Posted on: 31 January 2017
Buying land in the countryside is a great way to get away from it all and live in a place that's more relaxed and less stressful. But, it can come with some unique challenges. Rural properties are, by their nature, often a good distance away from potential employers and other streams of income. So, you may need to look a little closer to home to find ways to make money. To help get your creative juices flowing, here are 3 ways to build passive income from your rural real estate.
Lease Hunting Land. Forested and rough properties can make great places to go hunting, and there are probably a lot of local hunters who would welcome a new location to try. You can lease hunting land in several different ways, including leasing only a portion of it, leasing to different types of hunters (bowhunters vs. gun hunters, for example) for additional revenue and different seasons, and leasing a long-term plot of land for cabins or fishing. If you don't want to be personally involved in your income generating business, leasing hunting land may be the easiest option you'll find.
Sell Resources. Timber is the most likely resource that most rural landowners will find on their property. Selling timber (or just wood in smaller portions) isn't a regular stream of income, so you'll want to use it as a backup money source. Work with an experienced forester to assess the value of trees on your property before buying. There may be a number of other natural resources you can sell or lease — everything from mushrooms or berries to minerals in the ground. Some resources may take research to find, so be sure to mention your interests to your real estate agent so he or she can help steer you to the right land.
Host Guests. Vacationers love rural getaways, so you may be able to make a good income by opening up your home or property to other people. If you want a small income only, you may be able to simply renovate a section of the main house to serve as a small, self-contained apartment. If you want to be more adventurous, turn your farm or ranch into an eco-vacation wonderland with authentic country experiences. You could offer things like horse riding, backpacking around local natural attractions, animal care, bird watching, outdoor dinners and barbecues, or fireside story time. While this type of home business requires more capital and time investment than others, it can lead to a significant monthly income to support you while having fun.
What type of passive income you can earn from your property will depend on its assets and your time commitment. But, no matter what works for you, you're sure to find great reward in making your land into a prosperous part of the family.
For more information, contact local professionals like Wellons Land and Timber Co.Share