Land sale today

[furrowtickler]

One just east of us , $345,000 , it was purchased for about that amount 8 years ago by a "investor", some wiz banger from Calgary - well he never lost or made money but got about zero on his original investment plus a bit of rent every year..
Not all land in Sask is a rock star investment - just sayin..
Sold for about 4.5 times assessment which is about 1.5 times more than the current average but this has good location and a service road - dirt is ave at best for the area.
Other parcels are selling for mid range what they are worth.

[Hopperbin]

What is rent income? Does renter pay taxes? has origional investor ever even seen the land?

[Oliver88]

For this investor to acquire 5% ROI he needs to rent land for approximately $118 per acre.

(This assumes taxes are $10 per acre, land is 160 acres and cash paid for this land.)

[freewheat]

A quarter? As in over 2 grand an acre? What has been planted on there to make it feasible?

[Hopperbin]

I assume investor is happy with 2 percent. Cause the value of the land will always incease. Have a city friend chinese lady that mentions she has another chinese friend in city has some sort of chinese grocery store. Probably never paid a cent in tax since been here for 30 years probably should be shut down for sanitary, but thats beside the point. He believes he will farm one day while retired and actually only work 2 weeks out of the year. This is real. Chinese immigrants think and know how to work the system. Canadian but add nothing to tax base. Top it off they know chinese english and french. Soon they will run the country. Surpass bto like he is sitting on jacks.

[farmaholic]

That's kinda crazy. How the **** are any young farmers going to get a start?

You mentioned location and a service road. Do you mean beside a town or something. If that's the case, it had added value for future development. When are values going to re-align themselves with productive capacity, or never like Alberta. **** me.

[furrowtickler]

Not sure about rents but I would guess less than $50
140 - ac
Land lord paid taxes
3 miles north of city limits - zoned agriculture
No oil in play any where near

[farmaholic]

WOW. Rent, a whopping 2% of purchase price. Hope it was paid for with cash when they bought it. And no capital appreciation but at least no loss??

[Hopperbin]

Any chinese immigrant farm land owner anyone want to know how to **** them up?????

Just ask.

[hobbyfrmr]

I was all clever last year and ran the math on a quarter beside my bin yard. I fricking grinded mortgage calculators for 10 days trying to justify a high purchase price. I used organic and conventional scenarios , very very good land. I offered 296,000 for 140 acres. Thankfully,I wasn't even close. A semi retired farmer neighbor who had already sold half his farm to a BTO bought it for $425,000.
i could have signed up another property for the down payment, but I don't like being overly leveraged. I was just starting to get a little twinge of pleasure again with farming. I would hate for that to go away.......again.

[seabass]

Got a few sales coming up in the new year. By the sounds of it prices arent going down yet. Eventually shit will hit the fan and a major correction will occur and take some good farmers with it. Unfortunately!

[freewheat]

My banker said prices are certainly dropping round here.

Was talking to a friend west of us yesterday. Chinese dude who knows it all bought a bunch of swamp from a neighbor of his. Barely 100 acres a quarter, potholes and swamp. Chinese guy bought in winter when the land looked like Melfort land.

Long story short, Chinese guy lost his shirt, no one would rent it, and he sold it for pennies on the dollar.

Few more of these stories should clear up the mess!

Anyways, I am a firm believer that land is gunna go CRASH, like we have never seen before. A few missed stupid high payments is all it takes.

[BTO_farmalll]

FreeWhit,


And you'll Still Be on The SideLines Complaining Land is Too High!!!!!! Say Hows That Fence Comin, Wife Probly Wants Ya Outta The House By Now!!!!!! Like Geez Go To The Barn and Milk Some Goats Already With That Attitude!!!!!!!!!!!!!

[freewheat]

Whatever, you can buy the 2000 dollar an acre land, suit yourself. I am not that insane.

[BTO_farmalll]

Thought it Was $600 In The Wadena Hills Area????? Seen That Printed!!!!!! Whats $2000 an Acre Land????? Halfs Sellin Here fer $2,336,000!!!!!!!