Ranch Videos Round-Up

We come across a lot of great ranch videos every day being in the ranch real estate industry.  So the social media team here decided to start bringing you a ranch videos round-up periodically to share some of the great experiences we have every day working with ranch brokers. Enjoy the ranch videos!

Willow Creek Ranch, 19,400 +/- acres, Livingston Montana – Hall & Hall

Cielo Vista Ranch, 83,000 +/- acres, San Luis Colorado – Mirr Ranch Group

Lake Creek Ranch, 1,800 +/- acres with 550 +/- acre lake, McLennan County Texas – Hortenstine Ranch Company

Birch Creek Ranch, 15,000+/- acres, Big Sandy Montana – Hall & Hall

Hope you enjoy the ranch videos as much as we do! More videos to come …

Latest Print Ad Designs for Land Brokerages

Not only have we been hard at work on software here at REALSTACK, but we’ve also been building stunning print ad designs for land brokerages. Print advertising is a staple in the marketing mix for land brokerages across the United States and they don’t come cheap. When land brokerages chose to do print ads they better have the chops to design a killer ad that is meant to impress and drive leads. Land brokerages call on REALSTACK for just that … print ad designs that impress potential leads to pick up the phone.

Print Design for Land BrokeragesOne of our latest print ad designs for land brokerages is with Hortenstine Ranch Company in Dallas, Texas. We handle all the digital and print marketing for HRC. The latest is one of our favorites to be published in The Land Report this Winter 2016. Click image to view full ad.

Notables from the ad:

  1. Headliner ranch property.  In this ad we had a clear alpha listing …550 acre lake on 1,800 acre.  We made it front and center with an attention grabbing aerial photo of the massive lake.  Now that we had their attention …
  2. Confidence badge.  Maybe this is a new term to land brokers, but confidence badge(s) have been used for years by marketers to associate their business or product with already established brands, awards, or accolades.  In this case, The Land Report Best Brokerages award is a highly distinguished list to be on as a land brokerage.
  3. Water.  Clearly a critical attribute to any property is water and it sells very well in the market.  We provided a gallery of listings with great water for ag use, recreational, livestock, fish habitat, and overall visual appeal.
  4. Limited listing information.  Figuratively speaking, you have limited space on any print advertisement.  Telling the full story or even a paragraph highlighting attributes of the property is overkill.  The point is to get the phone to ring.  So we advised to less text, information, or highlights and if a lead is interested they will certainly pick up the phone.
  5. Whitespace.  You’ve probably seen excellent print advertisements and subconsciously thought how great that design looks.  Apple is one of the best designers of whitespace.  Often times designers use whitespace to create simplicity and focus.  Too much information and imagery overload simply causes prospects to flip the page and move on.  Too much to digest or consider.
  6. Website URL.  We used a tasteful font size that fit the design and different color from the rest of the ad, so we were sure that viewers would see the brokerage website URL.  If they are not motivated enough to call, then we certainly want them to go online for more information where we have a rockin website that captures lead email addresses …but that is another article.
  7. Color Palette.  So often we see land brokerages that are not true to their brand or don’t really know what their brand colors are.  In the case of this ad, we certainly made sure the colors used matched HRC design guidelines exactly.

The objectives of the ad was market top shelf properties, position the Hortenstine brand in the market as a high end brokerage firm, and get new visitors to their website.  This ad accomplished all three objectives.

Hopefully we have given you points to consider for your next big spend on print advertising for land brokerage.  Print design is very daunting when considering the amount of dollars your are about to invest.  And invest is the keyword.  An investment is an outlay of cash where you expect some return on those dollars in the future.  Yes, you should expect some return on print advertising for land brokerages.

View more designs and digital marketing works from REALSTACK here: https://realstack.com/digital-marketing/marketing-portfolio/

Simple Photo Editors for Ranch Land Marketing

We’ve all heard the cliche – a picture tells a thousand words. And when it comes to selling majestic large ranches or turn-key ranchettes, you have to nail the photography. So we at REALSTACK wanted to share with you 2 awesome – and SIMPLE – tools that anyone can use to make your ranch land marketing photos look like a fit for the front cover of Open Fences Magazine.

