| Nob Hill Farm - 1/29/2015 20:30
Looking at buying a local farm, 40 acres that is all tillable. Main concern is down payment, what type % will a lender require? Other is collateral,I do own 16 cow/calf but that is it. What is my best approach on this. The purchased ground would be cash rented to local farmer,cash rent alone would pay for the farm in 24 years. Not sure what taxes and interest would be per year but would feel a lot better if I could get a 30 year loan on it and pay off early if it works out ok. Thoughts? I strongly suggest you rework your numbers as to cash rent paying for farm. I always get a kick out of realtors trying to tell me how a farm cash flows. You will have a partner in this endeavor and his name is Uncle. See how it cash flows after you've paid Uncle his share of the rent check. Boggles my mind people don't consider this, but the realtor tells you it cash flows. |
first time land buyer advisement
