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Buying/renting farms frustration

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  • Buying/renting farms frustration

    My current lease will end next month, so we started looking into possibly buying or renting a farm. There are so many places that we would love to have until they tell us the price. A lot of them jacked the prices up so high because the farm is close to the Horse Park, Keeneland or in the same town as a big time TB farm. But the kicker is these places are anywhere from 30 minutes to over an hour away from KHP, Keeneland, etc. It all started when the WEG came to Lexington. People started buying farms and land hoping that those who came for the WEG would buy those farms for a lot more then they paid for them.

    A few of these listings have been on the market for almost 2 years now with the same price. They all say the same things, about being so close but yet really so far away from these "prestige" places. Why must they do that? Anybody else seeing the same trend in your area? The way things are listed, I'm not sure if we will ever have another farm again unless we move far away or win the lottery.

  • #2
    30 minutes to an hour away probably IS considered close to KHP or Keeneland, in the grand scheme of things.
    I don't know your situation. I moved to Georgia and settled in an affluent county. There was NO WAY I could afford land or a farm in this area. So, when we decided to buy our own place I "settled" on living in a rural county in Alabama, an hour away from where we bought our first house. Best thing I ever did. The taxes are lower, and I got a place I could have only dreamed of owning across the state line. Yep it's further to drive to show venues and all, but totally worth it. Totally.
    So maybe look a little further off the beaten path?

    Comment

    • Original Poster

      #3
      Actually there are a few farms that are not big TB farms very close to the KHP and Keeneland. Some are priced under $300k, some for over a million. Rent ranges from $750 for a barn and a couple of paddocks to $6000/mo! The only thing that is really stopping us from looking so far away, is jobs. We did find nice places that are affordable, but the jobs in that area are very iffy and it's too far of a drive to make even the better paying jobs worthwhile. I wouldn't want to get another farm in Lexington, since the Urban government is trying to expand the city further out. When they keep building new neighborhoods the taxes go up for farm owners and so do the problems.

      Comment


      • #4
        OP, do you have a realtor helping you? Price is usually negotiable and the longer a property sits, the more apt the owners are to accept a lower offer than list price.

        Comment

        • Original Poster

          #5
          No but I will be contacting one to help find something. About 90% of the places I found are being sold by owners and not a realtor. Some of them list in their ads they are firm on the price and others are not willing to negotiate too much. I did manage to negotiate an affordable price with one guy, but then before I was getting ready to sign the paperwork, he changed what we were going to get as far as the barn and land. So I walked away.

          Comment


          • #6
            Some of the FSBO will pay the buyer's realtor a commission for their half, like 3% of a 6% commission. Sometimes the seller will build that into the sale price of the home. Realtors may have pocket listings as well. Good luck!

            Comment


            • #7
              Heh, that's real estate! 30 minutes isn't very far...and it is Lexington!

              That's exactly why I built mine -- anything I could remotely live with was too expensive, anything I could afford was...well, not livable. I spent two years, but finally am sitting on the farm I built for significantly less that a turnkey in this area would have cost me -- and I got to lay it out myself, which, with a full time job, is a lifesaver!
              Life doesn't have perfect footing.

              Bloggily entertain yourself with our adventures (and disasters):
              We Are Flying Solo

              Comment

              • Original Poster

                #8
                All of the places I was looking at were outside of Lexington. That's why I laugh at these listings since they're not in Lex but are "near" those places I listed. Some listings had advertised that they are in the vicinity of some major farm when in fact they were located 20+ miles away.

                Comment


                • #9
                  Originally posted by wildlifer View Post
                  Heh, that's real estate! 30 minutes isn't very far...and it is Lexington!
                  !
                  Evidently you do not know the mind set of the Kentuckian. I grew up east of Louisville, still have three brothers living there. During one visit there they had an on-going discussion about going to some restaurant but it was so far away they couldn't decide ...it was SO FAR AWAY on the other side of town... so I told them I would drive. It took them twenty minutes to pack the car, you would think we had planned an expedition to the north pole ... actual driving time 17 minutes.

