Buying grazing land

Robbie260

Well-Known Member
Right So some opportunities have arisen local to me too help me get a start in farming possibly. One of the large farms in my area had come up for sale as a whole or in lots. One of the offerings is 12.99 acres of sheep quality grazing for deffinate possibly cattle if some of the smaller hardier breeds such as Galloway or highland. The ground is mainly grass pasture with some patches of braken/rushes spread around the area in small pockets and some small pockets of woodland. The land comes in at offers over £45,000, with an old delapidated dutch style barn already erected. The total site comes in at just over 5 hectares so it is big enough too allow you permitted development rights for agriculture.

One of the other offerings is appoximately 6 acers or 2.2 hectares roughly. It is a similar ground type though may be slightly drier as it is on a gental slope. There is a selection of sheep pens at the bottom of the feild. This is not big enough too come under agricultural permitted development rights so for any buildings planning permission would be rquired. This package comes in at offers over £10,000.

Idealy id buy both as they are right next too each other. But reality is i could probably only afford one. If i could pull this off the plan too start with would be too get some useable shed space too do some agricultural engineer work out of and some equipment restore or recomission for sale. To start with id probably rent out the grazing on a yearly lease, till i got my self a bit more organised so i could look after some live stock of my own. What would be a rough guide too the kind of rental income i could expect for the amount and type of pasture avalible. I will get a proper evaluation done before i buy but for now im just looking for a rough guide.

Also im wondering about agricultural finance i have heard a 40% deposit is required in most cases along with a buisness plan for this kind of purchase, i dont belive a personal loan from the bank would be allowed for a purchase like this. Would you guys be able too point me towards the best place too get more info on this.
 
A chat with a local farm advisor if you knew of 1, he would be familiar with local rent prices also.. Could possibly google listed farm advisors if you haven't any names.
arrange a meeting with bank loan advisor Imo.

Ah thanks ill ask at the local auction mart when im home and one of the local farmers i know. Had a quick google there appears too be one in inverness if all else fails. I Suppose it be worth having a chat NFU mutual down in stirling as well. My local Bank advisor is RBS was wondering if it would be better too go see a bank that deals with agricultural loans in some way as i dont believe RBS do i have heard loyds and Barclays do.
 
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Ah thanks ill ask at the local auction mart when im home and one of the local farmers i know. Had a quick google there appears too be one in inverness if all else fails. I Suppose it be worth having a chat NFU mutual down in stirling as well. My local Bank advisor is RBS was wondering if it would be better too go see a bank that deals with agricultural loans in some way as i dont believe RBS do i have heard loyds and Barclays do.

My mortgage is with NatWest,there under the RBS umbrella.

AMC would want 40% or so deposit,the banks prefer a decent business or plan.
 
My mortgage is with NatWest,there under the RBS umbrella.

AMC would want 40% or so deposit,the banks prefer a decent business or plan.

Thanks for that will look into it as i suspect getting a loan from a lender that already knows and likes me might make things easier.
 
You need to show them you can make the repayments with your present level of income, have a good record over the last 3 years and be able to put in at least 20% of the cost plus legal fees etc from your own funds. You want to get into a position of having £20k before going near a bank. Anyone with a creative writing skill can come up with projections and they are only as good as the paper they are written on.
 
You need to show them you can make the repayments with your present level of income, have a good record over the last 3 years and be able to put in at least 20% of the cost plus legal fees etc from your own funds. You want to get into a position of having £20k before going near a bank. Anyone with a creative writing skill can come up with projections and they are only as good as the paper they are written on.

Right thats good info too have thanks. Im managing too get there with that saving up a deposit just now, should come away from being at sea with a decent one. Covid has done me one favour at least i havent been able too spend any money for 4 and a bit months so far and im here till September it looks like so still 2 and a bit too go.

If they solely went off my present level of income i think id be ok they did offer me a mortgage upto £300000 when i concider buying a flat, providing i had a big enough deposit of course. I do have a good record with them had several loans for cars and training courses from them over the past few years all of which have never had a payment missed and been payed back well ahead of time, namely with in a year instead of the 5 they have allowed.
 
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