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cropsey, il 61731 | Paper is full of land for sale more so than previous years and surely there are investment types that are making an exit with a tidy profit and prior to returns potentially going down (rents). Not everyone with owned ground bought land so I imagine there is cash out there (price really isn't the issue for them or me if I had cash and land I wanted). Some bto's may still have some of granddad's money or have a banker that isn't paying attention. Anyway, I can see some 'catch up' buying from previously earned dollars, but new profits are not supportive of high land prices (Capt Obvious statement).
Once the first flush of buying gets done, prices will be waiting on an election. If we get more of the same, investment money may not leave land since it has some positive return (though demands for high rents may fall on no ears, even the bto). If we get a more business friendly, low regulation, non world is ending due to climate change leader, money will have lots of other choices - choices investors are more comfortable with btw. We could have an orderly exit from land ownership or a run for the door. I guess we'll see. Important thing to note is that farm land tends to be owned by farmers. It will always be expensive, but if we are getting 1990's grain prices, buyers will be thinking 90's land prices. It's like considering a Ferrari Enzo as your parts running car - way too expensive therefore it doesn't happen very often (or ever). | |
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Champaign Land Sale
