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Homesteading is a way of life that is fully self-sufficient. Most homesteaders grow and produce all of their own food. If they are in need of something they didn’t grow, they barter with other homesteaders to get it. So which States are the best to start a homestead in?
There are hundreds of homesteads across the country who life completely off the grid. This means solar power and sometimes with no phone or internet services either. They often home school their children as well.
Depending on what your situation is, you need to take a look at what different states have to offer. Some allow rainwater collection, others do not. Several states have strict building codes and do not allow you to use only solar electricity (as in you will have to hook to the grid even if you don’t want to use it).
No matter what your reasons are, there are definitely some things to consider when choosing where to start. Things such as:
- Homesteading laws in each state and tax breaks.
- Cost of living in the general area.
- Where you can get enough usable land to start a small farm for a price you can afford.
- The climate in your chosen area.
- Is there water available?
- Is there electricity available?
- Are there local homesteading groups and farmers markets?
- Proximity to a hospital and medical care.
- Are you going to home school your children?
Choosing Homestead Land
There are several factors that go into your decision on where to homestead. Your reasons and decisions are likely vastly different than mine. I personally prefer to be at least an hour away from a major city. This might not work for you if there are health concerns.
Land price is always a huge factor. How much do you need? Well, that depends on how much privacy you want and whether or not you will graze animals. A general rule of thumb is if it’s too good to be true, it probably is. There is a reason why that fifty-acre spread is only $45,000, and you might not like the reason when you get to looking into it.
Each state has its pros and cons, and you need to decide which set of these works best for you. Here we will discuss state laws, cost of living, home school potential and other factors to help you find which is the best state for you to start your homestead.
Best States to Start a Homestead
Kentucky
Kentucky has all four seasons and a lower cost of living that the rest of the country. Land is fairly inexpensive, and the growing season lasts longer than most places in the continental US. With an average of 45 inches of rain a year, and the ability to collect it for personal use, you won’t have to worry about those crops getting watered.
There is ample fishing and hunting available to go with the camping and hiking availability throughout the state. Sales tax is low and there is a homestead exemption for folks over the age of 65.
Homeschooling is allowed, just notify the local school district for guidance on their requirements. And don’t forget the 150 farmers markets where you can sell your excess produce or goods. Be sure to look into getting that Microprocessors license through the University of Kentucky so you can sell canned goods as well.
Iowa
With an overall low cost of living, and available good usable land, Iowa makes the cut. This is a big farming state, so you will be joining the ranks with all of your neighbors.
Winters can be rather brutal, so don’t plan on growing year-round. There is potential for tornadoes and flooding, so check the records in the area you want thoroughly.
Homesteading laws are very relaxed. And there is an exemption of 100% for up to 40 acres of homestead land. Land prices may be high due to the popularity of homesteading and farming in this state.
Arizona
Arizona does not have the climate most people think of when it comes to homesteading. Believe it or not, there is more than just desert in Arizona. Be choosy when selecting land to ensure you have year-round access to water.
Due to the desert climate, Arizona is definitely one of the cheapest states to buy farmland in (It might actually be the Cheapest).
You can collect and store rain for personal use. Be sure you can store enough for the crops you want and for yourself through the summers. Feel free to home school your little ones in this state too!
Tennessee
Much like Kentucky, Tennessee is absolutely gorgeous with all four seasons. The rural areas are a popular spot for sustainable living enthusiasts. The cost of living is also rather low, and so are the taxes in this state.
The growing season lasts an entire 9 months, so plenty of fresh veggies to eat and can all year long. Don’t worry, you will also be protected from losing the farm to the bank, and you will get a $5000 homestead exemption.
Surely you will be able to find like-minded neighbors to feed your goats while you take a weekend off to enjoy what the state has to offer. Homesteading is great here too, hook up with the neighbors to share duties here as well.
Idaho
You don’t have to grow potatoes in Idaho, it actually has great soil that will grow just about anything. You can join a homesteading community, or forge through the wilderness to go it alone. The homestead exemption in Idaho reduces property tax up to 50%.
This is another one where hunting and fishing are abundant, and the landscape is beautiful. Winters are pretty harsh in many areas. Snow and ice are never good for tender crops, but cattle and sheep thrive.
Homeschooling groups are available to help you teach your children. Idaho is a little higher on the cost-of-living scale sitting at about 97% of the national average. Wanting to sell goods online? Idaho is fairly well connected, even out in the boonies, so make those goods and really work from home here in Idaho.
Oklahoma
Who doesn’t think of the Oklahoma Land Rush of 1889 when thinking of homesteading Oklahoma? You know, the Homestead Act signed by President Abraham Lincoln to increase land ownership and development. The one that pretty much led to the Dust Bowl a few years later.
It’s pretty chap to liver there for both growing families and retirement homesteads. There is very fertile soil suited for a variety of crops like beans, okra, sweet potatoes, and watermelons for the warm season. In the cold season, you can still grow turnips, broccoli, carrots, and cabbages. Who is in the mood for some good ‘ol southern cookin’ right now?
While you won’t pay tax to buy land, you will pay about 1% in annual property tax. This can be earned by selling goods at one of the many local farmers markets. Don’t forget to involve the kiddos in making these goods as part of their home school curriculum, as regulations are also low in this state.
Texas
Everything is bigger in Texas, right? Known for huge cattle ranches and miles and miles of horizon all around. Climate is great in most of the state to grow all of those traditional southern foods. To the east you even get crayfish to enjoy another great southern experience.
The western portion of the state gets about 8.7 inches of rain a year, and the southern coastal areas get around 60. Texas ranges from desert to swamp, but much of it is fertile grassland with abundant trees.
There are few off grid living regulations to deal with here in Texas, unless you are in an urban area. You are free to home school with no government regulation as well. There is a homestead exemption if you meet the requirements.
Oregon
Absolutely one of the most beautiful states around, Oregon has available land, and a medium cost of living in the right areas. Soil is fertile and rich, so you can turn a profit from your crops and livestock.
Many homesteaders call this state home, so there is no shortage of experienced neighbors when you need a hand. There is a generous homestead exemption available, and you land will be protected as well. There are more regulations for homeschooling than in other states.
You can enjoy the outdoors with zero state sales tax, low property tax and abundant resources. Oregon is relatively protected from natural disasters as well due to its topography.
Montana
The summers here are down right to die for! Everything is green and lush, including the garden. Not so much in those long cold winters though. Be prepared to have a greenhouse that traps the sun’s rays in those short winter days to have fresh food all year long.
Many people you will find here are geared toward sustainable living, and most of them are found away from urban areas. This is a vast state with a ton to offer the beginning homesteader.
Land can be picked up for a descent price but may be so remote you will need solar power. Don’t worry about the kids, home school is a go! Teach them to hunt and fish and tend the crops to leave your family legacy going strong here in Montana.
Alaska
The last frontier! Yes, you can still homestead here. There are abundant natural resources available here, but we placed it last because of the harsh winters. You can still grow year-round with geothermal heating in a greenhouse. You can design and build just about whatever you need for a home with little regulation.
Some locations are so remote, you will be unable to just drive to your property. When shopping, you may see land for only $8000 and think, I can buy that right now. But read the fine print before you sign that check.
It’s off grid and isolation are what suits you, this is a great choice! Homeschooling has very low regulation, so no need to worry about getting the kids to school during those long winters.
The Overall Best State to Start a Homestead
For us, it’s clearly Kentucky. We’ve got family there, already purchased the land, and are ready to go. The lack of restrictions and abundant hunting and fishing are a super big deal to us. We get to go explore a new area while building our dream in Kentucky!