From their vast area of land, to the seemingly endless sky, to the various herds of cattle and other animals, ranches have been a staple of the American way since the founding of our country. A ranch provides many resources that potentially drive the backbone of our country, especially in the meat and dairy industry sectors. With this in mind, owning an operating a ranch is an extremely tricky, though lucrative, opportunity. As with most real estate opportunities, any Ranch Land Sales require a great deal of time, effort, research, and financial diligence.
While nearly any location with adequate area (on the order of tens, or perhaps hundreds, of acres) may provide ranching opportunities, there are certain areas that provide the most cost-effective and operationally satisfactory ranching opportunities. Specifically, these regions include areas within Montana, Wyoming, Texas, and Colorado. Each area maintains a long, rich history of ranching, and it has largely remained the same.
As with any real estate investment, it is important to do your research as a prospective buyer. The very first factor any prospective buyer should consider is what industry, if any, will this ranch operate under, as well as the potential overhead that may come with it. From this stance, the next most important aspect is to do your research as a prospective buyer. According to this savvy Montana rancher, not only should a prospective buyer research land through the internet, but speak with a selection of ranch land brokers to verify whether or not the land is right for the buyer’s needs and goals for their own ranching operation. These brokers demonstrate (or should demonstrate, anyway) their competence in surveying the land, while continuously staying up to date on the land markets, their trends, and any strategic advantages or disadvantages the land may offer.
After verifying the prospective ranch lands will meet the buyer’s needs, the next step is researching the various laws, restrictions, guidelines, and regulations as it pertains to operating the ranch. For instance, one of the largest concerns in operating a ranch, no matter which industry or area the buyer wishes to embark on, is water rights. Water rights dictate the location and volume of consumption of water and water-based areas the ranch may consume, on a yearly basis. Other laws and regulations include animal feeding rules, pollution discharge control, cattle grazing restrictions, and more. It’s extremely important to find an agent willing to research these laws prior to pursuing land purchase further.
Once the land is properly and adequately analyzed, and every last law and regulation is well-researched and established as it pertains to the potential ranching opportunity, the final step is to purchase the land. Obviously, it requires a vast amount of time, effort, and research, as well as plenty of professional assistance; It also requires a substantial investment. Land considered suitable for ranching can range between one million to several million dollars – therefore it is just as important to find a real estate mortgage broker willing to work with the prospective buyer to attain the necessary financial aspects to finally owning the land.