|
Boone Co. Iowa | I agree about the fluff baked into the cake. Similar to the 80’s when land was going for $3000+, 5 years later was selling for $1800.
We had awesome corn and soybean yields last year as a nation. Every farmer has opportunity to purchase heavily subsidized crop insurance.
And the U.S. government gave farmers $40/ acre on corn and $30/acre on beans…….
Anyone pricing fertilizer or priced upgrading machinery?
Kookier points out the interest cost on 50% land equity….
I fail to see how $15,550 ground that yields 225 bpa corn at $4.25 makes any sense at all.
Maybe I just need to use 245 bpa and $5.50.
Paper wealth in this country is absolutely incredible. I think at this point in time, most wealth is just avoid taxes. Land has more worth as a tax avoidance scheme than the corn it can produce.
Or, land has significantly value if you know the next generation or 2 wants to farm.
| |
|
Well Heeled operations from below
