Simply having a source of water on your property can make you money.
I recently met a man who bought a piece of land in southern Colorado, but he didn’t realize exactly what he’d bought. It was a gold mine of opportunity for him at a time when he simply wanted to get out of Denver and have a piece of farmland for him and his family to call home. He didn’t realize that there was a deep aquifer in the ground below him. He also didn’t realize that the land itself was valuable such that the government would pay him money if he didn’t farm it.
At the time, I didn’t think about the fact that once you buy farmland, you have two income sources that don’t require a lot of effort on your part. One source is the water rights associated with the plot of land. If you have water rights on your property and your property has an aquifer or nearby river, you can sell the water to the government or other entities.
The other way to make money is to keep the land vacant. Since he chose not to farm on that land, the government paid him for it; this was optimal since he didn’t want the expense or risk of taking on a farm.
If you have any other questions about this topic, I’d be happy to provide you with more details. Just feel free to give us a call or send an email! Hope to hear from you soon.