Is Farmland a Recession Proof Investment?

August 20, 2019

According to most investors the next recession is a matter of when not if. FarmFundr has a vested interest in promoting and growing farmland. So when we say that farmland is recession proof don’t just take our word for it. There are no perfect investments for a recession but you can be prepared. Do your own research and make decisions that fit your portfolio.

With that in mind, here are a few reasons why we think farmland is a wise investment to combat any volatility brought on by a potential recession.

1. They’re Not Making Any More Land

As cliché as it may be this saying couldn’t be more true. In addition to the profit returned by yearly (or more frequent) harvests, investors in farmland experience gains in net worth brought on by appreciating land values. It’s also worth reading about the tax benefits of agricultural investments.

2. Commodities Trade Globally

Despite the current trade war, commodities are traded globally. While a recession in one country may temporarily drop prices, this may be counterbalanced by the growth of another country. Growing economies need inputs from natural resources and commodities.

3. Own an Asset that Continues to Produce

“You buy 100 acres of farm land and it will produce for you every year. You can buy more farmland, and all kinds of things, and you still have 100 acres of farmland at the end of 100 years.”
– Warren Buffet | Forbes.com

As the turmoil of a recession kicks in it pays to invest in real assets. Faith in fiat currencies may waiver and stocks will ebb and flow, but people will always need to eat. They’re not making more land but we are making people. Investing in the farmers that can feed those people might be the best financial decision you can make.

We know the benefits of investing in farmland and how to spot a high profit potential deal for our investors.

ABOUT FARMFUNDR

Founded by a fourth generation farmer and expert farmland investor, FarmFundr is the only farmer-owned, equity crowdfunding platform focused on specialty crop operations in the United States. We provide our network of investors the opportunity to take fractional farmland ownership in high profit potential farmland operations that are managed by expert American farmers. In addition to our crowdfunding opportunities, our FarmFindr program is designed to create custom farmland investments for investors who'd like to take sole ownership of a farm.

We help investors farm, without getting their hands dirty.

Take fractional ownership in high profit potential farmland investment properties here.