Profit from Recreational Property?

[roryfletcher]

One approach I’ve seen work in Europe, particularly on the French Riviera, is turning properties into lifestyle destinations that combine recreation with short-term rentals. For example, some owners in Provence or along the Cote d’Azur will maintain small ponds, hunting areas, or vineyards and rent out cottages or lodges seasonally. The combination of passive rental income plus occasional agricultural or hunting leases can make the property closer to self-sustaining. If you want to learn more about structuring properties like this, Living On The Cote d'Azur shares some insights on turning recreational land into profitable lifestyle investments.

 

[PCC600]

Obviously depends on the property and location. We bought 1100 acres of pasture and 190 acres of irrigated crop fields in an area I hunt mule deer several years ago because I didn’t want one of the other neighbors to buy it and close it off to our hunting. I worked out a deal with another neighbor to lease the pastures for grazing and the irrigated fields for corn and alfalfa. I gave him a break on the leasing price in exchange for hunting rights on his owned 5000+ acres. Last year, we sold our land to him for a decent profit but retained the hunting rights through a 20 year easement. Everyone is happy because he doesn’t hunt. I will use this model again!

I did something similar in Tasmania . Bought a 10,000 acre grazing property with a 2750 acre forestry operation . My local partner wanted the land for highland ( summer ) grazing and I wanted the use of the 180 year old homestead and the shooting and fishing rights ( 17 kilometres of lake frontage ) . We were in this together for nearly 20 years and I never put a penny in - other than a substantial stake for my share . Got a dividend as timber was harvested and owned the best shooting and trout fishing in Australia . A handsome profit when I exited . And we are still friends . I think this is a very rare example .

 

[Bandera]

We make about 35k a year on our property.
106 acres with about a 22 acre shooting range on it.
We bought the range and surrounding property. It was an established range, so the income was there, just not documented.
The range is not a public range, it is a competition range. We lease the areas to different shooting clubs.
We also have 50 RV spots.

 

[Altitude sickness]

Now is not the time to buy land. Unless it’s a piece you have waited on to come up for sale.

Wait for the next big economic slump. 2008 and 2020 type slumps. When you think it’s at the bottom and you’re nervous to buy anything.

That is the perfect time to buy.

 

[Longwalker]

I highly recommend purchasing land to hunt on if you can afford it, and the price is right. About 30 years ago I bought into a property with family, a nice chunk of semi-wild land up against public forest reserve with just enough hayfields on it for the renters to pay the taxes. It has appreciated in value more than any other investment I've made. Meanwhile we've taken more than 100 elk, dozens of deer, a bunch of moose and bears off our property. If an elk hunt is given an arbitrary cost of $10,000 I've returned $300,000 in "value" just by my own elk hunting experiences. And I haven't sold it.

 

[steve white]

You have a better chance of making money than someone I know who thought B&B would pay for their vacation house in Florida. The home insurance goes to $900+ per month if you do B&B. Seems like there is always someone coming along to scoop off the cream from anything that makes money--either the taxation people or the insurance people. I have no idea the repercussions on recreational hunting property but I would personally need to know all the ins and outs before I jumped into it.
I think Longwalker has realized the best kind of return!!
One thing about land--they aren't making any more of it.

 

[Rare Breed]

just never buy land thinking you can make money off it. Do it for yourself. If you make enough money just to pay taxes feel blessed

 

['68boy]

I couldn’t have said it better.



I’d like to find a financial planner that can get 9%.

Call Tarra Pfister @ TTG financial advisors in Billings MT. Tell her Jay referred you. She has been knocking it out of the park for me for years. No I am not related just a very satisfied client.

 

[Philip Glass]

Is there any good way to make passive income off of a recreational hunting property?

I always have a desire to own property for hunting and fishing. I have in the past- it’s just really hard to justify the large capital investment and time to make it work. Financially it has to make sense…


Say you had $1M USD and want a place with some fishing (at least a pond) and at least deer every year- Is there any way to get even a 5% annual return ($50,000) on that money through the property ? I know the hope is the land appreciates over time but you can’t cash that out til you sell.