Think about all the places your photos go these days …brochures, magazines, your website, LandsofAmerica, LandWatch, LandFlip, Land Broker MLS, and hundreds of other classified websites. Not to mention posting and getting shares on social media. So much opportunity for distribution of your marquee ranch photo or all the photos. Why not take 10 minutes to enhance the imagery and deliver an electric visual of the property you represent?

Fotor photo editingFirst up we found a power packed photo editor that works on both desktop and mobile devices – Fotor.

From their website: This company has brought powerful, easy to use photo editing tools into the hands of anyone and everyone with an internet connection. Fotor has made professional-level photo editing accessible to everyday users through a clean, intuitive interface and workflow. Fotor strives to provide the highest quality tools in the most accessible manner and continues to pursue this goal with each new product and version release.




Our favorite features include:

  • State-of-the-art photo processing engine
  • Adjust exposure, brightness, contracts, and more
  • Crop, straighten, rotate, and resize
  • Add borders and frames
  • Create a collage
  • Tilt-Shift meaning it gives images the depth-of-field normally only on pro-grad cameras. Critical for long views on ranch properties.
  • 1-click enhancement options
  • Ability to import and export a wide range of image formats
  • Effects and borders. We’ve all seen this on instagram, but now available to you for any photo
  • Text overlay on images

Overall Fotor provides a high power photo processing engine, but what we use 90% of the time is their 1-click enhancements or effects. Super cool result and highly recommended for website and social media photos.

Canva graphic design appOver to our other favorite photo editor, Canva, that is really built as a graphic design app that anyone can use. Photo editing is limited compared to Fotor, but if you are the 1-click photo editor then this will be plenty of horsepower. Canva positions themselves as “Amazingly Simple Graphic Design” which we couldn’t agree with more.

With Canva you can design flyers, presentations, Facebook covers, blog graphics, business cards, posters, invitations, and much more. The team here at RealStack constantly uses it for social media mini-infographics and art for our clients.

One of the best offers from Canva is the stock photography and graphics that come with this FREE online application. That’s right, Canva is free. You only pay for the stock photos you use (if any) and even at that they are only $1 per photo. Super awesome deal.

Our favorite feature is all the thousands of free template designs for just about any use. They’ve already built the art with awesome color palettes, typeface, icons, badges, design elements, and more. We consistently use this product for social media posts and blog content graphics. Canva is an asset to RealStack and our clients. Check it out at http://www.canva.com

We know these two awesome tools will help your ranch land marketing look better and become more efficient. Enjoy!

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7 Keys to Improving Email Marketing for Land Brokers

Email marketing for land brokers can be the lifeblood of your real estate marketing. The demographic of these buyers of land have spent the last 30+ years living out of their inbox. Email is likely one of the first things they check after they awake in the morning and often times the last check before going to bed. Throughout the day the frequency of checking email is almost constant, especially now with everyone having a smartphone in their pocket. According to a study out of the University of British Columbia, the average person checks email 15 times a day. The study also showed that 92% of U.S. adults use email to communicate with others and 183 billion emails are sent and received each day (66,795,000,000,000 each year).

Needless to say you need to be doing email marketing and doing it really well. So, we are going to start by helping you with these 7 email marketing tips for land brokers:

1. Design for Mobile

Land Broker Email Mobile DeviceDid you know that almost half of email opens are now happening on mobile devices? The great folks over at litmus.com published some eye catching trends they’ve captured in email opens over 4 years.

Email opens on mobile devices were barely a blip on the radar in 2011, and made up just 8% of email opens. Then, fast forward to 2014 and nearly half of emails are opened on smartphones and tablets …that’s a 500% increase in just four years!

Based on some adjustments Gmail has made recently to their webmail, mobile, and desktop, Litmus calculated adjusted figures that open rates are 22% for desktop, 25% for webmail, and 53% for mobile. Of the mobile opens, 41% were on Apple iPhone & iPad and 7% on Android devices.

