When people envision farmland, they often think of cows, chickens, and a bright red barn.
However, when you look at an open piece of farmland, you’re really looking at opportunity for profit.
Whether or not you’re a farmer yourself, farmland is an excellent investment that will provide returns for years to come. So, what are some of the benefits to owning farmland?
High Total Returns
As an investment, farmland has historically outperformed other assets such as commercial real estate along with stocks and bonds. In all but four years since World War II, farmland has risen steadily in value. What’s more, farmland carries relatively low levels of risk compared with its return on investment.
Tax Exemptions
Unlike other types of property investment, your profits from your farmland are often not subject to a wealth tax. In fact, you can typically deduct interest paid for a mortgage against farmland on your taxes.
Diversification
Farmland is often protected from market volatility – even when markets are fluctuating, it generally appreciates in value. This makes it a great hedge against inflation.
It’s in Demand
From the rising number of Americans who enjoy hunting, fishing, camping, hiking and other outdoor activities, to a growing population that demands more and more meat, vegetables and grains, farmland produces products that are in demand and forever will be.
If you’re interested in the benefits of owning farmland and you’re ready to invest, contact Metcalf Land Company today at 864-585-0444. We’re one of the most knowledgeable and reputable land brokerage firms in the Carolinas, and we look forward to working with you.