The Value Of Farmland: Inherited Assets
Today, we’re diving into a sector of commercial real estate that might often go unnoticed or overlooked: farmland. Brokering the sale of farmland happens to be one of my specialties. I have had the opportunity to help many clients in the North Central Indiana region. While the sale or lease of this property type may initially appear straightforward, it often entails numerous intricate layers and moving components that collectively shape a farmland transaction.
Regrettably, the majority of farmland changes hands due to significant life events, notably death or divorce. Farmland is among the most tightly held commercial real estate assets, making these transactions emotionally challenging, intricate, and legally complex at times.
One common scenario involves inheritance. Family dynamics can introduce a multitude of complications into a real estate transaction. Let's consider a situation where four children inherit the family farm. This presents the potential for conflicting emotions among the children and various challenges. Should the family sell the property? Lease the land? What if two siblings wish to retain ownership? What if one sibling intends to buy out the others? Navigating such complex situations, even among family members, can significantly influence a farmland transaction.
Irrespective of the circumstances surrounding a farmland parcel or portfolio, determining the land's value is the crucial first step when the owner(s) consider selling or leasing their property. With years of experience and a track record of successful farmland sales and leases, I've become adept at providing an unbiased yet professional opinion of value and establishing appropriate lease rates to achieve success for the owner(s).
If you, or someone you know, is grappling with an unforeseen circumstance or intricate situation, please don't hesitate to reach out to me. You'll have a dedicated, knowledgeable real estate professional in your corner, advocating for your best interests every step of the way.
Let's have an informal conversation, get to know each other, and discuss your goals and objectives.