Posts Tagged ‘find acreage’

Finding the Cheapest Land for Sale in the United States

For astute land buyers it is the per-acre price that is important, not the per-parcel price. For example a 160-acre tract for $31,840 is far cheaper that a one-acre lot for $4,000. Why? Because the 160-acre tract is priced at only $199 per-acre and the one-acre lot is priced at $4,000 per-acre. Since the Pilgrims landed in 1620 and Americans began migrating west, land dealers have made fortunes buying land by the acre and selling lots by the parcel!

The term “cheap” land is relative in nature, meaning that one tract of land might be cheap compared to another tract of land in the same general location. But the term “cheapest” land is absolute in nature, meaning that no other tract of land anywhere in the United States is cheaper in price! OK, so where can the cheapest land for sale in the United States be found today? The largest selection of the cheapest land available for sale in the United States today would be in Texas, Wyoming, South Dakota, Nevada and New Mexico.

The cheapest land for sale in the United States, purchased today for a long term investment, would be one of the safest assets one could acquire and also one of the most certain assets to increase in future value. It is a safe asset to own because it can’t be stolen, destroyed by fire, mismanaged or outdated by technology. It is certain to increase in value because all that is required is inflation and an ever-expanding population, both of which are inevitable.

How did prices for the cheapest land for sale in the United States compare with the stock market over the last 50 years? In 1960 the Dow Jones was near 700, and today it is about 10,000, or 15 times higher than it was in 1960. In 1960 the cheapest land in the United States was around $5 per acre and the cheapest land for sale in the United States today is 450,000 acres in Nevada for $178 per acre, or 36 times higher than in 1960. How about the value of cash over the last 50 years? According to the U. S. Bureau of Labor Statistics it takes $7,375 today to buy the same goods and services that $1,000 purchased back in 1960. This means that inflation robbed the dollar of 86% of its purchasing power over the last 50 years.

There are 2.4 billion acres of land in the United States and 100 years ago the population was 92 million. That equated to about 26 acres per person. Today the population is 307 million people equating to only 7.5 acres per person. Can future land values do anything but go up?

Acquiring a tract of the cheapest land for sale in the United States can be one of the safest and surest methods of creating wealth over the years. In fact history has taught us that it is virtually impossible to lose money owning cheap rural land if purchased cheap enough and held long enough!

To view some of the cheapest land for sale in the United States CLICK HERE

Where to Find Cheap Property in the USA

Cheap property USA is a real estate niche that very few people understand or take advantage of. Much of the land in the USA, despite its being a well-populated country, is raw and barren. This raw, barren land is undeveloped, and few people realize the fabulous investment potential contained in such properties.

Developing this type of land would be impractical and incredibly costly. However, the value is not in development, but in simply holding for the long-term. This concept, unfortunately, is so simple that most people don’t grasp it. The act of developing land is an “operating business,” and as such contains many variables and large capital expenses. The function of buying and just holding land is a “passive investment,” and depends on nothing but the passage of time.

There are lands located in very remote, isolated regions of the United States that are quite cheap in price. They are cheap in price because a “developer” hasn’t started building roads, bringing in utilities, and so forth. Developers, however, are not philanthropists, and they will substantially mark up every dollar spent. So if a developer acquires $500-per-acre land and spends $1,000 per acre in improvements, the retail price will probably be closer to $5,000 per acre (not the $1,500-per-acre combined cost of the land and improvements). Otherwise, the developer couldn’t make a profit.

So as can be seen above, the cheapest prices available in the United States will always be for raw, remote, unimproved properties. And fortunately, it is with such properties that the greatest profit potential (for the buyer) is found.

Owning cheap property USA can be an incredible investment. It requires no business operation, no improvement capital, and relies on very few outside conditions. All that is needed is the passage of time and inevitable inflation!

To view cheap property USA, please click here.

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Where is Cheapest Land Per Acre in the United States?

Where, in the United States of America, is the cheapest land per acre? Depending on various circumstances and the urgency of any given seller at any particular time, the answer would be somewhere in Nevada, Wyoming, Texas, or New Mexico. In these four states, land can still be acquired for under $200 per acre, and in some very rare instances, for under $100 per acre. In no other state in the union—be it Arizona, Alaska, Colorado, Montana, Idaho, or Utah—can land be found for such low prices.

Occasionally, a section of land (640 acres) will be advertised for sale in Nevada for $80 or $90 per acre. However, the transaction will involve a large down payment or all cash terms; the section is basically landlocked without legal access; there are no mineral rights involved; and Nevada state statutes forbid the division of the land into smaller parcels for resale with expensive and time consuming subdivision requirements.

In Wyoming, 160-acre tracts can still be found for $199 per acre, with small down payments and easy seller financing. These tracts also involve checkerboard land where federal lands have to be crossed for access. Technically, mineral rights aren’t included, but often, exploration companies provide surface owner agreements giving the landowner 2.5% royalties.

