate into good returns when the time comes to retire! Whether you are a local Farmer or an Investor, give the Professional Land Consultants at Hammond Realty a call to discuss how increasing your Farm Land portfolio is a great way to plan for the well being of your financial needs both now and long term.
The sale of Farm Land from neighbor to neighbor is very common on the Prairies. It may be the Buyer has been renting the land for some time now, or perhaps the Seller is downsizing their operation or quitting farming altogether. Whatever the reason for selling, in addition to the price the details of the sale are very important and should not be overlooked. Has a full search of the title been performed to see what interests are currently registered? I often come across interests that the Seller & Buyer are not aware of and may have an effect on the sale of the property. Are the true Title Acres known? The general public often assumes every quarter of land comes with 160 Title Acres, this is not always so. Are there any restrictions regarding what the property may be used for? An example would be a Conservation Easement that prohibits breaking grass land for grainland. Then there are the legal details and clauses required to ensure the Contract of Purchase and Sale is legally binding thereby protecting both the Seller and Buyer from unnecessary issues. Verbal agreements are just that and are only good until one of the parties feel that what they believe to be was agreed to differs from what the other party believes. Get it in writing and do so with the guidance and expertise of a Professional Land Consultant. The Agents at Hammond Realty are licensed professionals with many years of experience in guiding & negotiating with Sellers and Buyers to the successful & positive completion of Farm Land transactions. Give us a call today!