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deep SW On. | derby - 2/9/2014 20:11
No I am just curious how this land deal is going to work on even just $10,000 per ac. . I am not the best at math, but if you take a 1m at lets say 3% interest is $30,000 just for interest. So that works out to $300 per ac. and still have the principal to pay down. Now I am just talking cash crop ground that I am familiar with. Just asking?
If I was to by it I would want too lock interest rate in for at least 1/2 doz. yrs. or more so interest rate would be 4.25 , so int. and principal with 0 down would be $743.04 an acre + taxes for 20 yrs. .......and all principal is after tax dollars,I was wrong not buying a few yrs. ago at $3k an acre but I don't want to be wrong again @ $10k ....... we have had a few yrs. of excellent yields here , if we start to get big spring thunderstorms from the lake or drought we could easily end up with 25-30 beans and 100 corn.........and yrs. ago machinery was not a big factor but fuel,mach.,ins. isn't cheap........and I know Iam not the smartest as I have been told how stupid we are for still feeding livestock ,,,,,FWIW I was told the same in late '70's before the guys commenting had forced bank sales | |
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For the guys going to the Texas marketing breakfast tomorrow
