Yeah that’s the mindset in 2007 ! Don’t worry what you are paying. Property will always go up ! Just like the drought in California. Things have a way of correcting themselves. Hold on to that cash at 5% and buy your dream place at bargain price when it hits. Oh it’s going to hit. Can’t sustain. Number libitards are giving Dems only thing they can. High stock markets. ALL BASED ON something someone reported.

Some people don't like risk. Lots of millionaires have been made with a steady buy and hold approach and the market average is about 10% over time. 2x those cds. And Cds we're what 1.3 % not long ago. For safe investment I prefer land and have no issues investing in the market. Mostly in index groth funds. I love the dips because that means what I buy each week is on sale. I don't like the highest but keep buying each week. Currently at 25% of my income but going to have to back that off so I don't hit the max limit to early and miss out on the company match.
I also have money going into the market for the kids each month. If they do nothing at all they should retire with around a million each just from what little I have put in and set up.

But I don't look and worry about mone they had gone into the market. I look at that the se as I look at the 100$ spent taking the wife out to dinner or the 500$ I'm going to spend in expenses taking the boys to wrestle in the state comp. It's all pretend untill you cash it in.

I'm not risk advertised. I want good returns and if I have losses I'm ok with that. No risk no reward. Also don't put all my eggs in one basket.

And 07 was just a blip. Markets on housing dropped stocks dropped. Land not really at all. And it was not long the markets recovered and surpassed whare they were before. If you were sitting in cash or had good credit there was money to be made. If not you didn't take a single loss unless you sold.

Not making any more land.
Have cash available.
Need more to expand for self/family.
Average the purchase and income over the whole operation/land that is paid for.

No one has to understand it or have it make sense. It is a different mindset and goals. Yes it will never pay for itself, by itself, but the operation will pay for it when averaged out over the whole operation.
You want a farm next/close to you that is up for sale? This could literally be the only time it ever comes up for sale.




Point of the example is that the 800 acres is owned in full and the profit can be used to buy more land. Someone owns 800 acres outright and buys 100 overpriced acres. The cost of the 100 averaged out over the income of the now 900 makes it a lot easier to manage.

Yes there are subsidies and you can throw in the crop insurance racket as well but this is the reality. The example was 800 acres. Depending on your area what if someone owns 1500 acres free and clear? 3000 acres? 7000 acres?

For the farms around here that are bought with cash who cares if the land market tanks and prices plummet? No loan, don't have to sell, can still make some kind of a profit, can always eat, different mindset and goals.

From his dad, lol?

My brother paid just under $2K an acre on the shore...
30+ years ago, and it had a tangled path to ownership


Logged it 12-15 years ago for about that.
And promptly bought more.

Maybe land prices will go down. But, there’s a fair chance it won’t in my lifetime. If you want it and can afford it, probably better just buy it now.
Inflation doesn’t correct but rarely.
I heard a quote one time that resonated with me- “nobody ever regretted buying ground once it’s paid for”.

My own perspective - there is no feeling quite like owning your own dirt.

Finally, there are a lot of seemingly smart investors managing REIT’s and farmland ETF’s that think farmland is a good investment.
My 2 cents.

During the depression people who owned land without liens made it without standing in line for free soup. If you borrow pay it quick as you can. Owning without debt should be a priority. If there is a big crash anything with a lien is gone. You dont want to be standing in the soup line.

FWIW we talked about buying the wifes dads old lot just to have. I dont want to have to pay the city for mowing or drive up there a dozen times every year to mow it myself.

Lots of variables. A 40 acre parcel locally 1/2 woods and 1/2 low will fetch $100K +.

A decent one acre buildable parcel off the Lake will fetch about $18,500

A very nice house on Mille Lacs just sold for 500K and they moved a trackhoe in yesterday to demolish the structure to make room for a Mc Mansion.

Wife has a tillable 40 in NW Iowa that is appraised at around 16K per acre.

That is what i was saying about big farmers,if you have 3000 acres payed off, you
can buy a new 500 acre farm and use that 3500 acres to pay it off in 5 years.
Plus they sell building rights off of them,and most have a house to rent out.
And on top of that taxes not bad either.( But i wish ranches and farmers could buy it all)
We don't need any more houses!!!

NE Missouri
When I bought 30 years ago tillable rent paid 4% and I was good with that. Property was investment I could use and enjoy. Had girlfriend that thought I should buy a house and settle down. I made wright decision. Now tillable selling $7500 and rent $135 per acre. With people in government screwing things up investors feel land is safer investment. Caused land to go up 50% plus. What I get mad about is other country's buying and renting are land. Dont know if still true but for while Japan was running there cattle on rented federal land. Also heard where using there processing plants in USA.

There is a 28 acre piece next to me, listed at $528,000. About half pasture, half woods. Lots of lookers, but no takers so far.

In 1982 bought 200 acres hunting type land could never farm it rocks, clay , hills low ground paid $75 per acre thru real estate co . Sold it 2004 for $1,100 acre , could sell today $2,500
acre easy , Invested the profit in land near home that could be farmed and that has went up very high i dont think young guys could get a start here without family money to kick start em

Something different is going on in this Kankakee River region that I live in, and it's almost impossible to defend against unless you have deep pockets. Here is my elementary understanding of it.....There is a federal push for solar with big money incentives being thrown around. Questionable land that may be worth 5-6 thousand an acre is being bought up by outside investors, at about 13 thousand knowing that when it's in the solar program it will be valued at about 20 thousand. There are individuals who don't know why anyone would turn down that kind of money, and there are individuals that are so rooted in the farming community that would never sell at any cost. Our society and community is changing and being transformed by the federal government by the use of private enterprise.

Socialism? Im trying to stop my use of liberalism.

So with all these overinflated land prices you have to pay down there,what kind of taxes do you have to pay each year to be able to keep it after you buy it?

With the stock market going up people are moving out of STl to be your neighbor. At least your house value will be going up weather you like it or not. Just dont send them up to Pike co.

Knew people with swamp land (not buildable) in NY saying taxes(over $10k a year) where so high was not able to sell land.

Yes and unless sub divided and sold as building lots . IT WILL NEVER pay for it's self!

Yes if it has been in your family and paid off.
I don't care if you pay cash for 3000 acres and you pay 10,000 per acre. Yes you don't have a payment but you HAVE TO RECOOP your cash back before you can say it was profitable. You do realize that is 30 million dollars price tag. This entire thread was about BUYING land at todays prices. With the risk of crop yield and fuel cost there will be years that the 3000 acres WONT have a 5 % profit. It only take couple years in arrow. Of course you could do what TONS of farmers have done . File bankruptcy let someone else hold the loss....EVERY big farmer around here has filed it at some point. Then next year have new equipment and ton more acres ........

In our case. The over inflated taxes being paid by the solar companies go into a state coffer that somehow comes back to the local county. It was explained by the local assessor , but I'm not schooled enough in government to grasp it. something about a 2percent cap. Sounds like money diversity to me. The farmers that are buying that ground to stop it are deep generational farmers.