Florida Farm Land: A Smart Investment
Hard assets often refer to tangible items of worth such as commercial property, precious metals, or land. These items provide more stability and protection during times of market volatility and are considered a safe investment to hedge against inflation.
One hard asset that investors turn to in order to hedge against market volatility and inflation is Florida farm land. Unlike many traditional investments, Florida farms for sale are tangible assets that will never be worthless. They hold the capacity to generate an income in the short term while allowing time for the asset to accumulate in value in the long-term. In addition, Florida farms are affordable, and can provide a number of attractive tax benefits to property owners.
Greenbelt Tax Exemption Laws
Florida farm owners who use their property for agricultural purposes realize a significant savings in their property tax due to what is known as the Greenbelt Law. This law states that if a property is used to conduct agricultural activities, then it will be classified as agricultural land. This means that when an appraiser is determining the tax for the property, they must use the agricultural use-value of the land, which results in lower property taxes.
Cost of Land
Florida was one of the worst hit states during the real estate market downturn. Much like residential real estate, the cost of farms for sale in Florida is still at an all time low. Low prices combined with record low interest rates means now is a great time to invest in Florida farm land.
Buying Florida farms for sale can contribute to your bottom line in a number of ways. If the property is established, it will likely have an existing grove or operating farm, which has the potential to generate income almost immediately. If the property does not have a grove or operating farm, portions of the land can be leased to other farmers or ranchers for a set amount.
If you would like to invest in Florida farm land, consider hiring a real estate agent that specializes in land sales. At SVN Saunders Real Estate, we have a team of agents and brokers who specialize in land sales, and are highly experienced with Florida farm land in particular.