Buying Country Acreage and Rural Properties, To Buy or Not To Buy

Almost anyone can become a rural property owner; ifdifferent matter. There are some lovely farms on the
you are willing to set goals, establish what yourcliffs overlooking the Pacific near Carmel California;
purposes are, plan ahead and set targets that are allwhere the movie stars reside and if you can find a
aligned toward the same result. And, if you can behundred acre farm you may be able to get it for a
patient instead of requiring instant gratification.There ishundred million dollars or so, plus the value of
no more $50-an-acre land; unless you count some ofimprovements. That is about what you can expect to
the inaccessible and unusable properties that arepay for acreage near Rehoboth also; and it's a little
sometimes available in blocks of 10,000 acres or more;easier to find. The farther you go away from the
and even these properties are rare. But you can get"ideal" locations the fewer people are looking to
rural properties more reasonably now than in the pastpurchase it and the lower the price is. An interesting
IF you are willing to be creative in your expectationsanecdote here; I had a couple come to me a few
and in the ways you use and modify the property.Ifyears ago looking to purchase a hundred acres or so
you are in a big hurry to find rural property, you willon the oceanfront near Rehoboth, for horses; they
likely not be able to find what you are looking for. Ruralcould easily afford the price of a million an acre or so,
properties have fewer buyers who want to purchasebut they ended up purchasing land twenty minutes
them, but there are plenty of dreamers who have notinland after they did more reasonable research.Before
considered the realities. There are seldom bargainsyou go out looking for property, sit down with paper
available because most folks who own rural propertiesand pencil and any partners or family that will be
know exactly who to call first when they want to sell.involved. You may find numerous surprises when you
If the property really is a bargain it is gone with one ofall start writing down importances, desires, and things
the first ten phone calls the seller makes. However, ifnot wanted. It is most important that you know what
you are willing to "think outside the box" of conventionyou must have, and what you can do without. Make a
you may end up with what is a bargain property forlist of the features you feel an area MUST have in
you.Twenty and thirty years ago thousands of folksorder for you to consider relocating there. This might
bought into the "live on a farm and make a fortune"include things like climate (and, thus, growing season),
dream of owning a chicken house, home and acreagebeing within a certain radius of a population center (or
in Sussex County Delaware -- the chicken capital ofmaybe a certain distance AWAY from one), and
the world -- where there are several million chickensavailability of certain facilities or services. Being within
for every person who lives here. For a short while it20 miles of an airport or hospital may not matter to
was possible to take the "contract" from a chickenone family, but could be of vital importance to
plant to the bank and with only that as collateral, get aanother.The most important item on this list is
loan for about 10 acres, a home and at least oneconsideration of the social and economic climate of the
chicken house. Many folks soon discovered that thearea, and how you will fit into it. Even if you're
so called contract had fine print and clauses that wereindependently wealthy, the economic circumstances of
all in favor of the chicken plant and none in favor ofan area can affect how you will fit into it. Will a
the chicken grower. Soon most chicken growers werewell-heeled but bored-with-society person be able to
working full time to help support the chicken businessmove into an economic Appalachia and truly find
they had bought, along with it's mortgage of $200,000contentment? Perhaps, but first consider the
or more, sometimes much more.Now when I appraise"necessities" of the life you'll be leaving. Do you need
a chicken farm with house and acreage I appraise theto regularly attend the symphony or visit a high-quality
working chicken farm at zero -- and that is really toolibrary? Is high quality clothing shopping or other
high a value in some cases. There are lots of easier,shopping important to you?MAKING A REASONABLE
