10 Reasons We Love Buying Land in Oklahoma

Oklahoma, the Sooner State, offers a compelling landscape for land investors and homesteaders alike. With its diverse terrain and abundant natural resources, it's no wonder that raw land in Oklahoma continues to attract buyers from across the country. According to the USDA's 2017 Census of Agriculture, Oklahoma boasts over 34 million acres of farmland, with an average farm size of 438 acres. The state's land market has shown resilience, with the average value of farm real estate increasing by 5% from 2021 to 2022, reaching $2,050 per acre, as reported by the USDA National Agricultural Statistics Service. 

These figures underscore the potential for both agricultural ventures and residential development in Oklahoma's vast open spaces. Let's explore ten reasons why buying land in this heartland state has become increasingly popular among savvy investors and those seeking a slice of rural America.

Reasons to Buy Land in Oklahoma

Affordable Pricing

Compared to other states, Oklahoma has exceptionally reasonable land prices. Nationwide, the average price per acre for vacant land is around $5,000. In Oklahoma, land prices tend to range between $2,500 - $4,000 per acre on average. This makes buying a sizeable parcel more achievable for the average land buyer’s budget. Investors can get good value for money, while individuals buying for personal use can likely afford more acres to have plenty of space for their needs.

The low land prices are connected to Oklahoma’s relatively low taxes and cost of living compared to other states. This affordability is a major drawing point.

Abundant Recreational Opportunities

A key reason Oklahoma land is so popular is the first-rate outdoor recreation. The landscape lends itself perfectly to activities like hunting, fishing, hiking, wildlife watching, ATV riding, horseback riding, and camping. Deer, turkey, quail, squirrel, duck, rabbit, hog and even elk can all be pursued during Oklahoma’s liberal hunting seasons. With many trophy-class animals taken every year, it is a hunter’s paradise.

The state also boasts some of the best bass fishing waters in the country. No matter if someone prefers smallmouths on the Mountain Fork River or largemouths at Lake Eufaula, there are endless fishing hot spots. Most properties have creek frontage or ponds in addition to statewide lake access.

Beyond hunting and fishing, Oklahoma land offers exceptional trail riding, birdwatching, camping, and off-roading opportunities right in the backyard. For outdoor enthusiasts, having this kind of private recreational property and unlimited access is a dream come true.

Multiple Income Stream Options

While Oklahoma land can make an excellent recreational property, there is also good income potential from various streams like leasing for hunting, farming, ranching, oil/gas rights and more. Agriculture is a booming industry throughout Oklahoma, so finding farming and ranching tenants is typically easy with the state’s fertile soils. Quality farmland can bring especially good annual lease payments.

Hunting leases are also very popular and profitable in the region, running $5-$15 per acre on average. With quality game and easy leasing, some owners fully fund their entire land purchase over time from hunt lease profits. Others utilize a combination approach of securing some income through leases while enjoying personal access for their own hunting or other recreation the rest of the season.

On suitable sites, tapping into oil and gas rights, cell tower leases, billboard leases and pipeline easement opportunities over time can provide major passive earnings too.

Prime Development Potential

Some buyers purchase Oklahoma land as an investment, targeting properties near growing areas for long-term development plays. Particularly near cities like Oklahoma City, Tulsa, Norman, Stillwater, Muskogee and Enid, there is major demand from commercial developers and home builders looking to expand housing. Within recent years, Oklahoma has seen sustained population growth adding to this demand. Sales to developers generally yield excellent appreciation and profits for the landowner years later.

Low Taxes

Oklahoma is a highly tax-friendly state for land buyers. The state has low real estate taxes with an effective tax rate of just 0.57% - one of the lowest nationwide. Property taxes on undeveloped recreational land are even lower. For example, agricultural use vacant land is typically taxed at very reasonable fixed per-acre rate instead of a percentage of value. This keeps long term costs predictable and affordable.

Estate taxes are another concern for landowners, but Oklahoma does not collect any estate tax at the state level. The tax liability from inheriting land is much less compared to surrounding states as a result. Overall, buyers can feel confident that owning land in Oklahoma provides tax advantages.

