Farmland is a solid investment and provides multiple benefits for those who want to do the work that comes with it. Fresh from Florida’s research shows, “In 2017, Florida had 47,000 commercial farms and ranches, using a total of 9.45 million acres.” With so much available land, the opportunities are endless. Preparation, however, is the key to maximize your investment. Our tips to for buying farmland in Florida is an excellent starting point for your upcoming purchase.
Find a trusted realtor
Finding a realtor is far more than just finding a person who can facilitate the purchase. The best realtors are partners with you throughout the entire purchasing process. Find a land realtor that is knowledgeable about the intricacies of Florida’s land purchasing processes. Commercial land markets fluctuate just as residential markets do. Make sure your land realtor is abreast to the prices variations and farmland availability to ensure the best purchase price when it’s time to complete the sale. Always find a realtor with a high success rate of closing Florida land sales, as well.
Understand process timelines
Depending on the type of financing option you utilize, the closing process can take anywhere from 30 days to over 6 months. Cash sales are usually the quickest process—a cash purchase can typically close in 30 days or less. Financing through a lending institution could increase the closing timeline from one month to two months or more. Going through the probate process may be the longest and sometimes takes several months.
Things to consider before closing
Buyers often only consider the closing process, but several other processes can hold you up before you even get there. All land must have an appraisal completed to ascertain the land’s value. Some types of land carry value other than for the land itself, as well. In the case with land being purchased for timber, for example, the amount of timber must have an appraisal too.
Education is the best tool you can have before you think about purchasing commercial land. Our tips for buying farmland in Florida are just a starting point. Make sure to continue your research by speaking with agricultural and commercial real estate professionals like Crosby & Associates, Inc.