Heil Harvesting, Ulysses KS/Limon CO | It seems the land market is perceived as nuts. But if ground is consistently selling for that, that is its value. Money is smart. There was someone there (sounds like a local PRODUCER) thought it was worth one bid increment less than that. The real misconception here is the lands value.
Land is a hedge against inflation. Lots of outside interest in land as a result.
Farmers who 1031 want to farm. Outside investors who 1031 for farm ground are looking to continue for a safe steady return on their money and a hedge against inflation. They also hope the asset continues to appreciate.
I agree, there are a lot of misconceptions of 1031, but the grounds value is the misconception here. The ground brought what it WAS worth, someone else (a producer) pushed the bid to that value.
Edited by beh 12/4/2010 21:35
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Someone explain to me how a 1031 exchange is good for farmers...
