My career in selling land began in 1986, and I founded Fay Ranches in 1992. Over the years, I've been involved in some of the most significant land transactions in several states, including farms, ranches, timber, and plantations. I've seen and learned a few things over the years. This article will hopefully help you understand the process of offering your land for sale and how to best prepare for this significant event.
There are generally two types of landowners: the multi-generational landowner, who uses the farm or ranch as their primary income source. The land is where they work and live and love. It is where they grew up, where their children grew up, and often their grandchildren. There is a history to the land. They sweat and bleed into it, and the land has become a part of them and their family.
The second type of land ownership is the land investor, whose primary income is from a source other than the land, and their motivation for purchase is as an investment and often as a place to relax and gather their family and friends. Their land is a place they go to escape from day-to-day life, learn new skills (like fly fishing, hunting, and horseback riding), gather family and friends, and strengthen relationships through shared adventure. The land is their happy place, where they sleep more soundly and connect more deeply.
The multi-generational landowner and the modern land investor are two very different owners. Yet, for each, when the day comes to sell, everywhere they look, they see the tentacles of memories binding them to the land. The memories won't go away, but there is a loss of connection when you can no longer walk the land. This day will occur eventually for most landowners, and it won't be easy. Selling land is almost always an emotional process. For traditional agricultural families, the land has been the fiber that has woven multiple generations together through shared work, hardship, and hard-fought successes fueled by a love of the land, country, and family. The land investor often owns the land for a decade or more and sees wonderful memories across the landscape of shared adventures, laughing children, and fireside stories.
Regardless of why or how long you've owned your land, preparing, and executing the process with the right team is critical to ensure the most beneficial outcome for the owners and their families.