Category Archives: Investment plans

10 THINGS TO KNOW BEFORE BUYING A FARM LAND

 

1. Find a Quality Farm / Agricultural Land Real Estate Agent:

Many real estate agents are knowledgeable only about property and houses in cities. So find agent who knows about farming, farm house and other important details like soil types and water. A good real estate agent will guide you in all complicated issues. Rural real estate is complex, so finding a good agent / professional property management consultant experienced in land purchasing is a necessary investment.

2. Proximity to Local Markets:

Need to check on how close is the local market and distribution channels from farm? If you have to drive many miles before you reach your local farmers market, is it worth the cost, energy and time associated with the distance? Check for any stations or airport nearby for future advantage. Also check about other farms nearby that also have to make the commute.

3. Land History – Physical and Cultural:

Look for the stories associated with the land, what sort of people lived or how it has been formed or originated. See if you can find out about previous land management practices, about water usage, flood irrigation, cattle and hay ground, etc.

4. Infrastructure:

Is there a barn or houses or other building on the property? Does the farm have any fencing or any motors or equipment? It is important to know about your investment after you purchase the land. If your farm already has fencing, barn, irrigation pumps, wells, etc. it will be asset to your new property.

5. Site Evaluation:

Visit the farm a couple of times to evaluate the site for your farming purpose. Check on the farm has good sunlight exposure? Is the farm located in a high valley that has its own micro climate? Analyse whether the soil is suitable for cultivating crops, fruits or vegetables with good yield.

6. Legal rights / Encumbrances:

Make sure the entire title report and the full attachments that go along with the property. Hire a lawyer if need to review the documents. Typical easements include road, power and irrigation easements. Know who can come onto your property and to what extent.

7. Neighbours:

Neighbours are an important asset to our house we live. Make sure you try to meet your neighbours beforehand, if possible, and get on good footing before you buy. A neighbour who makes your living peaceful without hassle. A good neighbour is indispensable in the rural setting. There will be times when you need them.

8. Taxes and other levy:

Have clear idea about the taxes and other government levy’s to be paid every year. The electricity charges, servant wages in that locality and other charges related to the farm land. This might require for budget planning and expense management.

9. Land /Soils:

Examine the soils, water, land area and irrigation facilities is also a good idea. You can bring up a aerial view of the property. You can get idea about the property locality, segments, animal units, houses, crops, etc. If you are interested in organic production, it is wise to test your soil for heavy metals and residues that may inhibit your ability to grow organically. This can be expensive but worth investment.

10. Water:

Water is most important resource for a farm land. Ensure sufficient water resources are available on your property. Check for irrigation method like centralised irrigation, etc.  Also check your drinking water sources, water treatment and power plant for water. How the current water sources are utilised. Check for the availability of ponds, creeks, wells or waterfalls. Most of all is willing to spend some extra time and money for peace of mind.

Knowledge is everything.

Realty sector on recovery path, HNIs pouring money: Report

The Indian real estate market is on a recovery path and is witnessing investments by HNIs, with further improvement in the sector likely in 2020, according to a report by IKON Marketing Consultants.

 

The Indian real estate market, which was at its lowest level in the past four to five years, has witnessed a recovery in 2018, owing to greater transparency and greater consolidation, says a report by IKON Marketing Consultants, which was released on March 30, 2018. The report is based on a pan-India study, conducted by the Ahmedabad-based marketing consulting firm. The study revealed that HNIs (high net-worth individuals) have already started investing in the realty sector at current prices, expecting returns of 20 per cent to 30 per cent, within the next two years.

 

More foreign investments are likely, due to the government’s decision to allow 100 per cent FDI (foreign direct investment) in the sector, the report said.

 

However, the residential sector can become more about space than size, going forward, the firm said. “Home buyers in leading 10 cities like Ahmedabad, Surat, Mumbai, Pune, Bengaluru, Chennai, Patna, Vijaywada, Kanpur and Jamshedpur, are now looking for more livable space than overall area,” it said. “In the commercial and hospitality segments, no major changes can be expected in the near future but demand may pick up gradually, for ready-to-move properties from 2020,” it added.

 

The report said tough sectoral reforms, such as demonetisation, the Real Estate (Regulation and Development) Act (RERA) and the Goods and Services Tax (GST), have already been factored in and the market will see their positive impact in the coming years.

 

Azaz Motiwala, founder and CMD of IKON Marketing said, “2020 will be the year of boom for the real estate market in India and (the trend) it is likely to stay for the next three to four years. FDI flow and demand from actual buyers, may increase at the beginning of the coming decade.” Today, buyers have become very choosy and real estate companies will have to change their approach to attract them, Motiwala added.

 

Source: housing.com