Dealer Getting to be Very Large Farmer?

[checking]

Would you know with the govenment trying to prevent a housing bubble in Canada by inceasing the downpayment a first time house buyer needs, if that also applies to those buying bare farmland? Some are saying they don't know which way farmland values will trend, just like a house.

If it were a straight cash purchase, ColevilleH2S, you're likely correct. However, that extra, neighbourly, income as a down payment could easily become as toxic to your land expansion plans as a dealer's outright buy. It could be the tipping point where a non-competitor becomes a competitor. So, I don't see your selective avoidance of one group over another.

Sorry, but thank you for the input. What do you say SF3?

[cottonpicken]

35 year morgages and well there is no housing bubble
says captain flaherty and first mate stephan harp,but
we are uping down payments because.....

[SASKFARMER3]

Their is a huge housing bubble, Crap old neighbor just sold his house down the street for 695,000.00 and guess what its bought by a nice young couple with no kids. Guess what there is a housing bubble these guys will be paying for years.
Now on the land issue, if a plumber buys property or rents no problem, I could have been a plumber or electrician or what ever. But if I want a small dealership guess what no way not enough volume for 10000 acres and they wont sell me one.
And oil company Ill rent it from them, But paying for product and then having that firm in turn compete against me for rent that's wrong.

[fjlip]

This similar to One Earth with suppliers involved with shares or contracts for a whole range of inputs and iron. Should we buy those products when their investment will influence what we pay for rent, and give a cost advantage to One Earth?

[Ron]

WTF? "But if I want a small dealership guess what no way not enough volume for 10000 acres and they wont sell me one" Big deal, you dont want a dealership you want to bypass the dealer.
You said you only wanted to supply your own farm, thats not a dealer. Thats you trying to buy cheaper.
Quit whining about it.

If you dont like a fert/equip dealer farming then dont deal with them.
From your posts you already shop around constantly so you have no loyalty and should expect none. From the whining about input prices, elevators (and/or CWB) screwing you and (gasp) other farmers daring to want to either be bigger than you or the little guys not enjoying being outbid or bought out by you I dont think anybody would be really hurt by losing your business.

You have some really good posts but this isnt one of them.

[SASKFARMER3]

Sorry Ron but this post asks the question is it right for Dealer to take over farms. It happens in allot of areas I am just looking for discussion its not a case of it hurting my operation its just I am PST at this taking place. But shopping around will send a message fast.

[may-be]

Our JD dealer been gobbling up land too. The other shareholder did not like seeing some people turning red because of this. This conflict made the farmer to sell out his share this spring.

[SASKFARMER3]

Good point my question has always been why bite the had that feeds you. Simple isnt it.

[Ron]

My comment wasnt meant as snappy as it sounded but I still dont see the difference between a fert/equipment/dealer competing with you and a neighbor bidding against you?
Farming is becoming less and less of a priority for me so our viewpoints are from opposite ends of the spectrum. (I am pretty sure as long as we stick to marketing issues we are on the same page though)

Ron

[DogPatch]

years ago farmers use to be able to buy chemicals from some suppliers and then turn around and sell for their cost. They got their product for the same price as the dealer then. Never any margin left to pay for regular dealer costs like labour, fuel, electricity, hydro, security, inventory carry over, Customer appreciation days, community donations etc. I wonder what a CPIC Warehouse costs to maintain? Been out of that racket for alot of years now.

[malleefarmer]

Its happening here in aust dealers buying land. For what its worth most aussies are supportive of it, the dealers actually go and get there hands dirty and understand real problems.
Plus they seem to put a floor in the market somewhat they seem to buy value for money farms rather than top dollar purchases.

[JACKFLASH]

Sask. Are we talking about Precsion Ag, Was just taking a circumfrence of 106 miles and hey seem to fall in that circle.