So the action item for land brokers is craft your emails in “mobile responsive” templates. What is mobile responsive? It is a web design aimed at building sites and emails for the most optimal viewing across a wide range of devices. Now, email templates can’t truly be mobile responsive as they still have to adhere to older coding methods to be compliant with email clients (i.e. Microsoft Outlook), but the images can scale and the entirety of the email should be easily read on a mobile device.

Almost all modern email marketing platforms provide mobile friendly templates you can customize, so ditch that old email layout you’ve been using for 5 years and move to a mobile responsive design.

2. Lead with imagery

As land brokers, you sell an extraordinarily enchanting product. Since that is a given, let’s maximize the visual appeal of your highly sought after and dreamed of product.

The header can be brokerage branding or a featured property photo with your brand watermark, BUT do now put a bunch of clickable links in the header. You’ve spend many hours pulling together this email to either feature 1 listing or a group of listings, but you’ve now distracted the email recipient with large amount of links to other sections of your website. Email 101: every email must have a purpose so stick with that purpose. If you want them to focus on 1 ranch or a small group of ranches, only offer links to those specific listings in the email.

3. Small photos just don’t cut it

Too often I see land broker emails with thumbnail photos and feature highlights. Use larger photos and even cut the content down a bit if it means having larger photos displayed. Also just as important as larger photos, use enhanced photos to get more attention and clicks. There are many easy to use photo enhancement products available, so take advantage of this simple enhancement to your ranch land photos. Two good ones are Fotor and Canva.  Notice the example in #4 below has multiple photos large enough to get a viewers attention versus photos 1/4 the size of those below.  The standard email width is 600 pixels so when possible use 600px photos in your email.

4. Multiple Photos where Possible

Next, when the email campaign includes one or a small number of listings, include multiple photos of each property. Pictures say so much more than text. Pictures with a caption enable you to compliment the photo. With captions don’t just state the “feature”, but instead craft a statement that is intriguing. I also suggest putting links on every photo for a listing in the email campaign that directs the user to the ranch listing on your website.

Ranch land photos

5. Show highlights, spare the details

Land brokers as a whole seem to lead with product features. Thinking in features of the product (land) is the default first thought. As an industry we have to sell value and that value is the experiences a piece of land offers your buyer. So, why do we lead with acreage, price, and price per acre? Why can’t we lead with “abundant quail and deer population”, “legacy ranch property”, “turn-key sporting property”, “magnificent topography and views”, “family retreat and outdoor recreation”, etc. In an email campaign, value get’s buyers attention. Price and acreage immediately rules out or in the property for the buyer before you’ve ever had a chance to sell the value. Lead with value then features.

6. Create multiple links to your website listing page

Within any email campaign you have many opportunities to create links back to your website and listing. Use all of them – photos, text, and buttons. You don’t know what will spark someones interest enough to click to view more. Maybe it is the photo of large whitetail deer buck, equestrian barn, live water, children playing, or a call-to-action button. You don’t care how they get to the listing on your website, you just want them to get there.

7. Use Call-to-Action Buttons

This point is probably the most overlooked best practice in land broker email marketing. People will respond to a call-to-action (CTA) button over text link. Research shows most people scan email campaigns rather than reading them word-for-word, so that means buttons stand out to the skimmers. Buttons stand out because:

  • Size
  • Design
  • Color
  • Whitespace

Finally, a CTA button is exactly as it’s name suggests …an “action”. Experiment with your own action statements, but here are a few we consistently use for land brokers:

  • View more photos
  • Download Brochure
  • Contact Us
  • Visit Listing Online
  • Learn More
  • Check out Listing Here

CTA button examples:




We’ve given you 7 easy action items to improving your email marketing for your brokerage and most importantly your landowners. We trust you’ll put these to use in your next email campaign that will wow the client.

To get these and more helpful tips to selling land in the modern era of the internet, sign-up to get these articles sent right to your email inbox. Subscribe here.

