Time to sell my farm land?

[gonfishn]

Re: Time to sell my farm land?

My family and i have a homestead in Mn. with about 700 foot of lake front. You must have at least 100Ft to build. My aunt sold my brother and myself 300ft for 25k in 1978. Three years ago i sold 100ft plus 2 acres for 200k. Then the bottom fell out in real estate and its up for sale again by the bank. I told them i would take it off their hands when it came down to 100k.

When real estate is good all win but when its down well...Flip a coin

 

[scipper77]

Re: Time to sell my farm land?

Why sell it all? I don't know what you paid for it or what you still owe but maybe you could sell a portion of it and still profit.

Really the decision is yours. I'm guessing that if you could afford to buy 140 acres then you are not hurting for cash.

 

[Cubbyblue22]

Re: Time to sell my farm land?

To whoever said that farmers are becoming the Rockefellers of today's world, I would double check that one. Just because prices of grain goes up, doesn't mean the inputs don't as well. It's one of the riskiest businesses we have, you can either make money or make nothing, even lose money. I personally would keep it because you can make money leasing it out every year by basically doing nothing but owning it, look at it as a steady income. Although, the thought about re-investing it into more farmland back home would be another great idea as well. The way I see this is whenever I think of landowners, I have not once thought about someone struggling for money. You almost always can make a profit by owning your own land.

 

[JB]

Re: Time to sell my farm land?

No. The time to sell it is when you need (not want) the money. In the time between now and then you should see continued appreciation. No other investment has the potential of land for long term appreciation.

I am selling most of The Hideout this week, but only because I am out of money. It is the last major asset I have.

 

[bassman284]

Re: Time to sell my farm land?

I realize this thread is a little stale, but I found this link in an unrelated forum and had to bring it in.

That 13 G was for farmland, kiddies! Apparently a lot of farms going for $8,000 to 9,000 an acre recently. Sell, Bubba, sell! When the bubble bursts, you can pick up more land for cheap.

http://www.desmoinesregister.com/article/20101205/BUSINESS01/12050343/Why-farmland-is-skyrocketing

 

[PiratePast40]

Re: Time to sell my farm land?

I believe the new legislation that was just passed extends ethanol tax credits. That may help to delay your decision for the immediate future.

As an interesting side note:
I don't have anything to do with the books on our family farm land in Iowa so can't give any specifics, but the state has unbelieveably accurate records on land yields that are mapped by GPS. From those maps, you can determine the approximate yield for practically each square yard of cropland. The state even has projected crop prices and determines median lease rates for the parcel. If you haven't seen one of the maps, it's pretty impressive with the farm divided into sectors based on yield.

 

[JJGOLD]

Re: Time to sell my farm land?

I still own land in Iowa (140 acres) and with the lunacy of the market this year I am honestly thinking about selling it. I don't live on the land and don't even really farm it. I rent to another farmer in the area. Land less than 20 miles from mine recently sold for $13,950 an acre !!!

Yeah, maybe its time to cash out...

Here we are 6 months later, hope you didn't sell.

Farmland prices in Iowa have appreciated over 20% in the past 6 months!!!!

 

[scipper77]

Re: Time to sell my farm land?

Only by accident I still have it. I had a buyer and his financing fell through. Maybe in the spring...

So are you selling all of it or just part of it. I would imagine there are a few more hoops to jump through to sell it in pieces.

 

[DJ]

Re: Time to sell my farm land?

Nope. NOT time to sell. Land prices are at All time lows. Hang on.

 

[Bucks45]

Re: Time to sell my farm land?

Several hundered acres.

Wow.....farmland has been going for $5500-6500 an acre around here! My wife and I have just under 600 acres. We lease it to the same farmer my father-in-law leased it to when he retired. The going rental price around here is about $200 an acre. Money is too easy to give up. I would keep it.