better smelling and cleaner jobs you can purchaseINCOME AND LEARNING ABOUT RURAL
with $200,000 or so. If you want to make a livingIMPORTANCES: IS PROBABLY THE MOST
growing chickens you should prepare to spend at leastIMPORTANT PART OF LEARNING TO LIVE IN THE
a million dollars, you can finance it of course, and getSTICKS.Those of us who aren't independently wealthy
several chicken houses built around your home on 15need to consider some means of supporting ourselves
to 20 acres, if you don't mind the smell, and then thein our new surroundings. "Living off the land" is certainly
best bet is to lease the business to someone who isNOT all it's cracked up to be, and isn't even legal
running 20 or thirty chicken houses at least.There areunless you become a vegetarian; year around hunting
some sensible things you can do in contemplation offor meat is illegal everywhere. Even gardening or
moving to and living in the country. First among those iscollecting wild edibles is not legal either, if you try to do
to start by renting a small home in the area you wantit on public land.Before moving to the country... One of
to live -- and either move there or at least visit therethe important questions to ask (and find out for sure
often enough to get to know the area. If you alreadythe answer) is; "Does the area have a large enough
live close enough to drive to your dream area daily,population base to give a person a good shot at finding
start doing that and start frequenting the shops,a job? Another is; "Does it have a diversified
churches and restaurants there. Stop at yard saleseconomy? Many communities seem to have good
and to check into cars, trucks and equipment that isemployment opportunities, but on closer inspection they
for sale in people's front yards. Be honest, tell themall turn out to be based on the same industry, such as
you are planning to move into the area and want torecreation, chickens, fishing camps, skiing, ocean
learn about your neighbors and only stop to shop ifswimming and water sports, timber or mining or
you are really interested in what they have for salefarming. If the bottom falls out of a single industry, or
and are willing to purchase it at your price. Rural folksuddenly there is no snow or the water becomes
have a built in truth-detector and it is usually accurate.polluted and is posted against use... as folks from many
Don't try to BS them or your reputation will precedetowns can attest has happened, the economy of the
any other data about you.I suggest that you canentire area falls apart -- FAST... to fast to get out with
subscribe to a good magazine on rural living, or two oryour investment.If an area's economy is primarily
three. One of the best to begin with is Backwoodsbased on tourism, such as ours in the Rehoboth,
Home Magazine; Start by visiting and readingLewes, Dewey, Bethany, Fenwick area, there may be
EVERYTHING on line, then get a subscription, thenmany jobs available in the service sector (motels,
purchase ALL of the back issues which are bound intorestaurants, etc.) But most of these jobs pay very low
soft cover books.If you yearn for the simple life of oldwages, and often these jobs are seasonal. Land
fashioned living, in a log home for instance, and awayprices tend to be inflated in many resort areas, and
from the downward pull of civilization, check out: youours more so than most.I was surprised a few years
are able to take your income with you, to maintainago to find that the most expensive areas of California
your current income, and don't need a job where youwere not all that expensive compared to Rehoboth
are going. Then I recommend you just rent a place firstand surrounding areas.Minimum wage income is not
and start spending more and more time in a good arealikely to enable a person to live comfortably in a resort
as you begin to test your transition resources. Whilecommunity, much less enable a person to purchase
renting get to know the people and see if you fit inproperty! An extreme example is the city of Aspen,
with them. They are not planning to change to meetColorado. This beautiful ski resort community is an
your parameters, I assure you. MOST of the folksextremely expensive place to live. The local fast-food
who come from the city to the country start by tryingrestaurants have trouble getting employees because
to change the area they have moved to and the newthere is no reasonably priced place for them to live.
neighbors, to be more like where they left. They shouldSome of these businesses actually have to provide
not have left or they should get on back there -- andhousing in order to get employees! It is somewhat like
most of the neighbors will tell you so.If you move to anthat in Rehoboth area. As you may know, Grotto's
area as a renter and find the people to your liking andPizza, our largest employer in the area, at one time
they find you to their liking, you have probably foundprovided space for many of their employees. Now, a
the right area. However, in rural areas ten miles canlot of our resort help lives communally in "three
make a huge difference in lifestyle and area ethnicity.bedrooms, sleeps twenty) type apartments and
Please don't move to a resort town, like Rehobothhomes. Many more of our seasonally employed folks
Beach where I work, and then without checking try toare imported from Ireland and elsewhere -- and come
move into a place like Oak Orchard (the little ruralto live in dormitory style, often sleeping in shifts.If you
waterfront town where I live) or you will experienceare a computer professional, you are very fortunate
some near terminal culture shock. I love where I liveas the "Information Age" has created a class of
and the people who live here but hopefully not one ofprofessionals who can survive in depressed rural
them thinks that I have some intention of changing theareas -- the computer entrepreneur. With reasonably
way they live here!Once you have zeroed in on angood dial-up ISP service, perhaps a cable modem (in
area and visited it many dozen times or better yetMillsboro and some areas of southern Sussex County)
rented a place there and started living there for shorta cell phone, computer, printer, modems and fax,
stays; I suggest that you start joining various groupspeople can now roam across the country and the
and organizations as a part-time member and let themworld by phone and the Internet. Some folks, and this is
know that you are not full time yet, but hope to be.a fast growing segment of our buyers, can either
They help. Don't try to instruct them or help them dowork at home for a distant company (perhaps
what they are already doing better; just try to helpcommuting once a week or once a month or even in
them on their own terms. You need to learn the rulesthe case of one of my clients twice a week) or
of this new game, it's their game and their community.create a new business as a consultant, doing the
At most you will be a welcome member of thesame job for the same company they are currently
community. You will never be the equal to those whoemployed by. With a business card and digital tools
have four or ten or thirty generations of family buriedone can appear to have a large conventional business,
and established there. For instance in our area thosealbeit a laptop and other portable digital tools, and it can
who have only been here for sixty years are still notbe quite profitable.Computer-based businesses are
considered "from here" by those who have been hereideally suited for rural living. They are becoming
since the 1500s or soon after.Once you have lookedincreasingly more important as a means of breaking
at several dozen properties that interest you, and thatloose from the grind of commuting to work in big cities
may take a year or two or more; you will begin tothat are fast becoming too dangerous to live in. If
appreciate different micro-cultures in the area. You willyou're not yet into computers, you'll have to consider
begin to notice differences in soils, roads, well water,whether you have a skill that's marketable in the area
septic system functionality and road access; not toyou're interested in.Make sure the place you choose
mention the differences in governmental rules and(a) has a use for that skill, and (b) isn't saturated with
enforcement of same. Each time you find the perfectunemployed people who have the same skill. One of
property; put a contract on it "pending research andmy best friends is a fabulous carpenter, home builder,
discovery" and during that time check the neighborscabinet maker, and skilled in many other fields such as
and professionals about the property. You shouldwelding, auto mechanics, gunsmithing to some degree
check the neighbors first, lots of them, they alreadyand perhaps a couple of dozen more marketable skills.
know everything the professionals are going to chargeHe moved to a rural area of Virginia to his dream
you to tell you.Hopefully by the second or thirdhome on over a hundred acres and his income
property you put a contract and deposit on; you willplummeted. He is back here now and I'm glad he is
have the one that is right for you. Remember, if theeven though I don't see him very often; it's just
property is a bargain price, you have missedpleasant to drive by his business and know he's back
something in almost every case. What you need to doin the neighborhood.Please, please, please... before you
is figure out how it is a bargain for you; because youmove to an new rural area; subscribe to the nearest
have an unusual use, ability, or way to change thenewspaper for the area you are considering and read
property easily to suit your needs.Buy through athe economic and community sections as well as the
Realtor if at all possible. Sign a buyers agenthelp wanted ads. If there is a skimpy "help wanted"
agreement with your agent so that his allegiance is tosection in the local paper... beware. On the other hand,
you -- otherwise, by law his allegiance is ONLY to thecould this "depressing" state of affairs regarding
seller and by law, you are in an adversarial position toemployment news probably means that real estate is
the seller and the Realtor. With a buyer's agentbargain priced in that area?OTHER THINGS TO
agreement signed, your agent is now on your side, byCONSIDER
law, and is an opponent of the seller and the seller'sWhat about your health and age? Do you now or do
agent. Ask your agent then to provide you with all theyou expect to have frequent need for the type of
comparable sales data from the multi-listing service ifmedical services mostly found in large cities?
there is one. If not hire an appraiser, once you have theAlthough they're necessary, think seriously about
property under contract, (make the contract contingentstaying at least 25 miles away from the nearest
upon a satisfactory appraisal) and pay to have thefreeway system. These "conduits of crime" that cross
price evaluated. If you have contracted for too high athe country not only carry law-abiding citizens but
price, renegotiate the contract; if you find you have asolitary criminals and gangs as well. The gangs and
real bargain; you of course double check with yourother thugs tend to use the corridor towns in proximity
agent and the appraiser to find out why. It may be thatof the freeways as their "banks" and they excel in
the reason for it's "reasonable" price the reason that"withdrawals on the run." One small town the writers
keeps it from selling is not that important to you -- andlived in was only a few miles from a freeway exit.
you do have a bargain.Possibly your employer or theOne night, two men left the freeway, robbed a motel
consulting work or your self employment activities mayand got back on the freeway a short time later. They
allow you to telecommute. But if you can'twere never caught. Imagine what these corridors may
telecommute to maintain your current income; beforebecome as our cities and suburbs continue to
buying in an area, find out if you have a marketabledeteriorate!WHEN YOU FIND AN AREA YOU LIKE . .
skill, one which is in demand in that particular region..
This will give you some assurance that you will notOnce you've decided generally where you'd like to
become a financial fatality. Most of the folks whorelocate, visit it several times, preferably at different
move to rural communities, without checking into howtimes of the year. Learn which areas are desirable and
they will make money in the new location, have to sellwhich have problems. Check for flood plains, areas
their property at a loss within 5 years, due to lack ofwith access problems, water problems (not enough,
income.If you are retired, be certain that hospitals,too much or poor quality), noise problems (yes, even
doctors, stores, restaurants, etc. are suitable for you inrural areas can have noisy spots), or other problems
the new location -- or be very certain that you will bepeculiar to a given area. Some rural "neighborhoods"
able to comfortably reside in the new areahave earned a bad reputation. Find out why before
regardless.Some of us are not be able to savebuying there. If the price seems too good to be true,
enough money for a cash purchase of our rural dreammaybe somebody's trying to unload a problem.If you're
property before we reach retirement age. It islooking for undeveloped land on which to build your
however likely that we can provide a small sum for aretreat, find out about the water tables: depth, quality,
down payment, and we're reasonably certain that weand reliability. Find out what it costs to drill a well to the
can market our skills locally to meet payments and putnecessary depth for that area. Water should be one
bread on the table (but please don't just guess aboutof the most important considerations in any land
this, check it out).Even if you find small acreage (10 topurchase. In Sussex County we are fortunate that we
50 acres) for $5,000 or less per acre that has goodhave generally good water (no matter what the press
soil, good water available and a good prospect for anand Pseudo-envoronmentalists say) and wells are
inexpensive, workable septic system -- many banksrelatively cheap to drill.Find out the proximity of utilities
and mortgage companies are not optimistic aboutand costs to bring them in and hook them up, if they're
financing raw land. BUT, seller financing is often anot already in place. In some areas, costs to hook up
alternative and easily structured method of purchasingto the power lines grid are prohibitive. Some of those
raw land. In fact it is not unusual to get twenty, thirty orsame areas may not be conducive to an inexpensive
even forty year financing at 10% or less interest --well or septic either. BUT that can be an advantage if
from the seller. Of course, in order to build on theyou are able to think outside of the norm. For instance
property, you will normally have to pay off the seller'sour Fowler's Beach property is not conducive to
mortgage with your home financing loan. Any of therunning electric wires, getting good water from a
money you have paid on the price of the land, downshallow well or building and inexpensive sewer system.
payment as well as principle payments during yourAs a result you can get waterfront acreage for little
ownership period, and any appreciation of the landmoney on a private beach and the cost of electric,
value will be considered as part of your downwater and sewer when added to the cost of the
payment on your home owners loan.Be careful to setproperty is minuscule!Once you've narrowed your
your payments so that you can afford the landsearch to a few areas within your target community,
payments along with your current cost of housing. Youlook at several properties! Realtors such as ourselves,
can save thousands of dollars in interest by keepingcan be a big help, not only by showing you individual
your loan to as short a term as possible. Also, makeproperties, but by telling you about the area in general.
sure that there is no prepayment penalty on your sellerIt's not necessary to restrict yourself to one Realtor.
financing note.You can however often purchase anBut as soon as possible you should choose ONE to
existing home on acreage for a lot less than the costwork with, get their allegiance and preferably sign a
of acreage and building a similar home. You can alsobuyer's agent agreement with them so that they are
often rent out the property to cover part of yourlooking out for your best interests!!! If your Realtor is
expense while you arrange your affairs for yourtoo pushy for you or isn't showing you the type of
eventual relocation to rural bliss. If you are interested inproperties that interest you, find another one; make
purchasing a 100 acre horse farm complete withsure you void the buyer's agent agreement if you
buildings, fencing, paddocks, etc. you can often savehave one (in writing) and get a Realtor who will listen
nearly 50% of the reconstruction cost; but there is littleto what you want and provide you such.And don't
market for renting such a property.If you find "moreforget to watch the newspapers and check out
than five acres" with a home and buildings that needproperties in your price range and area of interest
work but are structurally sound, you may save 30% tobeing offered for sale by owner. Sometimes the best
even 60% of the reconstruction cost. Be certain in thisdeals can be had by working with owners; and if you
area, Sussex County Delaware, that you get morehave a buyer's agent, the agent can make certain that
than five acres as five acres or less falls into ayou are well informed and protected even after you
nonagricultural zoning classification that you may notview the property with the seller.You will also need an
wish to be involved with as you develop your ruralattorney in Delaware to assist you with the closing on
lifestyle.Most people ask me for 20 to 30 acres, orthe property. It is important to know that all attorney's
more. But let's take a look at reality here. A footballCAN do real estate settlements but only a handful are
field is three quarters of one acre. Thus 5.1 acres orworth using. Attorneys specialize and only three to five
more is a very roomy place to live acreage wise. Ifof them specialize in real estate -- for the rest of them,
you want horses however think 15 acres or more.real estate settlements are awkward and no matter
Each horse will need an average of 5 to 9 acreswhat they say... they usually make errors and those
depending on how you decide to raise the horse; thaterrors can be horrid.When you do find a property you
acreage is in addition to the land that your home,like, don't let it blind you to its drawbacks. Whether or
driveway, out buildings, garden and other non-fencednot you're working with a Realtor, do your homework.
areas take in. Many people are thinking of one, two,Remember, unless your Realtor is a buyer's agent, he
three or four horses for the family enjoyment; if soor she is working for the seller. Most Realtors will be
they need about 3 or more acres for the home andup front with you about all your questions, but they are
other human related improvements and should figurealso bound by contract to get the best possible price
an additional average of seven acres for each horsefor their client, the seller. And, by law -- when they are
or pony.If you have a dream of self-sufficiency; livingworking for the seller there are numerous things they
off the power grid, being away from it all... this ismay NOT divulge to you even when they know about
virtually impossible in reality yet most prevalent whenthem.First, ask the seller or Realtor all the questions
you are in the dream stage. Coming to terms withyou can about the property. For an older dwelling, this
what you can realistically afford and what you canmight include questions about the age of the wiring and
realistically live with before you buy can save you a lotplumbing, type of foundation, and in some parts of the
of headaches later.Solar power is far more expensivecountry, when it was last checked for insect problems.
