Are you planning on purchasing a farm in California? The climate and landscape certainly makes California a great state for farming. Not all areas of the state are known for growing crops, but there is plenty of farm land available. There are ranches and vineyards, too. What types of crops are you planning to grow? How many acres do you need? Here are some tips for buying farm land in California.
You might not know what types of crops you want to grow just yet. It can be helpful knowing what is grown most often in California. One of the crops you might be able to guess, and that’s grapes. You’ve heard of Napa Valley, right? I gave you a hint when I mentioned vineyards. Grapes aren’t the only major crop, however, as two others are strawberries and almonds. Lettuce, tomatoes, walnuts and hay also top the list of the crops most often grown in California.
Now let’s look at those tips for helping you get the best farmland in the state. First, depending on your operation, you do have the choice of renting farm land vs owning it outright. Would that be a better solution, or have you already mad sense of the purchase? You will want to look at this as a business, as you are going to be farming for profit. Is it better in your situation to buy or rent the farm land?
If you do decide to move forward with a purchase, consider how much working capital you’re going to need in reserve. If you are planning to purchase the farmland outright and have enough cash on the side, then you are above and beyond this step. However, not everyone is in that position. If you are going to make a down payment, consider the fact that you need reserve capital for operating expenditures as well.
The question about how many acres you need was briefly asked earlier. It is certainly one of the main questions you should be asking yourself. You need to think about many factors when determining the size of the farm you plan to buy. It might seem like an easy question to answer at first glance, but this question should really get you thinking. It will also help you narrow down your choices in terms of land to buy in California.
Think about the type of land you want, too. For example, are you planning to buy an existing farm? How much are the costs going to be to get your farm off the ground? You will want to think about this question further when looking at individual listings. That will help you determine how much operating capital you need to get started.
You are certainly excited if you are about to buy a farm in California. Consider the pointers that have been laid out as you determine which property is going to work best for you. Come up with a solid game plan for getting your farm up and going.