A Down-to-Earth Cost Analysis for Homesteading

Homesteading is all the rage these days, something that can inspire a little bit of hipster-ish contempt in us old hands who have been living it as an actual lifestyle for a while.

Increasingly, affluent people are fleeing the cities, cities which are turning into dystopian nightmares thanks to the policies that they have voted for, aided and abetted.

These rich folks simply move out into the country and duplicate their lavish lifestyles on expensive hobby farms and then talk endlessly about how they are homesteaders.

But is that really homesteading? Do you have to shell out hundreds and hundreds of thousands of dollars just to break out of the rat race or return to a simpler way of living?

Has the idea of homesteading turned into something that it really isn’t and has this discouraged you from even trying to live the life that speaks to your soul?

If it has, don’t worry: in this article, I’ll be taking you through a down-to-earth cost analysis for homesteading in the current year.

Most People Have Very Different Ideas of What Homesteading Is

I guess before we can get to an accurate cost for homesteading these days, we need to agree on what homesteading actually is, and what it means…

To some folks, it just means living in the country. To most of us who actually do it, the definition in our hearts is usually one of self-sufficiency and a simpler, but not easier, way of providing necessities for ourselves and our families.

Anyone can move out into the country, build a huge McMansion, buy some animals and just while away their days as they work from home or commute back into the city or town for their job.

They can do whatever they want; it’s still a free country. Swing from the chandeliers for all I care! But I’d argue that isn’t homesteading at all.

If you are a homesteader, you are living on and by the land where you are. You’re bringing in your own food, be it plants, animals, or both, making the best possible use of natural resources, avoiding waste, and supplying, if possible, your own water, electricity, and more.

It isn’t a matter of being a Luddite or living without modern conveniences. It’s a matter of being more self-reliant and less connected to the web of services at large that we call society.

But even in that definition, there is considerable debate over how much homesteading actually costs for folks who currently live as part of society. Is it affordable at all? Is it something you’ll have to save and plan for, or can you just decide to start doing it?

In the following sections, I’ll be taking you through some real figures that will illustrate in sharp relief the different levels of expectations people have for their homesteads and the final price tag!

Homesteading… or Luxury Rural Living?

One of the most fashionable kinds of homesteading, and far and away the kind that gets the most clicks on YouTube and social media, is really just luxury rural living.

For the wealthy, they can afford to buy a huge parcel of rich, desirable land or even a proper estate out in the country.

They can build a large and luxurious house on that land filled with the finest materials and goods that money can buy. They can, of course, also buy an established herd of animals, build a barn for them, and install the infrastructure they need to support all of the above.

That off-grid infrastructure, if needed, could take the form of an expansive irrigation or water management system and self-contained power generation systems.

And of course, if the land is going to be worked at any kind of scale, they’ll avoid backbreaking manual labor and opt for an efficient, modern tractor with all the attachments they might need.

Let’s look at the tale of the tape for this sort of transplant lifestyle…

Land: Let’s assume that our wealthy would-be homesteaders are buying around 40 acres of rich and highly desirable farmable land in a desirable area. That land will likely cost them between $8,000 and $15,000 per acre, for a total cost of between $320,000 and $600,000.

House: Only the nicest made-to-order house will do. Assuming the home is between 3,000 and 5,000 square feet and the total cost per square foot, fully outfitted, is between $200 and $400, we’re looking at a $600,000 to $2 million dollar home.

Barn: You can’t have a homestead without a barn, or so these people think. Depending on the size, a brand-new barn will cost anywhere from $50,000 to $150,000 to build.

Herd of Cows: Of course, you’ve got to have cows; cows are what make a homestead. And you’ve got to have something to put in the barn, after all.

Mature cows will run anywhere from $1,500 to $2,500 a head from a good farm. If these well-heeled homesteaders start with a herd of 20, you’re looking at between $30,000 and $50,000 just for animals.

