Explore Farmland Investment Opportunities
Among hundreds of properties, we select only the most promising ones.
Our team conducts comprehensive due diligence internally, but we don't stop there. Our external diligence team works on a portfolio of 80,000+ acres of institutional-quality farmland spread across 10 states. Beyond the macro analysis, our diligence includes soil testing, weather projections, water rights analysis, and a farm's potential for improvements from capital investments.
The best investment opportunities are selected by an investment committee comprising of our executive team.
Make Your Investment
Investment offerings are legal entities, most often LLCs, that own the titles to your investment property. When you invest on FarmTogether, you're purchasing shares in an LLC. You become a fractional owner of the farmland, and are entitled to returns from its operation.
Investments on FarmTogether start at $50,000 - significantly below the minimums of other farmland investment funds. Cash payouts from operating income are proportional to your ownership in the LLC, so a $50,000 investment in a $5M offering would entitle you to 1% of the returns.
While FarmTogether is an online investment platform, we'd love to hear from you. If you have any questions or feedback schedule a call with one of our experts.
Track Your Investment
On behalf of our investors, we take on the role of administering and managing farms. We’ll make sure your land is taken care of and potentially improved for better productivity.
We select and work with the best operators for your farm. You’ll be kept informed about what is happening on the farm, with detailed information available in your portfolio overview.
Here are some examples of operational activity you’ll be able to track:
- Farming Practices
Our farmers implement the best farming and sustainability practices, using the latest technology and providing educational support. We closely monitor their operations and regularly test the soils to make sure fertility is maintained and improved.
We’ll also make sure any on-farm storage and buildings are maintained, even adding or removing structures as necessary.
- Cash Rent, Input Costs and Taxes
Our farmers typically pay cash rent in advance of the planting season, so investors typically do not bear crop yield or price risks that year.
Under cash rent leases, farmers pay all the input costs (seeds, fertilizer, etc). From the lease payments, we’ll take care of property taxes, insurance, and other landowner expenses.
- Land Price Appreciation
We keep a close look at land valuation. Assessment systems can vary widely from state to state and and we use local assessors to value each property on an annual basis. Assessment formulas can factor in data such as average prices for corn, soybean, other farm products over a period of time, yields at harvest, government payments and expenses, comparable sales and more.
Receive Annual Payments
Cash yields typically range from 3-6% yearly payouts. The “dividend” payout to farm owners happens in March/April and sometimes also in November/December depending on the structure of the lease.
All required tax documents will be provided in the first quarter of the following year. Because the LLC is a pass-through entity, no federal income taxes will be deducted from your earnings before distribution. In fact, in some cases you may even realize tax benefits via pass-through depreciation.
We Sell Your Land
FarmTogether targets a yearly appreciation in property value of of 3-6%. The value appreciation is expected to come from conservative underwriting and purchasing off-market opportunities below market value, inflation and long-term trends of growing food demand and limited farmland supply.
FarmTogether is developing a secondary market for your investments that we expect to go live in 2020. While you should not currently rely on this in making your investment decision, we do intend for this market to give you liquidity opportunities significantly earlier than the end of the target hold period.