Hi Everyone,
Myself and Husband are considering buying a dairy farm in the next 5 years. He is a farm manager so knows the practical side of running things with no involvement in the financial side. We have zero equity or deposit at this stage but earn good wages and could save. Can anyone who has done this give some tips please? Did you need a massive deposit for a loan? Is there grants to help (we are under 40)? Is sharefarming a better avanue to go? Are there any great websites/agencies/banks/plans that you recommend? We are in Victoria. Thanks.
Buying your first Farm.
Buying your first Farm.
Posted in:
Money
5 Replies
Why dairy? My husband's family had numerous, multi generational, big dairy farms. None of them are dairy anymore because there is no money in it now. You can buy milk for roughly $1/L and that's shop price. Farmers get much less.
Aus need their dairy farmers but it's prob the worst industry to buy into right now with the crap price farmers get for milk...they are all going bankrupt. There's alot more money in beef! The banks prob wouldn't even look at you since you don't have a deposit or anything.
I suggest he start learning the financial side of things so you buy a profitable farm.
Usually on acreage above 100acres you need 20-30% deposit depending on the bank
But if you buy an existing business you may be able to get business finance. If property comes with a house its dofferent again. It really depends what conea with it. I always talk to a loan broker about this kind of stuff, they kbow all the bank and tricks and they can usually tell you already if you would be successful with the loan.
Grew up on a small dairy farm. As a kid we went without a lot, money, time, no holidays cause ya can’t leave the cows. But fresh milk, and meat and produce. Ride horses daily and plenty of sunshine and droughts and floods too.
What I’m saying is you really got to love it to do it.
I only buy Aussie owned dairy milk etc. I pay more for it but want to support families still being able to have this career choice.
I’m seeing more and more imported dairy on the shelves at very cheap prices.
I think that with the world the way it is I’d happily live on a farm and have that as my life, career, job, passion.