Farm & Ranch Broker Opinion of Value Template for Land Brokers

Broker opinion of value (or broker price opinion or comparative market analysis) can make or break you getting a listing.  So being well equipped to provide the most accurate analysis is at the top of your priority list as a land broker. This broker opinion of value can be a lot of intense work so qualifying your prospect or client will be important before embarking on the research journey.

A brokers opinion of value (BOV) is simple that, an “opinion”. It is not an appraisal. Appraisals may only be completed by someone who is licensed or certified as an appraiser. Therefore, TREC rules require that BPOs and CMAs contain the following statement verbatim:

THIS IS A BROKER PRICE OPINION OR COMPARATIVE MARKET ANALYSIS AND SHOULD NOT BE CONSIDERED AN APPRAISAL OR OPINION OF VALUE. In making any decision that relies upon my work, you should know that I have not followed the guidelines for development of an appraisal or analysis contained in the Uniform Standards of Professional Appraisal Practice of the Appraisal Foundation.

A BOV is an assessment of current land market value based upon a careful research of market and property conditions that affect the value of a farm, ranch, or other rural land. This process is usually undertaken when an owner is seriously considering the possibility of selling the property. Other needs for a broker opinion of value may be for an estate, trust, or bank. While this is not an appraisal, it provides that land owner, estate, or bank with useful data and guidance.

At REALSTACK, we’ve created a well designed broker opinion of value template for land brokers.  Click the button below and download the template.  You can change the colors, fonts, and more to make it your own but is a great starting point.

Lands of America Property Types Change

Lands of America property types change may be somewhat painful early on, but this is a great move by the awesome folks over at Lands of America.

lands of america property typesWe believe it is a great change because forever it seems Lands of America property types were “Acreage” and “Acreage w/ house”.  LOA have now separated these in the most perfect way and added attributes that can apply to all new property types.  The bulk of property types will apply to these new Lands of America property types:

  1. Farms
  2. Ranches
  3. Timberland
  4. Horse Property
  5. Undeveloped Land

There are other property types, but 1 through 4 above will cover the bulk of listings land professionals market on LandsofAmerica.com.

The next great move by LOA is what we call “sub-types” because any of these can be selected in addition to the above property types.  Collectively LOA is calling these Waterfront sub-types.  These sub-types are:

  • Riverfront
  • Lakefront
  • Beachfront

The final great move they made was making “House” applicable to any Lands of America property type.  Adding a house to any property type is a simple checkbox in the property control center.

Ultimately they’ve made it easier for the consumer to find the property they are shopping for much easier.  Secondarily, they’ve now made it easier for land pros to find similar properties on market.

LOA agents and brokers need to login to their property control center and update listing types for each of your properties.  They have migrated many of the existing listings, but the migration isn’t perfect.  For example, many timberland tracts are not marked as such and riverfront tracts are not completely accurate.  Definitely login and make sure all the property types for your listings are correct with the new features.

So from us over at REALSTACK, we want to give kuddos the the team over at LOA for a great move on Lands of America property types.

Ranch Marketing: It’s Time Ranch Brokers Understood ROI

Understanding ranch marketing ROI for ranch brokers

What? Brokers do not look at returns on their ranch marketing dollars spent? You just fronted $14,000 on the ranch listing you just took on. How soon will you get that money back? What is the ROI on that ranch marketing investment? This article is probably going to be a “duh?” article that we all read …one where it states the obvious on a subject we already knew but what the article does is formulate the thought and process into an actionable list for ranch brokers.

I’ve found that the ROI calculation for ranch brokers is simple, but where you get tripped up is costs. Allocating costs to a listing isn’t always clear and straight forward. What is cost of goods sold (COGS), operating costs, marketing costs, etc. I’ll hold off on allocating costs discussion until the end of the article to maintain the simplicity of our example below.

Let’s begin with high level ranch marketing budget. The best way to develop a marketing budget is to treat that budget as if it’s an investment, i.e. something that delivers an expected return. Your listings represent the portfolio of investments.

Review last years ranch marketing spend and calculate the ratio of cost to revenue to give you a benchmark starting point in the new year. So if your firm did $500,000 in fees and spent $100,000 in marketing (yes you need to include fees from outside vendors) then your marketing cost ratio is 20%.

