Bet the Farm: It Could Be Your Next Investment

Key Points

You can invest your Self-Directed IRA in farmland.
Farmland can be bought directly, through a REIT, or a crowdfunding platform.
Investments in farmland as an alternative asset are on the rise.

Do you want to invest in farmland without getting your hands dirty? There’s a way. Many Americans are learning that farmland is an alternative investment to consider with a Self-Directed IRA. Holy cow, right?

If you are seeking alternative investments beyond Wall Street, you may be intrigued to learn more about this investment opportunity. Farmland can provide consistent returns because like real estate, it typically appreciates in value.

Get Your Ducks in a Row

Whether you are dreaming of farmland in Nebraska, South Dakota, or Wisconsin, or want to see what’s out there in the heartland of America, here is how you can get started:

Open a Self-Directed IRA with Madison Trust by completing our easy online application. If at any point you need assistance, you will reach a live representative to walk you through our process.

White barn with an American flag in an open field on a farm

After opening your Self-Directed IRA, you will fund your account by transferring or rolling over funds from an existing retirement account, or by making an initial contribution. At your direction, Madison Trust then will send your IRA funds directly to your investment, and you will be an investor in farmland!

Don’t Put All Your Eggs in One Basket

That basket could be Wall Street. Instead of only stocks and bonds, you can add farmland to diversify your portfolio! Over the last decade, there has been a surge of interest in the organic food industry. People will always need to eat.

With more people looking to buy organic and leave a smaller carbon-footprint, there has been a movement to return to farming. For these reasons, farmland could be considered an appealing investment opportunity. You can either own the farmland directly, or through a crowdfunding platform, which would allow you to buy a smaller portion of the land.

Plough Back

Let’s say you made a profit from your stocks or bonds last year. Rather than reinvesting in Wall Street, you may want to consider investing in farmland, as it’s becoming a more popular, viable choice.

In the past, if you wanted to invest in farmland, you were more limited. Now that farmland and Self-Directed IRAs are more popular, people have been able to bring the two together. With a Self-Directed IRA, you can invest in farmland in the state of your choice!

Farmland Factoids

There are over 900 million acres of farmland in the United States.
Investing in farmland can bring diversification to your retirement portfolio.
Farmland has typically outperformed many assets over the past 20 years.
Historically, farmland has been less volatile than many other asset classes.
If you are looking for more physical assets to diversify your retirement portfolio, farmland is considered a hard asset.

Farmland on Demand

There is more than one way to invest your Self-Directed IRA in farmland. You can buy farmland directly and rent the land to a farmer. Another way you can invest in farmland without having to directly manage the property is through a real estate investment trust.

An infographic listing three ways to invest in farmland with a self-directed IRA

For a more unique approach, a crowdfunding platform can be an opportunity to invest with less capital. At Madison Trust, we can guide you through the process of investing your retirement money into your exciting investment opportunity.

Bringing it Back to the Barn

As you consider alternative investments for your retirement portfolio, think about farmland. We understand you may have questions. To speak with a Self-Directed IRA Specialist about investing in farmland with your retirement funds, schedule a call today. Farmland could be your next creative cash cow.

Schedule Your Call!

Disclaimer: All the information contained on our website is a general discussion for informational purposes only. Madison Trust Company does not provide legal, tax or investment advice. Nothing of the foregoing, or of any other written, electronic, or oral statement or communication by Madison Trust Company or its representatives, is intended to be, or may be relayed as, legal, tax, investment advice, statements, opinions, or predictions. Before making investment decisions, please consult the appropriate legal, tax, and investment professionals for advice.  