.SHERIDANS is a recognized leader in the sale of agricultural, rural, and recreational real estate throughout Ohio. Whether you are buying or selling small or large acreage, trust SHERIDANS to guide you through the process of maximizing your value. When it comes to the benefits of buying land, the advantages range from long-term investment potential to tax benefits and diversification opportunities. With SHERIDANS, you can explore these benefits and find the perfect piece of farmland that aligns with your financial and lifestyle goals.
Benefits of Buying Farmland in Ohio
Acquiring farmland goes beyond property ownership. It may be an expansion of a farming operation, an addition to a financial plan, or even the realization of a lifelong dream. Regardless of the reason for your acquisition, the addition of farmland and rural acreage to your personal or business portfolio is a major decision.
The Buckeye State offers a landscape rich with advantages that extend far beyond the visible horizon. Let’s explore the benefits of buying farmland in Ohio and why it’s a choice you will be proud of.
Financial Benefits of Buying Land: Cultivating Prosperity
Farmland, unlike many other assets, offers a wide range of ways to make money. With a track record of yielding consistent and stable returns on investment, owning land can be an excellent financial decision.
Adding farmland to an investment portfolio can provide a healthy hedge against the potential volatility of the world’s financial markets. In other cases, the gradual appreciation of land values over time can provide excellent long-term gains down the road.
In cases of the expansion or beginning of a farming operation, the right addition of farmland can ensure sustainability for the present and the future. Ohio’s thriving real estate market has witnessed volumes of success stories where wise land investments have produced one or more of these types of results.
Diversifying Your Portfolio with Land Ownership: Stability and Variety
As investment wisdom dictates, diversification is critical. The allure of land as a stable investment option lies in its consistent performance over the years. It’s a secure haven among volatile markets, adding much-needed balance to an investment portfolio.
By integrating land ownership, you’re not just playing it safe; you’re maximizing your potential for a secure and prosperous future. The combination of the annual dividends from a cash lease agreement and the long-term appreciation of Ohio’s farmland that has been in evidence over many decades makes land ownership a wise decision for your future.
Tax Benefits Associated with Purchasing Land: The Gift of Savings
Ohio offers great opportunities for land buyers, with benefits that go beyond just the soil and crop production. Ohio embraces landowners and warmly welcomes them with a bundle of financial perks that make farmland investments all the more enticing.
Low Property Taxes
Ohio’s Current Agricultural Use Valuation (CAUV) property tax rates are remarkably low. This ensures the annual costs related to farmland investments won’t break the bank. It’s a warm welcome to the world of land ownership, where financial concerns take a backseat, and possibilities become the focus.
Affordable Dreams, Bigger Returns
Buying land of all types has many advantages that make it worthwhile. Low property taxes and income potential mean affordable dreams, from enjoying the peacefulness of the country to investing for you and your family. A multitude of financial benefits means more investment growth and higher returns now and in the future.
Deductions Designed Just for You
Ohio knows that farmland isn’t one-size-fits-all, and neither are the tax benefits. If you nurture the land with good agricultural stewardship efforts, the state’s tailored tax deductions, such as The Beginning Farmer Tax Credit signed into law in 2022, become your allies. They’re designed to lighten your load, so you can focus on what you do best – cultivating the land or leasing the land to an area farmer – to create income and allow you to pursue your dreams.
And if conservation is your mission, tax incentives related to the long-term use of a particular piece of farmland reflect Ohio’s commitment to nurturing the earth for generations to come.
With property tax relief, tailored deductions, and incentives that echo your goals, Ohio invites you to explore a land of possibilities. If you’re farming, conserving, or dreaming, the state’s tax benefits bring a refreshing boost to your real estate investment opportunities.
