This article was originally posted as a guest post on LANDTHINK's blog.
“Buy land, they aren’t making anymore.” Mark Twain’s quote isn’t just hilarious, it’s true. Land is a limited resource. People get so caught up in trendy stocks that they sometimes forget the fundamental value of land.
What makes land such a unique investment is that you can use it to generate multiple streams of income. Before you read on, take a look around your neighborhood. Are there already seven other U-Pick operations in your area? Do all your neighbors grow and harvest the same type of timber at the same time? If lots of other landowners are doing it in your area, you might want to explore other options.
Having multiple streams of income is all about out-of-the-box thinking. Here are just a few ways you can make more money off of your land.
Agritourism can be a great way to make a little extra money on the side. Agritourism is any sort of activity that brings tourists to your land, and the opportunities are endless! Each land type offers its own unique range of ways to make extra money.
- If you own an apple orchard or grow sunflowers, consider U-Pick or hosting different fall events. These could include hay rides, festivals, or selling fall treats like cider and pumpkin pie.
- Ranchland? Consider horseback riding or boarding horses.
- If you own a vineyard, you could do tours or host samplings. Maybe you could pair different wines with cheese or fresh fruit from your land!
- Farmland? Host a corn maze or pumpkin patch activities in the Fall to attract visitors.
Air B+B/Rent Out Land For Campers
You might not view your land as the ultimate romantic destination, but other people might. The rental industry is booming, and there are tons of people looking for a country getaway. Websites like Airbnb.com allow you to list your guest room or cottage for the price of your choice.
If you don’t want people in your home, you could also rent out your land to campers. Camping can be profitable as long as you’re okay with a little wear and tear from people sleeping and eating on your land. One investment we’d suggest if you go this route? A Porta-Potty.
Lease Out Unused Land
You can lease your land to farmers who need extra land. This is especially helpful if your soil type is good for what farmers grow in your area. While this can be profitable, leases can get tricky very quickly. You’ll want to work with a land consultant to make sure you are getting the best possible deal for your land.
The average couple spends thousands on a wedding venue, and rural and country weddings are a current trend. If you have a picturesque property or rustic barn, you can host a variety of events on your land to bring in extra income.
Renewable energy is a great idea if you don’t mind a few eyesores, like overhead power lines or turbines. Harvesting wind or solar energy on your land can make some extra money. You can either sell the power or use it for yourself to slash your energy bills (the latter more applies to solar energy). While this can be a great way to generate multiple incomes, having energy on your land could limit what you can do on that part of the property. Make sure you know all the benefits and drawbacks before making a decision on this one.
If you are interested in learning more about whether or not solar power is right for your property, don’t miss the REALTORS® Land Institute’s September 2018 Hot Topic Webinar on Solar Panels: A Good Idea for Your Land?
These ideas are just the tip of the iceberg. There are hundreds of ways to generate multiple incomes from your property. We hope this article inspired you to find one perfect for your land!
About the Author: Laura Barker is the Membership and Communications Specialist for the REALTORS® Land Institute. She graduated from Clark University in May 2017 and has been with RLI since October 2017.