Here at '1 Stop Realty, Inc.', we pride ourselves on being your 1 Stop Source for all your real estate needs, regardless of the type of real estate involved. Whether it be farmland, a home, or a building site, our knowledgeable staff will be able to help.
Our relentless dedication to knowing the specific differences in each type of transaction is what sets us apart from the rest. You cannot sell a house like a farm, and you cannot sell a farm like a house.
In our industry, focusing on farmland is a rarity because of its inherent complexities. That is why holding membership in the REALTOR® Land Institute helps signify our distinction. With this commitment, we make sure to educate ourselves on all aspects of how to most effectively optimize your investment in land. Farmland is unique, they are not making more of it, and nothing says this better than RLI's motto; "Under all is the land."
Land transactions require expert knowledge and exceptional brokerage skills. When you choose a real estate firm such as ours, that derives over 95% of it's business from farmland sales, auctions, 1031 exchanges, and management, these are some of the benefits you should expect:
- Someone who has the background and will take the time to understand your unique situation and LISTEN to your needs to develop a real world solution. We will always put the client's needs and best interests before any other considerations.
- Someone that can provide the best price analysis, utilizing not only our experience, but genuine up to date market data. With nearly 40 years as a company, and over 80 years of combined experience, you will know for certain that the price analysis we put together is well researched and not just some number plucked from the air.
- Someone with specialized land knowledge, whether it is land use, soils, drainage, or any one of the numerous other technical factors that require recognition and proper action to achieve your goal.
- Someone that will explore with you the legal and tax ramifications of your proposed transaction, and assist you in utilizing professional legal and tax advisors. We will make sure you are informed of all options available to you, such as 1031 tax deferred exchanges, and help to outline a course of action to help you achieve your financial goal.
- Someone with creative marketing skills that will give your property maximum market exposure with a wide spread referral and networking system. We tailor fit each marketing strategy to each person's property. Who better to reach the farmers and investors you want to buy your land than a team of professionals who have those connections.
- Someone who will represent you exclusively. Always make sure your agent practices "single agency", keeping your best interests the important ones.
- Someone with superior negotiating skills, developed from constant training and years of first hand experience.
- Someone whose competence and conduct follows the REALTORS® Code of Ethics.
- Someone who will communicate with you throughout the various steps in the transaction with progress reports and updates. We will be there with you every step of the way, and will keep you informed of what is going on!
As a customer, you deserve the best professional representation the market has to offer, regardless of the type of property involved, or the method for which that property is being sold. Very few real estate firms can handle the rigorous training and commitment involved to be an accredited farmland brokerage. That's why we are proud and confident that we are "The Experienced Farmland Professionals!"
Who is Minding Your Farm?
Our farmland management services are designed primarily for Landowners that are not actively farming their farm themselves.
Because the landowners' goals and objectives are foremost, our farm manager will carefully ascertain those goals and then analyze the farm to assist in developing plans for your farm that can best accomplish those goals.
The landowner will be asked to prioritize factors such as their acceptance or aversion or risk, intended term of ownership, increasing earnings, and other related factors. The operating plan and subsequent decisions made by your farm managers will be based upon these factors combined with your goals.
Services provided by our farm managers include:
- Timely and thorough reporting and communication on your farm.
- Creation and maintenance of farm rental contracts helping you achieve a higher return on your land investment.
- Constant monitoring of the agricultural market and the volatility of land rental values to make sure that lease and/or operating terms are adjusted to the changing industry trends, maximizing your profit.
- Frequent visits and inspections by your farm managers to ensure asset preservation, conservation, and to ensure that your farm qualifies for "pride of ownership", insuring that the tenant is respecting your property and treating it as if it were their own.
- Supervision of capital improvements (made after your approval) to your farm.
- Profit and financial analysis reports with budget and cash flow projections.
- A year end personalized comprehensive report that provides the needed information for your income tax return.
Your land is an investment that will return a profit well into the future if properly maintained. We ensure that your land is rented out to responsible individuals that will care for it as if it is their own, paired with constant monitoring of improvements and market changes to keep it up-to-date and competitive in today's market. With our help, your land will continue to be a profitable investment without being a hassle.
To learn more about various leasing options and how our tailor-made services can benefit you, contact "The Experienced Farmland Professionals" for a free no obligation interview today.
The Auction Advantage
The public auction process is now the fastest growing method of selling real estate in the United States. At 1 Stop, we know that the auction method has the ability to get you top dollar. Our goal is to create a positive auction experience for sellers and buyers!
- Buyers come prepared to buy. Lookers are eliminated because hidden bidders must prequalify through a non-refundable deposit of 10%-20% if they are successful bidders. That means if they bid on an auction and win, they can't just walk away and pay nothing.
- The auction creates maximum exposure for the property. Auctions are a concentrated effort, so the exposure and efforts are more intense and visible.
- The seller has full control of the sale date, selling terms, and closing date.