                  Stepping back to look the distance between Louisville and Lexington is less than driving across Dallas/Ft Worth... like gee-whiz it is only 78 miles between those cities and it is 82 miles across Ft Worth to the east side of Dallas

                  Comment


                  • #10
                    Clanter's right. If you can't walk there, not that anyone does in this state, it's too far. We couldn't get people to come up to my DD's birthday parties even.
                    BUT, that was a problem back where we used to live when we were 2 miles from Safeway and 3 from the school. Unless you are some redneck, driving some narrow winding road is only fun in a car commercial.
                    Courageous Weenie Eventer Wannabe
                    Incredible Invisible

                    Comment


                    • #11
                      ....and the trees... they don't set prettily beside the roads... they evade the right-of-way in an attempt to recover lost land

                      It really took me about five years to adjust to the nearly unlimited views here, but when I return to Louisville... the roads are covered by the trees.

                      I was told when I lived in Oldham County that when they built the roads, the contractors intentionally wound the roads around property lines in meandering ways, taking less direct routes in order to inflate the costs

                      Comment

                      • Original Poster

                        #12
                        That is so true about Kentuckians including my DH. The other side of town is way too far lol. Drives don't bother me. I lived in Anderson Co near Washington Co and worked in Lexington. Also when I was living in Nicholasville I was working in Paris not far from the drive in. One of the listings I looked at that said they were near everything was in the furthest northern part of Paris. Hardly anywhere near those places.

                        Comment


                        • #13
                          Originally posted by clanter View Post
                          Evidently you do not know the mind set of the Kentuckian.
                          You're probably right...oh wait: I grew up in Kentucky. 40 mins N of Lexington in the awesomeness of Boone County. So, yeah, ten years is a while. Even then (pre-2000), pretty much EVERYTHING was a 20 minute drive (I drove 40 mins to high school at 0530 every day). No one walks!! Parents still live there.

                          Heh -- FTW!

                          Where I am now, I have been spoiled as I created my entire life bubble within a 10 mile radius of my house. If I have to drive farther than 5 minutes, I'm all OMG, THIS WILL TAKE ALL DAY!!!
                          Life doesn't have perfect footing.

                          Bloggily entertain yourself with our adventures (and disasters):
                          We Are Flying Solo

                          Comment


                          • #14
                            I moved to Lexington in 1985. Being in the TB business Lex was kind of the Wall Street of the industry. New Circle road wasn’t even completed all the way around.
                            Other then Dudley’s (the old location) and shortly after A la Lucie’s opened thank god decent interesting food was pretty much impossible to find. The “downtown” district was pretty much boarded up, cheap student housing and or section 8. The now restored beautiful Lexington movie theater was still a porn theater. Thank god we got the Historic Housing overlay in place otherwise most of downtown and the surrounding neighborhoods would have been torn down and replaced with cheap student housing.

                            I moved to 4th and Limestone in a neat townhouse that had just been restored. Beautiful and cheap to rent. My friends laughed and said aren’t you afraid of all the rift raff. I moved from NYC and Long Island so I was used to the “rift raff” and the “color” they brought to the neighborhood.
                            I start buying up neat old houses around that area and restoring them as a side line and distraction to the horse business. Made great money because no long after living downtown was starting to become the happening place to live. If I had hung on to a lot of them I would be able to “play” all I want in the horse business and not have to worry about making the numbers work. I was referred to as one of the downtown “pioneers”. I moved back to my “home” area in 2004. By then downtown had made a dramatic transformation in a pretty short period of time. I loved my house on West Short street still have a bit of remorse. In an ideal situation I would have kept it. A bit torn between farm and downtown living would like to have both.

                            I get a great deal of satisfaction when visiting walking and driving around downtown and seeing the properties that I saved from the wrecking ball. Along with the seeing the efforts of myself and many others who’s vision came to be.
                            My and others biggest regret was not being able to save the block of historic housing and business buildings that is now where the court house sits. We presented a really cool vision of this block. But the powers that be at the time wanted a very expensive court house. It made no sense. There was no tax base to it and all it brought to the area were lawyers and judges who didn’t live downtown. The guilty went back to the jail.

                            New Circle was supposed to be the “cut off zone” for development. Then the “outer loop” was built and that became the cut off zone. The rest you know. They did a wonderful job when rebuilding the Paris/Lex road which was held up for many, many years. The Feds and the state just wanted to build a generic 4 lane highway straight through all of the historic horse farms.

                            Lexington was pretty “one dimensional” when I moved there. Having moved from NYC area and had lived in a number of different states and a couple of countries I was struck by how everybody “looked the same”. There little to no ethnic diversity especially when it came to food.

                            Thoroughbreds put the town on the map it is what brought big money to the area and gave it national attention. And that attention brought new people, new business and new non horse money. Unfortunately the dynamics have changed and so has “my Lexington” it was a very affordable place to live. And had just enough of everything for my liking. When I moved the traffic, affordability was sky rocketing. Rampant growth. Kind of reminds me of what happened to Boulder Colorado. Still kind of looks the same but has been completely californacated. The sprit is gone.

