I vividly remember one of my first meetings with a prospective land seller. Naturally, my dad was there too. As we sat together in the conference room, he looked at the sellers and asked, “Why do you want to sell?” Before they could even respond, he added, “You never sell land.” I nearly spit out my coffee. Here I was—twelve years younger than I am today—bewildered that someone whose livelihood involved helping people sell land through our auction business would ask such a question. Was he trying to talk us out of work or what?!

It took some time and a few years in the business for me to understand why he asked that question and where it came from. Like many of the people we serve, my dad grew up on a farm. He had been taught from day one that you never sell land. To farmers and their families, land is more than just an asset; it's a legacy. Yet, despite this deep-rooted belief, many people who inherit land eventually decide to sell it. What drives them to make this choice, especially when they, too, often have agrarian roots?  

Well, while some might point to money or greed as the primary motivators, there’s a lot more to the story. Here are three key reasons why many landowners choose to sell after an inheritance.

1. Dilution of Ownership
Perhaps the most common reason people sell inherited land is due to dilution—ownership divided among multiple family members. When Grandma, Dad, or Mom passes away, they might leave a section, half-section, or even more land to several heirs. This division often leads to fractional ownership among siblings, cousins, or extended family members. For instance, inheriting a 1/7th share of a family farm might sound appealing in theory, but it can become very complicated and cumbersome.
Over time, managing the property together becomes a logistical and emotional challenge, especially for those in their 60s and 70s with their own families, financial commitments, and health problems. Multiple partners with different life goals and needs often find that selling the property is the simplest way to settle their share, even if it wasn’t what the original owner intended.  

2. Unfamiliarity with the Land
Another significant reason that inherited land is sold is the lack of familiarity or connection with the land. I’ve worked with clients who couldn’t even locate the land they owned. In one case, a client first saw their property in photos I sent them, taken from a drone. While this is an extreme example, it’s not uncommon.
Think about it: as a farmer, how would you feel if you inherited property in California? What would you do with it? Most likely, you'd consider selling. For many who inherit farmland, it feels similarly foreign, and they don’t have the deep connection to the land that previous generations did.

3. Economic Pressures
Finally, financial need is a significant factor driving sales of inherited land. Some individuals or families may need funds to build a lake home, purchase a vacation property, or simply pay bills. I've handled transactions for clients who were genuinely struggling financially. For them, inherited land represented their first and only opportunity to live a more comfortable life or to resolve pressing financial burdens.

Closing Thoughts
So, while “never sell land” might be the mantra passed down through farming generations, the reality isn’t always so simple. Economic pressures, lack of familiarity, and shared ownership often weigh heavily on the decisions of those who inherit land.

At the end of the day, there is always more to the story. While every sale might mean the passing of a legacy, it also can open doors for those who never had the opportunity to benefit from the land before. For each person who chooses to sell, it is often a difficult but deeply personal decision rooted in their unique circumstances.

 

Director of Real Estate