Capitial Gains

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I think one of the best opertunities is farm ground of any kind. Most of it, at least here, sells for what farmground has been worth in the past but commodity prices are going through the roof and every day we open new export markets as the world population grows. In general most farm prices should increase but apraisal farm prices should remain low for awhile as apraisers will look at past sales to determine worth.
 
cow pollinater":16tksbeu said:
I think one of the best opertunities is farm ground of any kind. Most of it, at least here, sells for what farmground has been worth in the past but commodity prices are going through the roof and every day we open new export markets as the world population grows. In general most farm prices should increase but apraisal farm prices should remain low for awhile as apraisers will look at past sales to determine worth.

I'm increasingly concerned a bubble is building. Land is selling for lots more than it will return if <anything> happens r.e. demand. At the end of the 1970's it was Jimmy Carter's soybean embargo on the Russians. Beans went from $12.00 to $4.60 and the $4,60 lasted a while. Could ethanol subsidies go away? People are just land crazy.
 
john250":34mzv2t7 said:
cow pollinater":34mzv2t7 said:
I think one of the best opertunities is farm ground of any kind. Most of it, at least here, sells for what farmground has been worth in the past but commodity prices are going through the roof and every day we open new export markets as the world population grows. In general most farm prices should increase but apraisal farm prices should remain low for awhile as apraisers will look at past sales to determine worth.

I'm increasingly concerned a bubble is building. Land is selling for lots more than it will return if <anything> happens r.e. demand. At the end of the 1970's it was Jimmy Carter's soybean embargo on the Russians. Beans went from $12.00 to $4.60 and the $4,60 lasted a while. Could ethanol subsidies go away? People are just land crazy.
Around here there isn;t any land selling, but we don;t have crop land, just timber and pasture.
 
john250":2ki30v65 said:
cow pollinater":2ki30v65 said:
I think one of the best opportunities is farm ground of any kind. Most of it, at least here, sells for what farmground has been worth in the past but commodity prices are going through the roof and every day we open new export markets as the world population grows. In general most farm prices should increase but appraisal farm prices should remain low for awhile as appraisers will look at past sales to determine worth.

I'm increasingly concerned a bubble is building. Land is selling for lots more than it will return if <anything> happens r.e. demand. At the end of the 1970's it was Jimmy Carter's soybean embargo on the Russians. Beans went from $12.00 to $4.60 and the $4,60 lasted a while. Could ethanol subsidies go away? People are just land crazy.


Land pricing is local. There are hot areas and cold areas. The outside money bidding up prime corm belt land is not interested in many locals.
Yes - since income does not drive most purchasers there may be a profitable window for producers, but I think a safest play would be to contract the future production from leveraged land.
Pretty standard for crop producers. Is there a method for livestock too?
 

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