than buying electricity from the power company, windThis is particularly important near the beaches and
power is unreliable, water power is expensive andregarding wooded properties -- where termites are
hard to arrange; now I expect to get a lot of argumentprevalent.Then talk to the neighbors. In the rural sense,
on this from those who have read all about it but havethe "neighbors" are folks living within a five-or-so-mile
no real experience -- but I won't get any validradius of the property; sometimes even more, if the
argument from anyone who has done it (unless theyproperty is down a long road without intersections. Ask
are simultaneously trying to sell the idea tothem about the area, its people, any problems with the
others).There are many good articles in Backwoodsarea, and particularly if they know of any drawbacks
Home Magazine; but most of them leave out the initialwith the property you are considering purchasing. If
expense, maintenance expense and almost alwaysthey seem reluctant to talk to you, this might be a red
the expense of replacing worn components of theseflag you shouldn't ignore: maybe they'd like to buy the
so called money saving off-the-grid systems. You canproperty but can't afford it, or maybe they don't like
however design a passive solar home, one with mostoutsiders buying property in their area. If you run up
windows facing south west and few facing otheragainst this in several conversations, you might have a
directions. Most older farm houses are alreadyhard time getting along with the neighbors. Buying --
designed like this, not all of them are well insulatedand holding onto -- that chunk of land, with or without a
however.Location: is paramount. We Realtors arehome and buildings on it will take creative planning,
wont to chant"location -- location -- location" like apatience, and caution on your part!IF YOU MUST
mantra. It isimportant, just learn what it means asHAVE A DEAL OR ELSE . . .
location hasdifferent parameters for differentToday's expensive properties will be tomorrow's
purposes. Location on a main road is imperative forbargains. Don't be discouraged by short term
commercial activity; location near pleasant living andobstacles. Land prices seldom go down in the long run.
good jobs is imperative for residential property; locationObviously, there are a lot more things to consider
regarding rural principles is a matter of sometimes lifewhen buying rural land as opposed to buying a house
and death or at least a matter of doable and undoablein a city. One of them is the possible problems of
for a rural home.I suggest that the proper location forbuying in a "boom town" area when you don't want to
rural living is NOT usually closest to the best beach, skibe part of the boom.It is important to consider whether
slope or lake but the more sensible location is near toyour dream location will become less desirable as
a rural town where many or most of the locals aremore people relocate there. For this reason it is not
living on rural acreage. In our area everyone wants tenuncommon for people who move to a rural area to
to thirty acres near the beach; after finding out thewant to "close the gate" after they get there. They
price, they dream about 1 to 5 acres but seldom endrealize that if too many people move to the small
up getting it and if they do the difficulty of finding it,community they have chosen, that it will eventually lose
using it for rural purposes and enjoying it when yourthe qualities that drew them there in the first place.
neighbors complain about your rooster, tractor noise orUnfortunately, people WILL find these wonderful
fertilizer odors will often make this semi-rural locationplaces, no matter how hard some people try to keep
less than your dreams.If you're not rigidly set onthem a secret. Some communities handle growth well,
purchasing land in some popular or scenic wonderland,others don't. Check to see what kind of planning and
some good buys can still be found in the lesszoning is present in your chosen area. A community
"romantic" parts of the county, particularly on thethat looks ahead and plans for growth fares much
edges of small farming communities. In Sussex County,better than communities that keep their heads in the
I suggest the south west part of the county, west ofsand, thinking "it can't happen here." Growth not only
Millsboro, nearer to Gumboro, Delmar, etc. for the bestcan happen, it will.But short of a natural disaster or a
rural surroundings and lowest prices. There are fewdevastating man-made calamity, land won't come
properties available in that area but even fewerdown in value. Buy it, use it, live on it, improve it, and
buyers who have faced the reality of where rural livinglove it. Land is the best investment you'll ever make,
is better lived.If you are independently wealthy, that is afor yourself and posterity.Good luck in your search!