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east central iowa | look into the fsa beginning farmer loan program
lesser quality ground can produce a greater roi since there is less demand for 60 csr ground than 90 csr "here" you might not have to pay inflated prices, if you have the time to take care of it right. my yields off of lower csr ground give up a little yield, but not as much as some might think, but I don't farm a lot and can "baby" that ground
Don't be afraid to walk away, I went to an auction to buy a farm, did not buy it that day because it went past my limit. 3 years later it was for sale by the investor that did buy it, and I now own it.
You can always buy ground farther away and then 1031 for ground that is closer, that can also be a nice inflation hedge (although might deflate value in this farm environment)
most times anyone that has bought ground has felt it was too high, only time will tell if it was good timing or not.
If this land market is like 2010 then higher values will be following this retraction in land, or is it the 80's and you should sit back and build a warchest of cash and be able to buy 2 or 3 times the amount of land in a few years? that is where you need to have that crystal ball.
I would say that run numbers and make sure you can handle a stress test on your finances if crop prices take a dive, but like others have said, if you wait for everything to be perfect you might not ever own land
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10 things to know before buying farm ground