I have financial investors that can essentially guarantee 10-15% return on cash so putting that into Land is technically a “loss” that’s why I sold my last property…. Big swing in cash flow from monthly expenses to net profit! I now pay a hunting lease for less than half of what my operating expenses were on the property, and make way more off of interest!


I know the secret to everything is Buy low or inherit but I’m sure there has to be a way to make a legit business out of a property that can at least pay for itself? Any novel ideas that you have done? Or know of? I know a grazing lease and a farm lease of tillable areas brings some money but really that’s pennies on the dollar-

I’m looking for something that can make $50k/ year off of a $1M investment (give or take) with minimal time on my part (not opposed to hiring employees to work if it’s profitable)

You are missing the most important aspect of owning ag land. It is the tax advantages of having a farm. This is number 1 in the calculation and then you look toward income generation such as grazing and hunting leases. The down side is property taxes. The upside is appreciation which takes time.

 

[thriller]

Is there any good way to make passive income off of a recreational hunting property?

I always have a desire to own property for hunting and fishing. I have in the past- it’s just really hard to justify the large capital investment and time to make it work. Financially it has to make sense…


Say you had $1M USD and want a place with some fishing (at least a pond) and at least deer every year- Is there any way to get even a 5% annual return ($50,000) on that money through the property ? I know the hope is the land appreciates over time but you can’t cash that out til you sell.

I have financial investors that can essentially guarantee 10-15% return on cash so putting that into Land is technically a “loss” that’s why I sold my last property…. Big swing in cash flow from monthly expenses to net profit! I now pay a hunting lease for less than half of what my operating expenses were on the property, and make way more off of interest!


I know the secret to everything is Buy low or inherit but I’m sure there has to be a way to make a legit business out of a property that can at least pay for itself? Any novel ideas that you have done? Or know of? I know a grazing lease and a farm lease of tillable areas brings some money but really that’s pennies on the dollar-

I’m looking for something that can make $50k/ year off of a $1M investment (give or take) with minimal time on my part (not opposed to hiring employees to work if it’s profitable)

Well it depends on how much land you want to buy. Timberland can make a return but to have it do it every year requires thousands of acres. Think and average southern yellow pine rotation is 27 years and an average clearcut is 80-200 acres and you will start to get in the ballpark with that route. So 2100 to 5400 to make an annual return business in the timber production direction.

I know it’s a big block but I used to work in commercial forestry where this was considered small. Forestry ownership out there is wild

 

[wesheltonj]

You are missing the most important aspect of owning ag land. It is the tax advantages of having a farm. This is number 1 in the calculation and then you look toward income generation such as grazing and hunting leases. The down side is property taxes. The upside is appreciation which takes time.

You are going to have to fill me in on the tax advantages. I must be missing something.

 

[Rimbaud]

Is there any good way to make passive income off of a recreational hunting property?

I always have a desire to own property for hunting and fishing. I have in the past- it’s just really hard to justify the large capital investment and time to make it work. Financially it has to make sense…


Say you had $1M USD and want a place with some fishing (at least a pond) and at least deer every year- Is there any way to get even a 5% annual return ($50,000) on that money through the property ? I know the hope is the land appreciates over time but you can’t cash that out til you sell.

I have financial investors that can essentially guarantee 10-15% return on cash so putting that into Land is technically a “loss” that’s why I sold my last property…. Big swing in cash flow from monthly expenses to net profit! I now pay a hunting lease for less than half of what my operating expenses were on the property, and make way more off of interest!


I know the secret to everything is Buy low or inherit but I’m sure there has to be a way to make a legit business out of a property that can at least pay for itself? Any novel ideas that you have done? Or know of? I know a grazing lease and a farm lease of tillable areas brings some money but really that’s pennies on the dollar-

I’m looking for something that can make $50k/ year off of a $1M investment (give or take) with minimal time on my part (not opposed to hiring employees to work if it’s profitable)

what's the fee on 10% to 15% return via what sounds like unsecured debt?