Mild Climate

Oklahoma lies in the transition zone between humid continental and humid subtropical climates providing for fairly mild seasons without extreme hot or cold spells. The state sees all four seasons, but winter lows still tend to stay above freezing while summer highs peak out below 100°F for the most part. This temperate climate allows year-round use and enjoyment of the land. Deer season, fishing, hiking and more can be done just as comfortably in the winter as summer on average.

Good Return on Investment

The affordable purchase prices combined with Oklahoma’s continually expanding economy and population has meant excellent ROI for land buyers and investors here both on income streams and appreciation. U.S. News & World Report named Oklahoma the 4th most tax-friendly state for retirees. Many are purchasing land now with plans to build their retirement home on the land later and take advantage of consistent value growth in the local real estate market.

Scenic Beauty and Diverse Landscape

Spanning 11 eco-regions from the Ozark Forest to the South Central Plains, buyers can choose from numerous beautiful landscapes. The terrain encompasses prairies, farmland, heavily wooded forests, rugged Ouachita Mountains dotted with streams and waterfalls, and even some unique desert-like badlands. This rich natural beauty and diversity is a huge draw. Outdoor lovers can pick a property matching their personal preferences from woodlands for hunting, open prairies for horseback riding, creek frontage to fish, and more.

Central U.S. Location

Situated in the Great Plains, Oklahoma provides a centralized location within the country making access easy whether for weekend recreational trips or permanent relocation. Five larger metropolitan cities in neighboring states sit right on Oklahoma’s borders: Dallas, Tulsa, Amarillo, Kansas City and Arkansas. This allows easy visits to urban conveniences and attractions if desired. The state’s central location also minimizes cold winters or blazing hot summers that can be found in more northern or southern states.

Laidback, Friendly Culture

Oklahoma is well regarded for having friendly, unpretentious Midwestern charm and culture. Compared to the fast pace found in other states, Oklahoma offers more of a laidback quality of life to enjoy. Drivers even patiently allow others to merge in traffic without honking according to one recent study! For people seeking broader acreage and recreational properties, this kind of welcoming culture and community adds to the appeal.

Final Thoughts

With outstanding recreational opportunities, affordable land prices, multiple income stream options, future development potential and more, it is no wonder Oklahoma land has become such a popular investment choice. The state offers the full package deal: natural beauty, a central location, a great culture and lifestyle, low taxes, high returns and access to urban conveniences still within reach. For these reasons and others, for both personal and investment use, Oklahoma is one of the best places in the country to buy land right now. Whether looking for 10 acres, 100 acres or 1,000+ acres, Land Boss can help buyers find great deals on properties to match their budgets and goals.

Frequently Asked Questions (FAQs)

What types of outdoor recreational activities can you do on Oklahoma land?

Oklahoma offers exceptional opportunities for outdoor recreation on private land holdings. Popular activities include hunting, fishing, camping, hiking, horseback riding, ATV exploration, wildlife watching, and more. The state has an abundance of wildlife as well as terrain ranging from forests to prairies suited for various pursuits.

Does land in Oklahoma have income potential outside of recreation?

Yes, Oklahoma land can provide income from various opportunities like farm leases for crop cultivation or cattle grazing, hunting leases, pond stocking for fishing, oil/gas rights, cell tower leases, easements for pipelines to cross the property, and other revenue streams. The income potential supplements the recreational enjoyment many owners have.

Is buying land in Oklahoma a good investment currently?

Land in Oklahoma is an excellent investment opportunity right now. The state has seen consistent population and economic growth driving up property values and development demand. With still affordable land prices and low taxes, investing in Oklahoma real estate including vacant land has yielded strong returns on investment in recent years.

What regions of Oklahoma are best for buying cheaper land?

The central and southeastern rural regions of the state tend to have the most affordable land prices, while properties closer to Oklahoma City and Tulsa or in northwest Oklahoma tend to sell for higher premiums. Buyers on tighter budgets may look in counties like Pontotoc, Johnston, Atoka, Bryan and Coal.

What are property taxes like in Oklahoma for land buyers?

Oklahoma has very reasonable property tax rates, with an effective rate of just 0.57% making it one of the most tax friendly states for landowners. Undeveloped land also qualifies for agricultural tax valuation in most cases, keeping carrying costs lower by fixing taxes at an affordable per acre rate instead of taxing on market value each year.

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