Tractor and Power Tools: This much land demands a tractor to ride around on, whether or not any farming is actually being done.

Tractors, of course, are very expensive, and they get more expensive with all of the attachments or toys that those PTOs can accept. Such a tractor will run anywhere from $25,000 to $75,000, potentially more depending on manufacturer and options.

Irrigation System and Water Management: A property that’s far enough out will certainly require a well, or more likely multiple wells, and an extensive irrigation and water management system.

Happily, a homesteader can afford such a thing, right? A comprehensive system, fully equipped and set up, will run between $20,000 and $100,000 to deliver water where it needs to go over a large acreage.

Total: between $1,045,000 and $2,975,000.

If this is the modern conception of homesteading, it’s no wonder average, everyday people are so depressed. As the title of this section alluded to, this isn’t really homesteading as far as I’m concerned; this is luxury living, just done far away from the city.

Can you afford this type of lifestyle change, or could you even afford to maintain such a lifestyle? Do you know anyone who can?

Homesteading and a Good Quality of Life are Achievable for a Lot Less Than That!

The modern emphasis on absolutely everything being bespoke, made-to-order, and top-of-the-line has put more people into devastating poverty than almost anything else.

Let’s get real: do you even want such a lifestyle? Would you be content with homesteading that wasn’t considered luxurious by any stretch of the imagination but was still entirely comfortable, fun, and meaningful?

If so, and if you are in a position to buy a property and home today, you can definitely make your homesteading dreams come true in the very near future, and you’ll sacrifice very little to do it. Consider the costs for the following example.

Land: Let’s say you still want a huge parcel of your own, both to enjoy a bounty of more resources, have more opportunities, and also just to keep your neighbors at a distance.

The land isn’t ideal in most regards and it isn’t in the most desirable area, but it is entirely suitable for living, farming, and raising animals on. A 40-acre parcel of this grade only runs you between $1,500 and $3,000 per acre, for a total cost of between $60,000 and $120,000.

Home: Housing costs are absolutely out of control pretty much across the nation and showing no signs of coming down.

To avoid spending a fortune on a home, you decide to go with a smaller modular home or renovate an existing house that has seen better days but still has good bones.

This saves you a huge amount of money over new construction, running you only $75 to $150 a square foot. This brings the total cost of your home down to between $90,000 and $225,000.

Chickens: Cows are expensive. They’re expensive to buy, expensive to care for, and expensive to deal with.

But livestock is indispensable for many homesteads, so to save money you decide to go with a small flock of chickens, around 20 birds at just $5 to $15 per bird.

This only sets you back between $100 and $300 and will give you a copious supply of eggs and meat when required.

Goats or Sheep: It’s possible to still get milk without cows if you keep sheep or goats. Both can also provide you with an alternative source of meat and hair or wool, depending on the breed.

They’re far cheaper and much easier and safer to handle compared to cows.

These critters will set you back between $100 and $300 a head, so to save a little more money you decide to start out with a herd or flock of 10. The cost for this herd, one or the other, is between $1,000 and $3,000.

Basic Irrigation and Water Management System: When you start computerizing everything and putting microcontrollers in it to open and close valves and actuators, costs balloon out of control.

You can still keep tons of water on hand for your animals, yourself, and any crops you decide to grow using old-fashioned technology that you can install on your own, technology which relies on manual or mechanical valves and gravity, nothing more.

Depending on the size of the system you need and the associated tankage, a system of this kind will set you back between $2,000 and $10,000 but might be much cheaper.

Tractor: You aren’t bringing in vast acreages of crops and you aren’t afraid of doing some manual labor when called for.

In any case, despite the beautiful pictures on the websites and in the catalogs, you opt for a well-used but still mechanically sound tractor and only the attachments you need.

This machine only runs you between $5,000 and $15,000, a huge savings over buying the latest, greatest showroom-new model.

Total: between $158,600 and $375,300.

