Fredericksburg Texas Ranches
Dec 28, 2009
So what kind of ranch land investor are you?
Let’s begin the investigation with what you might find in your search for the perfect Fredericksburg Texas ranch property.
The properties of a parcel of land can vary widely because each piece of rural real estate is defined by an individual set of characteristics. Typical examples of these are, soft sandy loam soils, rocky limestone outcroppings, density of trees, location or topography etc. In order to determine what in real estate jargon, is called ‘highest and best use’, the set of property characteristics is examined. For example, a piece of real estate that has a large percentage of coverage in soft soil and open fields has potential for grazing animals, especially horses. The acreage that has scruffy foliage and rocky soil probably would best suit cattle. A property that has great views might be perfect for a Fredericksburg Texas home.
Each property is priced with regard to the attributes the seller deems most valuable. But depending upon the motivation of the potential buyer, he or she will not interpret the prices the same way. For example, as a Gillespie Country ranch owner who is interested in property on which to derive a profit, the price and suitability for cattle grazing are all important. On the other hand, a buyer interested in a property exclusively for hunting will study the quality of the tree cover and abundance of wildlife. A potential Fredericksburg TX home owner will place value in aesthetics such as tree cover, hills, a view or live water.
In general, prices of Gillespie County tend to reflect the high demand for residential and recreational use. For example, currently on the market in Gillespie County are the following properties:
133 acres at $4,950/acre
375 acres at $5,796/acre
511 acres at $4,685/acre
After examination, one can surmise that cattle ranching is probably not profitable at these prices. Most likely any ‘viable’ cattle enterprise you see in our county is on ranches long established. Considering the current trend in prices, one might add that the opportunity cost of the land as utilized (below ‘highest and best use’) makes it less likely to be profitable.
With all the criteria to be examined in the purchase of Fredericksburg Texas Ranch Land, it helps to have expert advice. I have been an agent for 5 years and work for a broker that has been established more that 25 years. CC Herber Co., Real Estate specializes in selling acreage large or small, house or not and I would be pleased to serve as your guide in our Fredericksburg Texas real estate market.
Please feel free to call me at (830) 456-6243 or email me at (JavaScript must be enabled to view this email address)
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