The Realities of Homesteading: Myths and Mistakes You Must Avoid to Break Even (Zoom Clip)
The Goal of Abundance: Your Small Farm Or Homestead
Good morning. Thank you for joining us to discuss the realities of small farms and homesteads.
Let's cover the common myths and mistakes people make, and how to actually turn that dream of owning a small farm into reality.
This is about providing food security for your community, physical security for your family, and financial security for yourself.
While there are many beautiful homesteading channels and books offering advice, many are focused more on entertainment.
We are going beyond the “PBS gardening special” and the online hype to talk about the cold, hard realities.
My goal is not to discourage you, but to prepare you for success so you can live a life of abundance from your land.
Understanding Your Land's Layout and Wildlife
At Prosperity Homestead, we take a holistic approach that enhances the ecological value of the land. As a master naturalist, I want to see the ecology and wildlife develop.
For example, I am an unsuccessful hunter. Seeing all the signs of deer, yet mostly hearing squirrels laughing at me.
But after managing my property through forest mulching and creating trails, I can’t walk for ten minutes without a deer jumping out.
Now that I have a freezer full of goat meat, I still haven't gone deer hunting. Yet I won't stop habitat restoration.
If you want land for hunting, consider it an agricultural activity in which you care for and regenerate wildlife as livestock.
Whether you are planning a retirement cabin or a family retreat, these principles of land management apply. What are the three key principles?
By providing water, habitat, and access points, we’ve seen deer populations on our tract grow significantly. Your time on the land will be more enjoyable.
Defining the Small Farm and Homestead
Our mission is to help you get your small farm up and running at a break-even point or better in 12 months or less. To do that, we have to define what we are talking about:
- Small Farm: Typically 15 acres or more, with five or fewer income streams. Focus on markets.
- Homestead: Usually 5 to 15 acres under development, focused on family and local community.
Farming is a reality where you can be “land rich” but “cash flow poor”. We see this currently in the UK with Jeremy Clarkson's Farm series.
Changes to inheritance taxes are forcing aging farmers to sell land, destroying farms at the expense of food security.
You need to understand these challenges to build a farm that lasts for generations.
The Economic Reality of Homesteading: Small vs. Commercial
Small farms face unique challenges, such as establishing a local market without the benefit of government subsidies or massive volume.
For instance, a meat bird raised on a small farm might cost $25 to $35 in input costs—including the chick, feed, and infrastructure. Meanwhile, a grocery store can sell a bird for $4 to $5 because of their scale and subsidies.
Small farmers and homesteaders need to be more entrepreneurial. To sell the story as much as the produce, meat, milk, and value-added farm products.
Because of this, you shouldn’t try to compete on a commercial scale. Your farm should be niche-dependent, lifestyle-based, and focused on premium products.
Our focus is on animal care, earth care, and people care over raw profit.
The “Little House on the Prairie” Myth of Homesteading
A major mistake is believing your homestead will look like Little House on the Prairie or a “Cottagecore” Pinterest board on day one.
If you spend all your money on perfect decorations, you will not be successful. Sometimes your housing is an afterthought if you want a successful farm.
Farming requires tough decisions—like culling animals that are no longer productive—and a commitment to the land that a city lifestyle doesn't require.
Farming is also not a solo mission. You are in a partnership with local, state, and federal governments through zoning and regulations.
You need community support, a market for your surplus, and the total buy-in of your family.
It's a mistake to believe your homestead will be successful on aesthetics alone.
A Realistic Homesteading Roadmap for Getting Started
You don’t even need to own land to start. You can begin by gaining practical experience:
- Draft a Design Plan: Using permaculture principles such as sector analysis and zone planning.
- Get Practical Experience: Volunteer at a regional non-profit or help a local farmer with their harvest.
- Observe the Land: Before building structures, spend a year observing water flow, wildlife corridors, and erosion.
- Fix the Foundation: Address land defects, such as gullies or non-native species, before installing expensive fencing or buildings.
The written plan is your competitive advantage.
For some, it may be a business plan, a design plan, an operating procedure, a marketing plan, or all of the above.
You'll have the ability to think on paper before making costly mistakes.
Final Thoughts on Financial Security Through Homesteading
The myth that everyone who homesteads is rich or living off trust funds is often fueled by entertainers who use sponsored equipment.
In reality, you can start where you are. By focusing on one “break-even” agricultural activity, you increase the value of your land and unlock access to agricultural loans, grants, and tax deductions.
Your homestead can provide physical and food security in the face of civil unrest and supply chain issues. It is a powerful way to build generational wealth and a healthy lifestyle for your family.
One farmer in my region said the economics of farming is moving money around. If I sell a goat to one of his workers, I'm likely spending that money on his hay.
He's going to put my money right back in the pocket of that worker, equipment, and get more hay out of the field for my next visit. It's a community, it's the free market.
Chapters: The Reality of Homesteading
0:00:00 Starting Small Farms and Homesteads.
- Trading your 9-to-5 for the 5-to-9 realities of starting small farms and homesteads
- Why small farms are typically fifteen acres or fewer, with less than five income streams
- Stop making these small farm and homesteading mistakes
00:12:26 Running a Successful Small Farm
- The NO BS reality of running a small farm or homestead that gurus won't tell you
- Why successful operations focus on holistic land management
- Why animal care rather than achieving a perfect aesthetic
- Why becoming a YouTube influencer doesn't really pay the bills
00:28:13 Homesteading: Commitment and Rewards
- Why homesteading requires commitment but offers rewards
- The unmonetized benefit of fresh food and abundance
- Why farmers eat first and for free if homesteading is done right
00:44:36 Gaining Practical Experience Before Land Ownership
- How I gained practical experience before owning land by working at a nonprofit's market garden
- What taking survival classes has to do with starting a small farm or homestead
00:51:20 Supporting Local Farms and Food Security
- The benefit of visiting local farms and supporting regional food security
- What buying from community producers can teach you about your market
00:56:57 Understanding Land Before Homestead Development
- Discover the importance of taking time to understand the land before developing a homestead
- How fixing erosion and improving access increases property value
01:03:05 Planning Farm Layout on Raw Land
- What planning considerations for starting a farm on raw land
- Why design access paths for hay delivery and material transport
- What is a quadrilateral grid system, and how does it help
01:08:55 Starting a Small Farm: An Ecology First Approach
- How to start a small farm by first observing and fixing the land's ecology
- What to do before adding animals or infrastructure if you want success
01:15:14 Planning and Zoning's Economic Impact
- How planning and zoning profit from building permits and stimulating the economy
- Clues why the government doesn't want independent small farms
- The importance of Right To Farm legislation to food security
01:22:01 Requirements for Legitimate Agricultural Operations
- How to be recognized as a legitimate agricultural operation
- Why do you need customers, income potential, and scalability
- Do this as your contribution to food security
- Do this even if you don't get a farm number with the USDA
01:27:25 Homesteading Education and Mastermind Programs
- Resources for homesteading education and community support
- How joining mastermind programs helps avoid costly mistakes
- Speed up homestead development by curating your community
Mentioned
- Jeremy Clarkson, farm owner and host of the Amazon Prime Video show “Clarkson's Farm”. A British television documentary now in its fourth season.
- Scott Vernon is a permaculture design consultant and wilderness survival trainer from The Sustainable Homestead Institute. Located in Ridgeway, VA.
- Little House on the Prairie is a series of American children's novels about life on a farm in Minnesota during the late 19th century.
