As a Texas ranch broker, Bownds Ranches represents both buyers and sellers in the ranch and land sale industry. If you're a landowner in Texas, there are many ways to earn passive income from your ranch land. In this blog post, we will explore the top five ways to do just that.
1. Hunting Leases
As any Texan may know, our state has a thriving hunting industry, and landowners can earn passive income by leasing their land to hunters. The demand for hunting leases is high, and many hunters are willing to pay a premium for exclusive access to quality hunting land. According to Texas Parks and Wildlife, hunting leases can range from $3 to $20 per acre per year, depending on the quality of the land and the type of game available. Properties across the state can offer excellent hunting (some of which can even be exotic game hunting, if you wanted to set up a hunting ranch, and our team can help you identify properties that might be suitable for this stream of income.
2. Grazing Leases
If your land is suitable for grazing, you can earn passive income by leasing it to ranchers. Grazing leases typically range from $5 to $20 per acre per year, depending on the quality of the land and the number of animals it can support. Be sure to look out for properties that feature good, natural vegetation and that offers simple options for dividing the acreage into various tracts to help accommodate rotational grazing.
3. Mineral Rights
Not sure if you’ve heard, but Texas is one of the national leaders in oil, natural gas, and various other minerals. If your land has mineral rights, you can earn passive income from oil and gas royalties. Texas is one of the leading oil and gas producing states in the country, and owning mineral rights can be a lucrative investment. Properties with mineral assets can be found in all regions of the state, and we’ll help you identify possible properties that can help create this additional income stream.
4. Timber Sales
This one may apply more specifically to the East Texas areas, but if your land has timber, you can earn passive income by selling it to a timber company. Despite the common knowledge that most timber in the United States comes from the Pacific Northwest, Texas has a thriving timber industry, and landowners can earn a significant amount of money by selling their timber. If you’re interested in properties that have opportunities for timber sales, we can help you identify options that would fit your needs.
5. Vacation Rentals
One of the biggest luxuries of life in Texas is that it’s packed with a natural beauty. If your land has scenic views or unique features, you can earn passive income by renting it out as a vacation rental. Many people are willing to pay a premium for a unique vacation experience, and Texas has many opportunities for landowners to capitalize on this trend. This particular income type may require a little bit more hands-on management, but it can help turn unused land into a viable source of consistent income.
In conclusion, there are many ways to earn passive income from Texas ranch land. Hunting leases, grazing leases, mineral rights, timber sales, and vacation rentals are just a few examples. Bownds Ranches can help you identify the best passive income opportunities for your land and manage the process from start to finish. Contact Bownds Ranches at (830) 966-6111 to learn more about how we can help you earn passive income from your Texas ranch land.