- Auctions create excitement and increase buyer competition for property. Competitive public bidding means higher prices!
- Everyone near and far has an equal opportunity to buy your property.
- Buyers know the seller is committed to sell.
- The buyer knows they are getting the property at a fair market price set by public bidding.
- The buyer has full control of what he wants to bid to own the property.
- Auctions reduce the potential negotiating time for the buyer.
- Service- we will work closely with buyers to provide detailed accurate information.
Auction Formats for Real Estate
The real estate sells to the high bidder. The seller does not reserve the right to decline the final bid received by the auctioneer. Absolute auctions generate maximum buyer response. However, it is important to recognize the market risk potential for the seller.
Auction With Reserve
The seller reserves the right to accept or decline the final bid. Auctions with reservation may or may not have an advertised minimum bid. The advantage to the seller is that he or she is not obliged to accept any price other than what he or she and the auctioneer have established as a reserve price for the property. The drawback is that some buyers may not want to invest the money and time in researching a property sale that is subject to seller approval of the final bid.
1 Stop Realty, Inc. is one of the pioneers in offering farms at public auctions using a multi-tract system. Offering property under the multi-tract or round systems will increase the number of buyers who can afford to purchase; creating excitement and demand. It gives all bidders an equal chance to compete and it often results in higher revenues for the seller.
Minimum Bid Auction
Bids are accepted at or above the disclosed advertised minimum. The advantage to the seller is that it does creates a safety net that does not exist in the absolute auction. At the same time, if the minimum bid is set at the proper level, considerable buyer excitement can enter the marketplace. The disadvantage is the seller may be limited to only those buyers interested at the disclosed minimum bid. The minimum bid auction format has been very successful in the marketing of real estate previously listed through traditional sales methods.
The Auction Process
Once the decision has been made regarding the method to use, the 1 Stop team begins preparing for the auction day.
An agressive marketing program is critical to an auction's success. Massive interest must be created in the property. The advertising budget is set according to specific properties and the type of market that needs to be reached. The budget is then broken down into various forms of advertising that will best reach the market for the individual property. Direct mail, newspapers, trade journals, radio, property signs, telephone solicitation, property brochures, and multiple websites. The auction staff will devote many days of prospecting the market to identify potential buyers and discuss their interest in the property to be offered.
Our goal is to make all potential bidders aware of the sale and provide them with the pertinent information needed to attend the auction prepared to buy without reservations.
The allowed time for a real estate auction varies depending on the type of property, but generally it is 60 to 90 days from the initial planning stage to closing. The auction itself may take from just a few minutes for single property to several hours for a multi-parcel auction.
Terms of an Auction
The seller sets the terms and conditions of the auction with advice of the auctioneer. The terms must be in balance...keeping in mind that there are two parties in the transaction. There should be no contingency clauses on auction day. All possible concerns and questions of the buyers should have been addressed prior to the sale day. Usual terms are the high bidder(s) deposits with the auctioneer an advertised earnest money deposit (% of the purchase price) and enters into a pre-approved contract immediately following the auction. The balance is paid in 30-60 days with delivery of good title from the seller.
1031 Tax Deferred Exchanges
One of 1 Stop's land specialties is helping owners evaluate exchange strategies to defer paying various forms of capital gains tax when selling their property. We have specialists with the necessary experience to meet the challenge of today's business and tax environment.
Benefits of Exchanging
Prior to 1979, trading properties was at best complicated. Completing a tax deferred exchange meant properties had to be "swapped" simultaneously. Unfortunately, this made exchanging cumbersome and risky, if not impossible.
In 1979 a ruling by the U.S. Court of Appeals enabled the non-simultaneous or "delayed" exchange to qualify for tax deferral. This gave investors the time necessary to find desirable replacement property by using an Intermediary.
Treasury Regulations effective June, 1991 validated the delayed exchange and simplified the exchange process. By providing specific guidelines, these Regulations were welcomed by real estate investors who were previously uncertain of the viability of 1031 transactions.
Many investors have held property for years because a sale translated into paying taxes of up to 40% of their capital gain. Typically, as an investor's needs change over the years, the type of investment property they want changes. Relocation, estate building, retirement, desire to increase cash flow, or wanting to reduce management responsibilities, all affect the type of property investors want to own. Under IRC Section 1031, investors now have the alternative of moving their investments (and equities) into more desirable or profitable properties.
"The true power of exchanging is the ability to meet investment objectives without losing equity to taxation."
While 1 Stop Realty's focus is on farmland, we pride ourselves on being a '1 Stop Source' for all real estate needs. With resident experts, such as Jan Schley whose experience expands over 25 years, we are confident that we can help you with all your housing needs.
Whether buying or selling a home, your agent can make sure that you are getting a competitive price by utilizing comparative market analysis to ascertain the value of the home.
Our experts can help you determine areas of improvement that can be made to your home that will increase it's marketability and profitability.
Feel free to give us a call anytime for your FREE, NO Obligation Comparative Market Analysis!