Now, there is a catch. If your brokerage let’s say carries 10 ranch listings on average your ranch marketing cost ratio is likely higher than if your brokerage carries 30 ranch listings on average. The ranch brokerage with more average listings count gets an economies of scale in most cases because resource costs are spread over more listings and higher total revenue. An example of this is print advertising where larger ranch brokerages put more listings on their full-page ad. A smaller brokerage may only be able to put 4 listings in an ad whereas another brokerage may have 10 listings in the ad.

Another example would be somewhat fixed service costs such as SEO or social media. Whether you have 10 listings or 30 listings those services may not increase with more listings.

I see marketing cost ratios vary from 10% to 25% depending on the total revenue of your brokerage and other variables. The important data point here is get your benchmark ranch marketing cost ratio from last year and use to measure against going forward. This is a measurable key performance indicator (KPI) for any brokerage.

Now that you have your ranch marketing cost ratio, let’s get into an example listing and ROI. I like round numbers so let’s start off with a property for sale at $1,000,000. It has 400 acres with a nice cabin to add some liveability. That’d make it $4,000 per acre.

Easy commission calculation is $1,000,000 x 3% = $30,000. So if your marketing cost ratio was 20% last year then your planned ranch marketing spend could be up to $7,500. This listing marketing budget doesn’t mean allocating all of it to paid ads such as print, social, video, etc. You have to leave plenty of room in there for services.

NOTE: I don’t like to plan commission percentages on “double ending” deals. The best practice would be to budget a marketing spend around representing one side or the other on a transaction.

The next number we need is “average days on market”. Take each listing that sold last year (or last several years) and individually calculate days on market from listing creation date to closing date. Sum the days on market for all these sold listings and divide by total number of sold listings in your data set.

I personally prefer to look at months so take your average days on market number and divide by 30. You probably won’t get a whole number so just keep it to 1 decimal place.

Let’s presume that your brokerage average months on market is 10 months. This means that your $7,500 investment will likely come back to you in 10 months. If all goes well the brokerage commission will be $30,000. This would be net return on investment of $22,500 or 75% Return on Investment (ROI) or 360% annualized yield.

Now take this a step further …your brokerage has 30 listings and each listing has $7,500 in marketing costs tied up in them. That totals $225,000. So presumably you’d have about a quarter of a million dollars tied up at any given time in marketing of ranches. If you’re running this as a line of credit with a bank then there is a carrying cost associated with these allocated funds.

Key Takeaways:

  1. Benchmark your marketing cost ratio. Work from there moving forward. Possibly work to lower it with more efficient ranch marketing spends that can achieve better or same results in sales as in past.
  2. Benchmark your average months on market. All brokers want to sell listings fast but in many cases the velocity at which a listing sells is largely due to a number of factors …months supply of similar listings in that area, popularity of an area, proximity to major metro areas, income production, land amenities, and much more.

By benchmarking your ranch real estate brokerage you’ll be able to target new listings that fit your formula for marketing cost ratio and average months on market. Any time you can make a more informed quantitative decision, the more likely you’ll realize the anticipated ROI.

Quick notes on allocation of costs to listings …

I’ve found it hit or miss that a brokerage will assign direct costs to specific listings. Here are some simple practices to start allocating costs to listings accurately and some suggested practices.

  • When you purchase a print ad and receive an invoice from the publication, enter the invoice into your financials then itemize the total to each “product” aka listing. By itemize, if the total print ad cost $3,000 and included 6 listings then each listing would get charged $500 when itemizing the invoice.
  • You’ll also have direct costs from outside vendors that can get directly charged to the listing such as professional photographer/videographer, surveyor, GIS mapping services, soil samples, etc. When you have these direct service costs, assign the invoice to a specific listing.