                            Tommy Bidderman is a good real-estate agent and a good guy to work with. Mark Dixon who I believe still works for Kirkpatrick real-estate would be another. Bill Justice also.

                            I find it interesting that Sport horse people are buying farms there. No matter how much money they spend they will always be the “step children” of the horse business in the area. Unlike where I now live. We all get along and there is a strong sense of camaraderie. Be it Thoroughbreds, Eventing, H/J, Fox hunting anything with horses. Top notch service providers. Granted the area where our farm is located is very expensive the value is not predicated on the strength of the Thoroughbred business. We paid through the nose for an outstanding piece of property and an highly desirable “address”. Like any business location is everything when it comes to a horse business. Especially when it comes time to sell. If you don’t have the “address” most likely you will not get any return on capital improvements, horse infrastructure.

                            Comment


                            • #15
                              Originally posted by spotted draft x filly View Post
                              That is so true about Kentuckians including my DH. The other side of town is way too far lol. Drives don't bother me. I lived in Anderson Co near Washington Co and worked in Lexington. Also when I was living in Nicholasville I was working in Paris not far from the drive in. One of the listings I looked at that said they were near everything was in the furthest northern part of Paris. Hardly anywhere near those places.
                              After living in the west my idea of what is reasonable “drive time” completely changed. We wouldn’t think twice about driving 2 hours to visit or have lunch or dinner with friends.

                              I used to drive to Paris from Lex all the time to have lunch with friends at the Paris “local” where all the horse people hung out. Great place can’t think of the name now. Hope it’s still there.

                              Comment

                              • Original Poster

                                #16
                                I use to know the name of that place. I never been there. When I was working in Paris, I only had 30 minutes for lunch, so I never went anywhere.

                                I wouldn't mind living out there. Years ago.I looked at a rental but kind of glad we didn't get it. Found out the neighbor complains about horses smelling even though both properties was surrounded by cows. I had seen a listing for land that was really cheap for that area but it was raw land. It would of cost us the same if not more to put a residence there as well as fencing, electric and water as one that was ready to move in and use. We heard thru the grapevine that a farm with a 4 br house and 300 acres might be up for grab for $600/mo so hopefully that's true and we can get it.

                                Comment


                                • #17
                                  I agree with others that you might be better off looking a little further out. We were lucky and bought well before the WEG came to town, but if we were looking now I think we would be looking at a wider geographical radius. You also might be better off looking at farm properties that aren't (yet) outfitted for horses, that might help.

                                  I would also add this--I feel like there are a lot of farm properties in Lex and surrounding areas that are "for sale" but really the owners aren't serious about selling, they are just essentially saying that if they would sell if they got a big enough price. There are occasionally wealthy buyers who pass through the area and have to have a particular type of property and are willing to overpay for it. In my mind, people waiting for a "big fish" buyer aren't really serious about selling. Just pass on those properties and keep looking for farms that are for sale by people who are actually motivated to sell.
                                  www.plainfieldfarmky.com

                                  Comment


                                  • #18
                                    Originally posted by gumtree View Post

                                    I find it interesting that Sport horse people are buying farms there. No matter how much money they spend they will always be the “step children” of the horse business in the area..
                                    Lexington was pretty much a closed town in the older days... I used to work for Nelson Bunker Hunt in Dallas... they owned 8,000-acre Bluegrass Farm in Lexington... he always thought they were not accepted in the TB community

                                    Comment


                                    • #19
                                      Is the castle still for sale?? That was one piece of perpetual real estate that was so entertaining. I always wondered what type of person would actually WANT the silly thing!
                                      Life doesn't have perfect footing.

                                      Bloggily entertain yourself with our adventures (and disasters):
                                      We Are Flying Solo

                                      Comment


                                      • #20
                                        Originally posted by wildlifer View Post
                                        Is the castle still for sale?? That was one piece of perpetual real estate that was so entertaining. I always wondered what type of person would actually WANT the silly thing!
                                        That thing has had such a checkered existence - it burned up and was a sort of a shell when I got to Lex, and then they decided to keep fixing it up and turned into a B and B and yes, it's for sale, hasn't burned up yet again. Gotta admit it's a great landmark!
                                        Courageous Weenie Eventer Wannabe
                                        Incredible Invisible

                                        Comment

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