Three Ways Selling Your Mineral Rights Can Positively Impact Your Life
If you found out you have minerals beneath the surface of your real estate that you have the rights to, you may feel overwhelmed with what to do with your rights. The process can be confusing, technical, and complicated and cause a lot of stress. Selling your mineral rights can substantially minimize this stress and has a number of added benefits. If you have mineral rights that you don’t know what to do with, consider the positive impacts of selling:
- Large Payment: Selling your rights can result in a guaranteed payment instead of an uncertain revenue stream. This means more money in your pocket faster, without having to stress about the revenue accumulating over time or not receiving steady funds. This large sum of money can help in a number of ways, such as paying off debt, investing in other businesses, and ensuring your family has financial stability.
- Tax Purposes: Taxes on mineral rights are complicated and should be discussed with a tax lawyer. However, there are certain tax benefits to selling your mineral rights. If you sell your mineral rights outright, you will be federally taxed from the proceeds you receive from that transaction, but this is a one time expense. If you lease your rights, on the other hand, you will be taxed on every royalty check you receive, which can be cumbersome and stressful over time.
- Simplicity: Selling your rights also generally simplifies your life and prevents you from having to deal with leasing companies, mineral rights issues, royalties checks, and ongoing taxes. It allows you to make a substantial amount of money by selling at once and letting someone else deal with the complexities and headaches of mining for minerals and all of the officialdom associated with it.
If you have mineral rights and are interested in selling them or are simply exploring your options, getting in touch with The Mineral Auction can help. The company has years of experience getting the best price for mineral rights and has a well of knowledge about the process of selling, leasing, and keeping rights. If you have any questions or would like to speak to an associate at The Mineral Auction, please contact us at (512) 698-2802 today.