Hobby Farm Profits?

Does it have entitlements? Would take a long time for 25 acres to repay 100k + interest. If you rented it out at 200/ acre + BISS part of entitlement ( ? 50 ?? ) would bring in 6250 tax free - 25 years ?. Just an example of what's possible. If farming yourself ( what type interests you? ) join acres, organic, ANC, etc and if you are in for long haul (very long) I think it could be done.

Possibly. But you could also make a loss.

There is a poster on here that posts accounts whowing he makes 30k gross margin from cattle on more than double the acres what you are talking about. But they know what they are doing. And the reason they post their accounts is that other posters were skeptical about their numbers.

You haven't the sheds etc to replicate that poster.

You would also need another 20k to stock 25 acres.

The big think for me is you have to get the 100k back after tax. If you im high tax bracket it means you need to earn approx 210k to pay the capital alone. That's nearly 1k/ha/yr for 20 yrs part-time farming. Now that is Walter Mitty stuff.

If the land was in an area where it would command high rent the renters would have it at an unaffordable price trying to buy it themselves already. So rule that out also.

I don't know now any family getting living farming x10 that amount of land at the moment(ex dairy and market garden). If I rule out retired/money made elsewhere or a bachelor existing not living.

Weanling to store/weanling to beef at that scale will do well to break even unless you have great knowledge of industry and way with people to get them to sell to you cheap and buy from you dear.

Have a land loan, the max I could get was 15 years. Think that was kinda standard. Interest rate is 9% now, remember this is commercial land, commmercial rates etc. From what I see very good land making no more than €240 an acre unless Dairy lad wants it has it. also I assume you are puttin money towards it as you will not get 25 acres at 100k. Epfff post is spot on. Farms eat money my own hedge cutting, diggers for cleaning drains, fencing etc, 1000s every year and just pure cost. Even simple things like insurance spoke to a lad with 50 acres and his insurance nearly same as mine.

I was responding to the OP asking whether he could make 10k off it. I was pointing out that someone who knows what he is doing doesn't make a lot more than that. And also mentioned that people are even skeptical that the other makes that as it would be unusually high. i.e. the OP shouldn't be assuming anything as regards "profit"

They own the land in the first place.

who is going to give a 100k loan with out some sort of business plan and away of paying the loan off, coming on the farming forum to see could money be made out of 25 acres and everything to be purchased stock, gear, buildings and sheds etc.😇😇😇

Ive just under double the acres what your thinking of buying. No loans etc on the farm. I've a Good full time off farm job but don't put any of my own money into the farm. What the farm makes, it makes win lose or draw. I'm strict on this as I've a mortgage and a young family so they come first.

In my situation I've fairly rough ground and keep sucklers....... This could be my first problem.

I do make a profit year on year but I'd do well to have 7 or 8k at the end of every year left over to pay off a land loan the likes your talking about, without any major purchases or unexpected bills on machinery.

that is with drawing down a single farm payment and an ANC payment but not signed up to any extra schemes up untill this year as I was not eligible. I'm gone into the new acres scheme which should add another 5k profit to my topline going forward. The figures I'm given are before tax and I'm in the high tax bracket so I'll let you figure out the rest.

In my humble opinion the land itself won't pay for itself without an outside financial input. If you can afford to pay for the loan from your off farm job and forget the idea the farm will pay for itself it's probably the best way to look at it. Profit and small farms don't generally go hand in hand.

No is is variable. Still owe 90k, have just over 100k paid back. Last year or two very tempted to sell the lot and give brother and sister there share. Head abroad and open a bar; the ironic thing is I have guts of 1.5 million in land and it makes SFA. Most land I see selling locally is to businessmen who are multimillionaires ie own pubs, in building game etc. Apart from dairy very few farmers buying land at moment. 20k is stupid money even if was best of land in Carlow.