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5 Farmland FAQ’s You May Have Not Considered

Friday, February 26th, 2021
farm equipment in use in field

There are so many questions when it comes to farmland in the auction business. We have some answers to the top asked questions.

What properties are the best to flip?

The kind of properties that you should flip all depend on your location and the market demand for that certain property. Keep in mind, when you are going to purchase properties, the flipping isn’t always a quick process.

Do corporate farms buy land?

While a lot of farmlands are family owned, they are considered corporate or a factory farm. This label doesn’t affect the way that the owners necessarily practice, it is just an ownership structure. Most of these farms have been incorporated due to management and tax purposes. Family owned farms have more freedom in what they do and the corporate farms will have shareholders putting in their input on how they think things should be done. There are definitely advantages to both options.

What you should do before you sell your land

Before you sell your land it is important that you price it right. It is best to price it 5-10% above market value. This will cause buyers to act quicker since they know it will sell fast. Next you need to make sure that your land is ready to sell. By this we mean everything needs to be presentable and in it’s top shape. It is also important to talk to a professional so they can help you get the best value.

Should you private list or auction it

Auctioning your land is the best option before you list it. This is because at an auction, people are competing against each other to try and outbid the last person. There is virtually no limit as to how much you can get for your land. When you list it, that is the price that people see. People will only try to go lower than the asking price, which isn’t all that beneficial.

What is the difference between online and live land auctions

With online auctions, it is less stressful for the buyers. While they are trying to outbid everyone else, they don’t have to worry about trying to speak up or be in a certain position. You can attend online auctions from the comfort of your own home. These auctions are usually timed. This means that they will only allow bids during that set time, and when time runs out, whoever had the highest bid is the winner. With live auctions, there is the thrill of the competition. You get to see and hear the excitement of people winning the auction. It all depends on the situation you are in, and your personal preference.

Looking to attend an auction?

High Plains Auctioneers holds many different types of auctions. You can visit our website to see all of our upcoming auctions. We also have tips on bidding and on how to sell. Contact us at (806) 244-6776 if you have any questions.