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| Answer to the first question: Don't know. Historically, it goes up more than down but it does both. Also, how much equity you have, how much it goes up or down, and how soon after you buy it goes up and down matter way more than whether it goes up or down. Let me give some more thought to all of that: if you buy today with 20% down and it loses 30% this year, you have some trouble. If it goes down in 30% in 10 years, you'll probably be alright. If it goes down because corn is $2, you probably have a problem. If it goes down because interest rates skyrocket but yours are locked in, you're probably alright. It's all nuanced and it's all an educated guess.
Answer to the second question: Yes. Bought 100 acres in my 30s (now 38). Two purchases, first one worked out well and second one was a great family deal. Glad I did both. But I have also built 2 hog barns (one on a land purchase, other on a family lot on ground I rent- I own the lot) and have cattle not to mention over 600 acres of rented land to subsidize the land payments. They don't make themselves and I had money to put down on both. Don't just go in blind and naked. That'll be ugly.
Have a plan, execute plan, pray to God if the situation around you goes to hell you find a way out. And stop asking a chat board full of guys in their 60s who are already millionaires if they'd do what they did to become millionaires again. | |
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Land outlook