Ranch marketing expenses that appear to be operational expenses:

  • SEO services
  • PR services
  • Social media services
  • Brochure design services
  • Website hosting
  • Online classifieds subscriptions (i.e. Lands of America)

These ongoing marketing expenses can be consistent or fluctuate depending on how you operate your brokerage. My suggestion is take your monthly average spend on services used monthly and divide by average # of listings you carry at any given time. So if your monthly services average $5,000 per month and you carry 20 listings on average then each listing costs you $250 per month it isn’t sold. Then if your average months on market is 10 months that equates to $2,500 per listing of services carrying costs for the year.

Remember the $7,500 marketing budget from earlier? Well, there goes $2,500 of that budget in marketing services carrying costs. Now you have $5,000 left in the budget.

Bank fees and interest. There is always interest cost if running your brokerage on a line of credit (LOC). That interest is certainly entered into the financials each month during reconciliation. Again, you can chose to average it out based on months on market to arrive at a month finance fee to charge to each active listing that has money tied up in the LOC.

If your brokerage has an in-house bookkeeper, controller, or CFO then you should make absolutely sure your business begins measuring these number every month, quarter, and year. If you use outside financial services, then make a point to set down with your bookkeeper or accountant and get a game plan together to begin tracking these numbers and measuring against your brokerage benchmarks. This is how efficient business are run!

Get started benchmarking ranch marketing cost ratios and listing average months on market. Take a deeper look at how best to allocate costs to individual listings and establish cost averages where fees are spread over all listings.

To learn more about ranch broker marketing, visit https://realstack.com/digital-marketing/

Ranch Real Estate Market Metrics

Ground breaking metrics for every ranch real estate brokerage to operate by

I’m going to introduce some new concepts to the ranch real estate market. These concepts are standard in many financial and commodity markets but I’ve applied them to our market for farms, ranches, and land.

Now you may be saying we are not in a “commodities” market, and I 100% agree. The challenge I see in the ranch real estate market is there is little quantitative metrics that provide any value to the seller, buyer, or the market in general. With my metrics you’ll be able to have meaningful conversations around prices with buyers and sellers and ultimately sell more ranch real estate listings faster and be able to win more ranch listings with prospective sellers.

I’m going to be introducing 3 concepts or calculations that any ranch broker should begin using on their portfolio of listings.

  1. Price per Acre to Market (PPATM)
  2. Price per Acre Rank (PPAR)
  3. Total Price Rank (TPR)

So now I hear you saying …”there are no two ranches alike. They are all unique and impossible to compare.” Rightfully so. Then why when negotiations come down to making a deal is it always price per acre? Because it matters what a buyer will pay, what a seller is willing to take, and what a lender is willing to lend on ranch real estate.

The next objection I hear is “sale price is really what matters. The asking price really doesn’t help us compare our listings to the market.” Then why price it at all? The asking price is roughly where the sellers market is at during any given period of time. The price sellers are willing to entertain in exchange for their property. So …asking price does matter.

One final point to make as to my logic for introducing these concepts is often times the buyer and or seller are high net worth individuals. They’ve spent their career handling millions of dollars of operating capital, reviewing financials, looking at large ROI opportunities, understanding yield, and more. We as an industry do not build the case with real metrics and data to support our claims. Brokers usually rely on their reputation and good looks to convince the buyer or seller that their claims or advice are accurate.

This has to change!

We need to substantially improve our service level to clients with real-time data and analytics to best inform them of buying or selling decisions.

Ranch Real Estate: Price per Acre to Market (PPATM)

PPATM is the percentage of a listing price per acre to the average price per acre for similar listings in that market.

See example 1-1 below. First you’ll need to know that the Average Per Acre price is 100% of market, meaning that is the going rate for per acre asking price. In this case, it is $5,073.

Comparing your listing or other listings to this market average as a percentage creates a meaningful data point for your clients. The tighter the acreage group the more valuable the data point but by comparing the per acre price vs total price, statistically it enables us to look at a wider range of acreage to compare.

Ranch Real Estate

What I’ve learn while pouring over listings and their numbers, listings that have a PPATM greater than 110% of market are very difficult to sell and have a high months on market total. In broker speak, this usually translates into an “over-improved” property. The house is massive, too many buildings on the land, the livestock or equine facilities are extravagant, its use is very specialized such as hunter jumper equestrian facilities, or other.