Occasionally, land in New Mexico can be found for under $200 per acre, but terms are usually all-cash and state subdivision regulations are not conducive to splitting or reselling the land.

Texas still affords opportunities to acquire 160-acre to 640-acre tracts for as little as $200 to $299 per acre, with excellent seller financing. As in most petroleum producing states, there will be no mineral rights, but there will be recorded and insurable access, and state subdivision laws are very lenient.

In summary, acquiring the cheapest land per acre—regardless of having no mineral rights and regardless of having to cross federal lands—has historically proven to be very financially rewarding over the years!

To view some of the cheapest land per acre, please click here.

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Tips to Selling Your Own Ranch

Selling your own ranch might not be the best idea, for one very good reason. Namely, most ranchers view the value of a ranch from the standpoint of agricultural economics. In other words, what is the carry capacity (AUMs) and how much money can the operation make? That is a logical approach for a rancher because that is what ranchers use ranches for: running agricultural operations. Ranchers buy ranches and sell ranches based on agricultural economics and perceptions.

However, there is an entire different perception on the part of many investors, both domestically and internationally. These investors look at ranches and don’t see cattle grazing land; rather, they see large tracts of cheap acreage for investment purposes.

So it might make sense for a selling rancher to consider hooking up with a rural land investment firm that specifically understands, and markets, large tracts of acreage based on investment purposes, as opposed to agricultural usage. The selling rancher might be pleasantly surprised at how others view his ranch.

In other words, the selling rancher’s neighbors would no doubt value his ranch for far less, based on agricultural usage, than an investor in New York or London would, based on land investment appeal. The secret is to sell a ranch for its land value, not for its cattle grazing value.

Selling your own ranch, based on rural land investment potential, and not agricultural economics, can often turn out to be quite beneficial.

To discuss selling your own ranch, please click here.

The Best Way to Buy Land Cheap

Many Internet land sales companies offer to sell you land that they bought cheap, but very little advice is ever given on how to buy land cheap yourself. It is common for land companies to acquire 160 aces, and then subdivide the land into 32 five-acre lots for resale. But seldom do these land companies offer to tell the five-acre lot buyers how they, themselves, can acquire 160 acres.

In reality there aren’t many “secrets” of how to buy land cheap; instead it just requires detailed “execution.” First, determine where you want to acquire cheap land, and then take the following steps.

  • Place “land wanted” advertisements in small local newspapers.
  • Subscribe to small local newspapers and monitor “land for sale” advertisements.
  • Contact the local farm bureau and cattlemen’s association and place ads in their monthly publications.
  • Contact local real estate brokers and tell them what you are looking for.
  • Notify the local banks and farm credit bureaus that you would be interested in acquiring any cheap land that might be in default.
  • Get a list of property owners from the county assessor and mail out post cards offering to purchase their land.
  • Contact the county tax collector and see how to buy land cheap through tax defaults.
  • Surf the Internet looking for companies that specialize in wholesaling large tracts of cheap acreage.

Anyone who takes the time and makes the required effort to learn how to buy land cheap can expect to make substantial sums of money throughout the years!

To view opportunities on how to buy land cheap, CLICK HERE

Where to Find Acreage for Sale?

Twenty-five years ago, major newspapers throughout the United States carried quite a few advertisements regarding acreage for sale—a term generally used to describe large tracts of land. Today, it is becoming more and more difficult to find large tracts of land for sale, especially cheap acreage.

For investment purposes, large tracts of rural land are often overlooked in favor of the stock market. This is unfortunate, because low-priced land has outperformed the stock market over the last 40 years. Today, the Dow Jones is approximately 11,000, about 13 times the 1970 level of 838. In 1970, newspapers in Texas, Wyoming, South Dakota, New Mexico and Nevada carried many advertisements regarding acreage for sale at $15 per acre. Today, it is rare to see classified ads in these same newspapers offering land for less than $350 per acre, about 23 times the 1970 price. Perhaps more important is the fact that many Wall Street stocks of 40 years ago went out of business and no longer exist, while every single acre of land that existed in 1970 is still here today and is worth substantially more money.

The wonderful thing about land is that it is a finite supply, and it can’t be reproduced, manufactured or created. Today, the population of the United States is around 300 million, and by the year 2050 the population is projected to increase to more than 400 million. Yet not one new acre of land will have been created.

The other amazing thing about land is that no one can predict—with absolute certainty—what the future will bring as to values or what new uses will be discovered. For instance, 75 years ago who would have imagined that wind farm developments, solar energy projects and communication towers would create substantial cash flow for rural land owners?  What kinds of opportunities might materialize in the future?

People should keep their eyes open for good deals in acreage for sale. It is an exciting asset to own, is certain to be here in the future and can lead to unforeseeable uses and future profits.

To view properties for sale, CLICK HERE

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