From 1800 to 1820 lands were sold in small areas on credit.  Many bought more than they were able to pay for, and much land so disposed of had to be taken back by the government.

In 1820 a third plan was adopted:  That of selling land for cash in any quantity to any purchaser.  This led to speculation, individuals and companies of individuals buying recklessly, without intention of actual settlement, but with the purpose of selling again at a profit.  This brought on a financial panic in 1837.

Then followed the “Preemption” plan, by which actual settlers could “preempt” land (get the first right to it) by merely taking possession and paying a cash price of $1.25 an acre.

The Homestead Act of 1862 was an extension of the preemption plan; but instead of paying a cash price, the settler could acquire the land merely by living on it for a period of five years (now three) and paying fees of about $40.00.

HOMESTEAD ACTS

The Homestead Act, like earlier laws, made a direct appeal to men’s desire to earn a living, to acquire property, and especially to own homes.  It has been modified from time to time, but in all essentials it still remains in force and provides that any citizen of the United States who has reached the age of twenty-one, or who is the head of a family, may acquire a farm on condition of living upon it for a period of three years, cultivating the land and erecting a dwelling, and paying to the government a small fee.  The size of the farm that he may so acquire varies according to the nature of the land, but the usual homestead on good agricultural land is limited to 160 acres.

The purpose of the government has been to encourage actual settlement in order to secure the development of the nation’s resources, and for this purpose to allow each settler enough land to enable him to support a family in comfort.  It was decided that 160 acres of good farm land was enough.

Some portions of the public land, however, are less productive than others.  Where the rainfall is slight and where irrigation is impracticable, and yet where crops can be raised by the “dry farming” process, the law allows a settler to take 320 acres.

A settler may also obtain 320 acres in the “desert lands” of some of the western states.  These lands may be made productive by irrigation, but the settler must construct his own irrigation system.  Originally 640 acres were allowed in such lands, but the amount has been reduced to 320 acres, and the Commissioner of the General Land Office now recommends (1916) that it be further reduced to 160 acres.

In those parts of the desert region which the government has already reclaimed by irrigation, thus making the land extremely fruitful, the amount usually allowed a settler is from 40 to 80 acres.

There are regions where the land is suitable only for stock raising and for forage crops.  Here Congress has decided that 640 acres is a fair amount for the support of a family.