Why Sell

why Sell

Each person’s financial goals and circumstances differ, so it’s wise to consider these reasons carefully and consult a financial advisor before making a decision.

Immediate Cash Flow

Selling mineral rights can provide a large, upfront cash payment, offering financial security or liquidity that might take years to accumulate through royalty payments. This can be especially valuable for those looking to pay off debts, fund retirement, invest in other ventures, or meet pressing financial needs.

Market Volatility

The oil and gas industry is highly influenced by market fluctuations, regulatory changes, and geopolitical factors, which can impact royalty income. By selling mineral rights, owners can avoid the risks associated with potential declines in production or oil and gas prices and secure a stable payout.

Risk of Depleting Reserves

Over time, oil and gas wells tend to decline in production, resulting in lower royalties for mineral rights owners. Selling these rights locks in value today rather than gambling on how much production may continue in the future.

Simplified Estate Planning

Mineral rights are complex assets to pass down in estate planning, and heirs may not want the burden of managing or monitoring royalty income. Selling mineral rights can simplify the inheritance process and avoid potential family disputes or future management challenges.

Tax Advantages

In some cases, selling mineral rights can offer tax benefits. For instance, the proceeds from the sale of mineral rights may be subject to capital gains tax, which can be more favorable than income tax on royalty payments. Consulting a tax advisor can help clarify the specific advantages based on individual circumstances.

0 ⁺

Completed Mineral Transactions

0 ⁺

Gross Acres Acquired

0 ⁺

Combined Years of Experience

Why Sell

why Sell

Immediate Cash Flow

Market Volatility

Risk of Depleting Reserves

Simplified Estate Planning

Tax Advantages

Email

Mailing Address

Why Sell

Quick Links

Make an Appointment

More Information