There is a new trend in the private equity investment industry, invest in farmland. According to an article published in USA Today, farmland makes a great investment for its appreciating prices, increasing popularity, low volatility, consistent earnings and diversification opportunities. However, buyer beware, investing in farmland is a long-term move that still poses its own risks. (Read Full Story).

Has the wonderful idea of owning a working ranch been overshadowed by the daunting idea of actually running a working ranch? For those of you who answered yes to this question, we offer the alternatives. One option is to hire a ranch manager or retain the current ranch manager working on the ranch. Beware of the importance of finding the right the person to fill the job description, as this can lead to headaches later if not done properly (Learn more in Hiring A Ranch Manager). Another option is to turn to private banks or trust companies who charge a fee for servicing ranch management needs (Read more in For a Fee, Private Banks Manage Working Farms). In short, instead of shying away from the rewards associate with owning a working ranch, educate yourself in options available, and let someone else handle the hassle.

Informational Websites:
http://www.ranchweb.com/
http://www.duderanchjobs.com/
http://www.heartlandcaregivers.com/

No one ever said ranching or farming was an easy way to make a living. With all the hardships facing this lifestyle, many farmers/ranchers feel pressure to sell out in order to survive. Luckily, there are other options. "Agritourism" is the funny word used to describe farmers/ranchers hosting recreational activities that include everything from hunting, fishing, and horseback riding to milking a cow, harvesting crops and completing daily chores. The McClain family in Nebraska practices agritourism by offering an entire farm experience as a vacation to families looking to get away and spend more time together (Read Full Story). To many, agritourism is seen as a way to supplement incomes while also allowing diversification away from the farm and ranch industry. Although agritourism may not be for everyone, it is an opportunity for those interested.

For more information on Agritourism please visit:
http://www.agmrc.org/agmrc/commodity/agritourism/agritourism/
http://www.ers.usda.gov
http://attra.ncat.org/attra-pub/entertainment.html
www.agritourismworld.com

In 2000 congress passed the "Federal Land Transaction Facilitation Act." This act enables the federal government to buy private properties that carve into federal lands making them difficult to manage. Additionally, the law works in reverse fashion by also allowing the federal government to sell those federal lands so isolated by surrounding private land that those properties are of little value to the government. Although this act was passed in 2000, the government did not start making purchases until the fall of 2007, and has since then spent approximately $18 million to purchase close to 9,000 acres in seven states. This new spending spree poses many great opportunities for both the landowners wishing to sell out and the individual looking to acquire more land. (Read Full Story).

In this business the question is often asked, "How will subprime mortgage issues and weak residential markets affect the rural land market?" The answer is always the same, "it won't". In fact, most would say the rural land market is getting stronger (Read more in Ag Economists See Sharp Rise In Farmland Values). Below are some of the reasons why land is still a great investment and links to articles lending interest and support to these topics:

1. The following investment characteristics of land make good financial sense:
a. Appreciation
b. Income Opportunities
c. Diversification away from unpredictable stock market
d. Tax Advantages
(Read more in Bet the Farm)

2. Land has more to offer than other types of real estate investments, such as:
a. Lifestyle and pursuit of passions (Read more in: Buy Your Dream, and A Second Home for the Love of the Land)
b. Recreational Opportunities (Read more in Ranches Work as Retreats for Rich and Hunting Land as an Investment)

3. The Fed can always print more money but it can't create new farmland.
(Read more in Has Real Estate Lost Its Sizzle? Not on the Farm)

As the world searches for alternative energy sources farmers, ranchers and landowners turn to their own lands for profits and solutions. Whether its corn crops to feed the growing need for fuel based ethanol or harnessing the power of the wind, landowners are beginning to reap the profits created by these energy sources. A recent article from the New York Times outlines the increase in land values realized in corn farmlands due to the increasing demand in corn-based ethanol. Read the Full Story. Another article outlines the benefits of wind farms: "rural communities welcome wind farms because they provide income to farmers and ranchers, skilled jobs, cheap electricity and additional tax revenues to upgrade schools and maintain roads." Read the Full Story. Although these energy sources may not be for everyone in every location, in short, landowners have the opportunity to realize additional revenues to supplement their current operations.

Other Articles of Interest:
U.S. Farmers Double Cropping Corn and Wind Energy
A Return to the Land for Fuel

Information Sites:
http://www.earth-policy.org/
http://www.eere.energy.gov/