Now, that is a huge difference, isn’t it?

No small amount of money, not for anybody I know, but considering what homes cost today in most towns and cities around America this is achievable for people who have a good chunk of change ready to plunk down for a down payment or other means of financing.

If you’re already prepared to move into a new home and you’ve been dreaming of making homesteading your reality, could you not make the change? I argue that you absolutely could, as the math shows…

Is it Possible to Homestead with Next to No Money?

Now, let’s say you are of very limited financial means for whatever reason. Maybe it’s a bad turn, maybe life went against you, or maybe you just simply don’t want to work that hard as a productive member of what passes for society in America today.

Is homesteading even possible on such limited means? Yes, it certainly is!

Your lifestyle will not look like either of the ones above. You won’t have as many niceties, and you will indeed be focused on subsistence.

But know that it is also possible to, quite literally, bootstrap yourself up into a nicer home, a well-tended property, and a comfortable existence. That’s the way the pioneers did it for generations!

Let’s look at the figures for homesteading as cheaply as possible.

Land: You can live quite well on just an acre or two of decent land. Even if the land itself is difficult to till for gardening and crops, raised beds can give you a bountiful garden that will supply you with a lot of food.

Let’s assume you’re buying just one or two acres at a cost of between $1,000 and $2,000 per acre.

Home: Tiny and cheap are the orders of the day. If you have the skills, it’s possible to build an austere tiny home or rudimentary cabin for just $30 to $60 a square foot if you’re able to make use of repurposed or reclaimed materials.

An old camper in good repair might run about the same but be even smaller. Assume you’ll have no more than 400 to 600 square feet to call your own, for a total cost of between $12,000 and $36,000.

Livestock: Chickens are about as cheap as it gets for livestock. If you’re able to barter your time and work or other products with neighbors, or just get yourself a good deal, you could get about 10 birds for between $3 and $10 a head.

A few goats, say 5, acquired similarly, will run you between $50 and $100 a head, maybe more.

This will provide you with lots of food, milk, and options for income. Assume the total cost for all your animals is between $250 and $750.

Shelter for Animals: Most domestic animals really don’t need much in order to withstand the weather and stay safe.

If you can build it yourself using repurposed or reclaimed materials, you might spend as little as $100 and probably no more than $500 on a shelter that will genuinely provide for their needs.

Rain Catching System and Water Tankage: Water is paramount on any working homestead, but putting in a well is very expensive.

Assuming you don’t have a spring, you’ll need to catch rain, store it, and treat it for drinking as necessary. Everything you need to keep you and your animals supplied with plenty of water will run you between $500 and $2,000.

Tools: No tractor for you, that’s out of the question, but again, if you’ve got the skills and the backbone, there is a heck of a lot you can get done using grit and muscle power alone.

The tools you need to work the land, build structures, and take care of everything else that goes along with life on a homestead will set you back between $500 and $2,000 if you shop smart, buy used, and prowl the flea markets.

Total: $14,380 to $45,100.

People, you can’t even buy a used car for that low-end price! I trust this illustrates what’s possible if you have the wherewithal to give up what other people want so you can live the kind of lifestyle that you want to.

You might be that weird person who lives at the edge of town, but if you’re happy and fulfilled, that counts for a whole lot, and you can always improve as you go on.

What Do You Want from Your Life on a Homestead?

I will close with this: don’t let anyone on the internet, and that includes me, tell you what your homestead life should look like, complete with that checklist of all the component parts that go into a social media-approved life.

Your life is your own, and your vision for what your rural life will look like is entirely up to you. You might desire more modern amenities and niceties, or you might not. This is an entirely personal choice.

And if you are happier with a whole lot less than most people these days, that’s really a blessing when you think about it because you won’t be trading your life for the things that other people say you should have.

Use the examples I gave you above as inspiration to sit down and start coming up with an actual, realistic figure for what it will take for you to make your new life on a homestead your actual reality.