3 Key Considerations When Purchasing Agricultural Property with Pure Funding Mortgage:
Land Characteristics and Suitability
Soil Quality and Productivity: Different crops have varying soil requirements. Assess the soil quality to ensure it can support your desired crops, which may involve obtaining soil samples and testing them in a qualified lab.
Water Availability and Irrigation: Ensure a reliable water source for your crops, whether from a river, stream, or underground aquifer. Consider the necessity and cost of installing and maintaining an irrigation system.
Topography and Drainage: The slope and layout of the land impact drainage, erosion, and crop suitability. Evaluate the property’s topography to ensure proper drainage, avoiding flooding or waterlogging issues.
2. Financial Considerations:
Loan Eligibility and Terms: Carefully review Pure Funding Mortgage’s loan requirements and terms. Understand the interest rate, repayment schedule, and any associated fees to ensure you qualify.
Develop a Business Plan: Create a comprehensive business plan detailing projected income, expenses, marketing strategy, and funding needs. A solid plan helps secure financing and increases your chances of success.
Hidden Costs: Beyond the purchase price, factor in additional costs like property taxes, insurance, equipment, repairs, and labor.
3. Legal and Regulatory Issues
Zoning and Land Use Restrictions: Research the property’s zoning designation and any restrictions on land use. These could limit the types of crops you can grow or the structures you can build.
Water Rights: Investigate water rights associated with the property to ensure they are sufficient for your agricultural needs, as water rights can be separate from land ownership in some areas.
Environmental Regulations: Be aware of environmental regulations applicable to agricultural activities, such as pesticide use and manure management. Ensure compliance with these regulations.
By carefully considering these factors, you can enhance your chances of success when purchasing agricultural property with Pure Funding Mortgage. Consulting with qualified agricultural professionals and real estate attorneys is highly recommended throughout the process.
