Why are acreage properties and hobby farms so expensive to buy or build and why can’t I find the perfect one?
A question we at the Hancock Real Estate Group hear all the time.
Here are some key factors.
1.) Building in the country is exponentially more expensive than building on a city lot. In general, you have more dirt work and excavating, the added expense of adding driveways, drainage, etc, and the added expense of adding a well and septic system. Your landscaping costs are also much more. This can easily tack more than six figures onto the price of something you’d build on a city lot that already has a master grading plan completed and city sewer and water connection.
2.) Building or buying horse property. It may seem crazy that in the immediate west metro right now you cannot find a decent horse property for less than half a million, and at half a million you’d be buying a project or fixer upper. But, we sincerely encourage you to investigate the true costs of setting these places up. In addition to house and land, the general consumer dramatically underestimated the cost of outbuildings/barns, fencing, arenas, waterers, maintenance, planting and establishing pastures, etc. All of the existing inventory out there is BARGAIN PRICED when you look to buy it the second or third time around. To you, it may seem expensive, but in reality, used horse properties are a deal.
3.) Everyone wants a “little bit of land” but nobody wants to sacrifice anything. If you want to move to the country the first thing you need to decide is what are you willing to give up? Unless your budget is unlimited, you are likely not going to get the perfect house, horse setup/outbuilding, and piece of property right away. Figure out what can truly go, do you really need that updated house or can the outbuilding wait? Be realistic and remember good things take time and patience.
4.) Why can’t I find that updated house on land even with a larger budget? Because they don’t exist in general. People build their country and horse homes to be their forever homes. Plainly put, they don’t come on the market until they are outdated. The next buyer then gets it at a fraction of the cost to rebuild and update. That newer home on land setup for horses is a unicorn, people don’t build new homes with horse setups only to turn around and sell them a couple years later!
If you have any questions about acreage properties or hobby farms, reach out to us! We are very knowledgeable on the topic and would love to have a conversation with you!