What Mistakes Did You Make When buying Your Hunting Property?

[Turkish]

I'll 2nd Catscratch...Wish I had bought more land a few years ago.

Let’s talk about this. Is your buying power not greater now with the money you would’ve spent on land back then? Has land appreciated in your area greater than the alternative investments?

My regret is paying cash and not borrowing to pay for my land. The reason is that that cash would’ve out-earned the sub-5% interest I’d have needed and I could buy even more land now.

Heck, I guess, strictly financially speaking, I regret buying the land in the first place. If I’d have put that money in VTI instead, I could pay cash for the bigger farm down the road that I want now, even with the downturn the last 12 months. And I bought my land at a good price 7 yrs ago. Maybe our market was just ahead of others.

 

[g squared 23]

So buy more land, but with debt, but not too much to affect monthly cash flow??


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[Wind Gypsy]

Let’s talk about this. Is your buying power not greater now with the money you would’ve spent on land back then? Has land appreciated in your area greater than the alternative investments?

My regret is paying cash and not borrowing to pay for my land. The reason is that that cash would’ve out-earned the sub-5% interest I’d have needed and I could buy even more land now.

Heck, I guess, strictly financially speaking, I regret buying the land in the first place. If I’d have put that money in VTI instead, I could pay cash for the bigger farm down the road that I want now, even with the downturn the last 12 months. And I bought my land at a good price 7 yrs ago. Maybe our market was just ahead of others.

Too many variables but you’re probably right in many cases but not in others. I have a buddy who bought an 80 close to me for around $100k 5 or so years ago (about an hr from Minneapolis). It would go for around $300k now I bet. And he’s been shootin bucks off it the whole time.. never shot a buck in my brokerage accounts

 

[Howboutthemdawgs]

Too many variables but you’re probably right in many cases but not in others. I have a buddy who bought an 80 close to me for around $100k 5 or so years ago (about an hr from Minneapolis). It would go for around $300k now I bet. And he’s been shootin bucks off it the whole time.. never shot a buck in my brokerage accounts

I have a doctor buddy who ratholes money. He has multiple well funded investment accounts but he does nothing. He always talks about one day. I have basic retirement accounts that aren’t ever going to make me rich but I’ve owned land free and clear since I was 36. Sold my first piece for a 33% return in 3.5 years and got immeasurable enjoyment out of it. I’m not saying I have it figured out or anything but my strategy of dumping what I have into the thing I love most behind my family works for me.

 

[Turkish]

Too many variables but you’re probably right in many cases but not in others. I have a buddy who bought an 80 close to me for around $100k 5 or so years ago (about an hr from Minneapolis). It would go for around $300k now I bet. And he’s been shootin bucks off it the whole time.. never shot a buck in my brokerage accounts

I guess what I’m thinking is, “if you think you should’ve bought more then, it stands to reason you should be buying more now.” :)

 

[Howboutthemdawgs]

I guess what I’m thinking is, “if you think you should’ve bought more then, it stands to reason you should be buying more now.” :)

Agree. I haven’t been in the game for long but I’ve yet to see land go down

 

[Garrett S]

So buy more land, but with debt, but not too much to affect monthly cash flow??


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I think many miss the point of land being equity in long run, let alone the enjoyment in the middle.


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[Wind Gypsy]

I guess what I’m thinking is, “if you think you should’ve bought more then, it stands to reason you should be buying more now.” :)

Maybe? Impacts of Land values and interest rates have kind of gone the opposite direction as stocks so the situation then may not be the situation now but hell if I could say with any confidence where things are going in a 2, 5, 10, or longer year timeline.

 

[Bill]

I guess what I’m thinking is, “if you think you should’ve bought more then, it stands to reason you should be buying more now.” :)

That’s always the case. Always should have bought more. I bought more twice and still want more. I don’t think that desire ever goes away. But my wife’s easy going attitude about me buying more seems to have faded

 

[b116757]

Land values in the relative short term say 1-4 years could possibly see a dip in valuations with higher interest rates if your a long term investor this is meaningless because land values will always climb in the long run. If your looking to flip a property in a short term venture now would be a difficult time to buy and feel confident your investment would grow much if any in that 1-4 year time horizon. Hope I’m wrong and things quite back down but I’m pretty sure we are headed into hard times for many folks to come. I believe Amazon announced 10,000 lay offs this week alone. Inflation and the interest rate hikes to combat it will send us into recession we are beginning to see its affects on jobs now.