A Nod to Sustainability for the Future
It’s not just about the numbers; it’s about Ohio’s commitment to the future. The tax incentives for conservation-minded land owners, such as the Ohio Department of Agriculture’s Conservation Easement Program, echo the state’s dedication to sustainable practices. By investing in Ohio’s rural landscape, you have an opportunity to join a movement that values sustainability to retain farmland for future generations.
Growing your Investments
Increasing one’s retirement portfolio is a dream for many as they progress through life. Making wise decisions with land purchases is one way to expand your investment portfolio. For many, starting small is the best way to get started in the world of land ownership. As you earn income and benefit from the appreciation in value of your land, you may choose to upgrade your investments by selling one piece of land to purchase another.
When selling any type of investment, the gain you earn from the sale of investment real estate can result in capital gains taxes. An IRS Section 1031 Tax Deferred Exchange allows real estate investors to sell one real estate investment to purchase another. With this exchange, you defer the capital gains taxes into the future, thus allowing you to retain your gains to continue investing in the future.
Practical Benefits of Buying Land: A Canvas for Possibilities
Land ownership isn’t just about a deed; it’s about the many opportunities that unfold before you. With creativity, your land can evolve according to your vision. Numerous individuals and families have found their niche in land ownership, creating a tangible legacy for future generations.
Long-Term Investment for Future Generations: Crafting a Legacy
One of the most profound buying land benefits, is the ability to shape a legacy for your children and grandchildren. Farmland in Ohio is full of history, and your land could be a part of that story. As you invest in land, you’re not just nurturing an asset, but your family’s future.
Passing down property becomes more than a financial transaction. It’s a testament to your commitment to preserving the land and its memories and to establishing and protecting your family’s financial security.
Advantages of Owning Agricultural Land in Ohio: Sowing Success
Ohio’s fertile farmland has cultivated a reputation as an agricultural powerhouse. As a landowner in Ohio, you have the opportunity to reap the rewards of this rich environment. The state’s agricultural industry opens doors to countless possibilities, from crop production to farmers’ markets to leasing opportunities with area farmers. Your land can be a source of prosperity while contributing to the state’s agricultural heritage.
When your heirs inherit your land, they will automatically receive a step-up in basis, which adjusts the value, or “cost basis,” of the inherited land. This typically reduces or eliminates any capital gains previously earned or deferred on your property and the resulting tax implications if your heirs decide to sell the property.
You should always consult with tax experts when choosing the right path for your land ownership. You should work with trusted real estate experts like SHERIDANS who have knowledge and experience in agricultural and rural real estate.
Advantages of Owning Recreational Land in Ohio: Embracing Nature’s Bounty
If you’re an outdoor enthusiast, Ohio’s recreational opportunities are a treasure trove waiting to be explored. From the rolling hills of southern and eastern Ohio to the rich farmland in central and western Ohio, owning land in the Buckeye State means embracing the joys of hunting, fishing, camping, hiking, and more in your very own private haven. Land ownership in Ohio transforms into a gateway to memorable experiences and rejuvenation for you and your family, and the opportunities are limitless..
How Can SHERIDANS Help You With Buying Land in Ohio?
Navigating the intricacies of buying farmland requires expertise, and that’s where SHERIDANS steps in. SHERIDANS is a respected Ohio real estate and rural and agricultural land marketing company. We help you navigate land ownership and its advantages. We provide real estate services to make your land selling and buying journey easy, transparent, and rewarding, with a focus on customer satisfaction. Many happy clients have found their perfect land with SHERIDANS’ assistance, and we’re excited to help you too.
Seizing the Ohio Opportunity
When considering buying land in Ohio, remember that it’s more than just a good investment. It offers financial gains, stability, and a connection to the land’s heritage. Ohio’s low property taxes, agricultural prowess, and recreational opportunities are just a few of the facets that await you.
Discover the many options for owning land in Ohio by contacting a SHERIDANS rural and agricultural land expert. We have over 50 years of experience. Our focus on rural and agricultural real estate provides valuable guidance to help make your dream of land ownership a reality.