Beef08
Well-known member
what hurts around my area, and especially in the south is hunters buying land then jacking the price up when trying to sell it.
Caustic Burno":2b60dbsv said:stocky":2b60dbsv said:Beef, keep your eyes out for land that someone needs to sell in a hurry. Also look for land with few, if any improvements, so the price will be less.
Caustic, you are absolutely right about the land not always going up. Every so often it crashes and washes out the people who are in a tough financial situation. They lose everything.
Cfpinz, the things that caused our land to drop from 2,000 per acre in 1980 to 200 per acre for the next 15 years were, Horrible droughts for 3 years, 2 years of grasshoppers destroying everything, interest rates going to 23 percent, cattle prices falling from 1000 per cow to 200 per cow, feeder calves dropping from 1.10 per pound to 40 cents per pound, Round bales of hay going from 10 dollars to 60 dollars, dairy feed going from 3.50 per hundred to 17.00 per hundred, milk price going from 10 dollars to 3.25 per hundred, the outlawing of foreign ownership of Missouri farm land. All of these things and more contributed to the crash in sw missouri that destroyed most of the farmers and left hundreds of thousands of acres owned by banks for 15 years that they couldnt sell for 200 per acre. All of these with the possible exception of the foreign ownership rules could happen today. Also the other possible crash instigators today are fuel prices, fertilize prices, equipment prices, recession, depression, inflation. We live with those possibilities every day as farmers. It doesnt matter what land appraises for, it is only worth what someone will actually pay for it at that given time.
There is a lady that has 15 acres that butts up to mine. I have been trying to buy for years. Her and the husband bought the land in the early 80's when the S&L's were going. He died and she is still wanting what they paid for it and can't sell it as it is still overpriced for the area. Every year I offer what the going rate is and she comes back but we paid this for it, I just shake my head and walk away.
backhoeboogie":shws7ma6 said:I have never gone wrong buying land but have gone wrong selling land by not keeping mineral rights. Land has always sold for significantly more than what we paid. Maybe we have been lucky.
If you are just starting out, 10 acres can always serve as a place to live and hold heifers. Maybe to feed out steers, or hold your bull until breeding time if you wind up with a larger place near by later.
A new pick-up is going to lose its value absolutely. Land will always be worth something. Even if the price of land drops, it won't be as bad.
There are people spending a lot of nickels on 4 wheelers, ski rigs, and cars. It is all financed and by the time its paid for there is not much value in it.
If you are not going to invest your money in growth, invest it in something that will not lose most of its value. I think land is good investment if you don't over extend or don't over pay for it.
Sadly there are many who have not much of anything saved from a whole life of work.
dun":187le49v said:A couple of years ago we sold 160 acres of timber for 1000/acre. The idiot that bought it built a 60X100 all metal building with a house sort of deal in one end. He died and his widow had it logged and mow wants 325k for it. Number one it's been logged, number 2 the building is way, way over built for the area. I offered her 200k and she was insulted. Ah well, in another 10-15 years it may be worth almost what she's asking for it.
Caustic Burno":sn8hqfw3 said:Well she has had it for over twenty years and it is still priced at over market value plus paying taxes on it and not using it. Sounds like they made a smart finicial move.
Well she is in her upper 80's, know the kids will sell it for a song and dance as they are Dallas yuppies and have no interest in the place.
Talk about an idiot who would give 4000 an acre when it is still marketed at 2500 today and cheaper. Thats what they gave for it. And why she can't sell it.
ETF":39xs1jao said:For what it's worth, St. Joe Paper Company is the largest landowner in Florida. They are in the process of getting out of the timber business and into the development business. They harvest timber near desirable areas, then plan a development and sell the land. Their latest plan near Tallahassee was to sell 10 acre ranchettes for $40,000 per acre!! That got knocked in the head with the collapse of the housing market, but they will just wait and dust off the plans when the market recovers.
Beef08":3textghj said:I want to be able to buy a farm in the next ten years, does anyone have any advice that might make the saving of money easier or any tips of how much land to buy? or just anything to say?
Lammie":3ukgxx28 said:Marry money.
stocky":2vj5hkff said:Lammie,
I don't know, but I have been told that it is just as easy to fall in love with a rich girl as it is a poor one. Sounds like that might be the secret to being able to afford that farm.
dun":28l0s8ar said:stocky":28l0s8ar said:Lammie,
I don't know, but I have been told that it is just as easy to fall in love with a rich girl as it is a poor one. Sounds like that might be the secret to being able to afford that farm.
The hard part is getting the rich girl to fall in love with you.
KenB":5mfb9t4w said:dun":5mfb9t4w said:stocky":5mfb9t4w said:Lammie,
I don't know, but I have been told that it is just as easy to fall in love with a rich girl as it is a poor one. Sounds like that might be the secret to being able to afford that farm.
The hard part is getting the rich girl to fall in love with you.
:clap: :clap: :tiphat: