Best Types of Land in Northern California
Are you thinking about purchasing land in northern California? Making the commitment to buy land will require careful consideration, and our experienced agricultural consultant, Jason DurJava, ALC can help you complete a transaction as smoothly as
The first step in purchasing land is deciding what type of land you would like, and what purpose you would like the land to serve. When it comes to choosing different types of land, there are a lot of options available, and each type has unique investment benefits.
Types of Land in California
California’s range of geography types makes it one of the most unique states in this country. We are one of the few states, in which you can drive to the mountains, the ocean, the desert, and the plains, all in one day. While this makes it convenient to live in our beautiful state, it can also make buying land at an affordable price a little bit more intricate.
Purchasing Farmland in California
In most cases, farmland is purchased in large acres with homes or structures and utilities already available. If you are purchasing a farm that is already functioning, you might be able to put the farm to immediate
However, farmland is not always the best choice for purchasers looking for land. Before purchasing farmland, it is a good idea to look at the types of crops the land produces, the types of animals being kept on the land, as well as figuring out if you are equipped with the right farming skills to make the purchase a sound investment.
Acreage in California
When most people are entertaining the idea of purchasing land, they think of acreage. Acreage
Purchasing a Ranch
The term “Ranch” and “farm” are sometimes used synonymously, even though they are different types of properties. Ranches are different from farms in that they primarily produce livestock, while farms primarily produce crops. While crops can also be grown on ranches, ranch properties typically come with far more acres for animals to graze. Similar to farmland, you should make sure that you have experience running a ranch or skilled employees to run the property for you. Otherwise, you might have a hard time getting the property functioning, and you will see a negative return
If you plan on using your land purchase for commercial development, you should look for commercial land, since they are generally located in commercial zones. This way, you can begin building quickly. Generally, the type and size of commercial land can be more expensive, depending on location. Land for commercial use often produces a great return on investment.
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Choosing a Loan For Purchasing Land
When it comes to purchasing land, you usually have the option to buy it with cash or take out a loan. If you do not have the available money to outright purchase a property, loans can help. However, unlike purchasing a home, loans can be harder to attain when buying land. Loans are somewhat more precarious when buying
Most lenders are more skeptical about being left with undeveloped land, and will sometimes have higher down payments with higher interest rates than traditional mortgage loans. If you plan on building immediately after purchasing land, you will also need to receive a construction loan that can sometimes be converted to a mortgage, after construction is finished.
Want to learn more about obtaining a loan for land purchases, or types of land available in northern California? Call our experienced agricultural consultant, Jason DurJava, ALC, today at 208-431-0400.