Regardless, for both the buyer or seller this gives a quantitative number to compare listings in all different ways and scenarios.

If meeting your brokerage goals is important, you need to be inside of 105% of market at most. You simply don’t realize how many prospective buyers pass over your listing before they ever ask for a showing simply because they know the seller has an inaccurate view of the market asking prices.

As the broker, you’re goal is get your marketing investment back as soon as possible and balancing that with representing your seller with best possible sale price. For the efficient broker, targeting your average months on market for your brokerage is important. We’ve found that to maintain this KPI for your brokerage, the listings need to be 95% of the market or lower.

For brokers and prospective sellers, this number creates a lot of value when supporting your suggested asking price for their property or gives you the analysis to evaluate salability and if you’d consider taking on this listing.

Ranch Real Estate: Price per Acre Rank (PPAR)

Simple as it sounds: a numerical ranking of listings in the dataset from highest price per acre to lowest price per acre. If price per acre of a listing within the group of comparable listings is the highest then it will rank #1 in PPAR.

Why is this metric important? When your listing is setting at the top of the market in price per acre, then you either A) need to have property amenities to really back it up, or B) lower your price per acre if you expect to get an ROI on marketing dollars spent.

Don’t get me wrong, it feels great to set a record for price per acre within a county, but if you are focused on selling listings, turning your listing inventory, getting an ROI on marketing spend, then you need to be in the middle of the price per acre rank. Again, buyers are either mentally or in a spreadsheet tracking price per acre. Even if they are not ranking them as REALSTACK does, they are mentally processing this price per acre against their comparable properties.

From the brokers perspective, it is another metric to evaluate your price in the market at any given time. If there are 5 comparable listings, then you want to rank 3rd or better when possible. This helps you get leads, showings, and transactions. When taking on listings you evaluate that the ranch real estate property will fit in this metric to help contribute to your ROI and lowering your months on market averages.

It is important with PPAR to have tighter bunch in acreage per listing. In most counties as the acreage goes up the price per acre declines. In example 1-1 above we have an outlier with 1922 acres. We had to include this property because it was one of our ranch brokerage client listings and within Bosque County, Texas there were no other ranch listings within +/- 1,000 acres of it.

Ranch Real Estate: Total Price Rank (TPR)

Another simple comparison but deep value: a numerical ranking of listings in the dataset from highest overall price to lowest overall price.

Why is this important? In studying the data of ranch listings, I found gaps in acreage within certain counties. Not surprising, but statistically this has meaning. Let me explain.

If a county has a heavy set of inventory between 200 and 500 acres but no listings between 501 and 2000, then the Total Price Rank becomes significant because total price of a large acreage ranch can present a challenge in certain areas of the United States.

Let’s take Bosque County, Texas as in example 1-1 above. It is a popular county for high income earners to get a weekend retreat who are based out of Dallas-Ft. Worth. They can afford and are most interested in property +/- of 100 acres. Ranch real estate they can afford, enjoy, and maintain. When you jump out there with a 1,900 acre place your total price for that market can present a challenge to what the demand for that county will bear.

The months supply for acreage in this range will be high and the absorption rate will be low therefore stretching out your marketing investment before you’ll realize an ROI. Remember your goals for your brokerage on ROI and average months on market? Well it is statistically likely that this listing will not meet those brokerage goals and objectives.

There are a lot of things in the ranch market you can’t control such as oil prices, overall demand, stock market, and more, but you can control Price per Acre to Market, Price per Acre Rank, and Total Price Rank.


In business, cash flow is king! If you take on fast moving ranch real estate listings and price accurately, then your return on capital will be most efficient. Efficient capital equates to more dollars returned to your brokerage faster! Return on capital will be another article for ranch brokers.

Price per acre to market, price per acre rank, and total price rank are key factors in managing for the most efficient use of your marketing capital that gets tied up in every ranch real estate listing. Start measuring and re-evaluate your current portfolio of ranch real estate listings to watch your cash flow and gross margins begin to sore.

Visit http://www.realstack.com