Investor land...

[furrowtickler]

Was told today that some land owned by investment groups is going up for sale ??? $1400-1500ac.
If true , I told you so. When they see a chance to get out,with some doubling money they will be gone. They got in made a profit and will be out. ROI with current land prices and slipping commodities will be slim to none. Could be a sign of peak land prices?? Not sure but the first indications are there if story is true.

[farmaholic]

Prices have only reached the $1500 level recenty where I live SE of Regina(not gumbo). I wouldn't be real comfortable paying these prices, I think there will be a correction. I wish I had a crystal ball that worked. As I have said numerous times before, the land that did trade around here has been bought by non ag money, seems the guys who only farm for a living don't seem interested at these prices.

[phoenix64]

yup pretty obvious some people gonna get caught holding the bag.... remember the old man gettin $9/bu final payment all in, back in 1978, that price adjusted for inflation in todays dollars would be approx $28/bu!, dad was laughing all the way to the bank. Now world price of wheat is dropping from 9 to that 7.5 range, oh ya shit is gonna hit the fan very quickly.

[Jagfarms]

Some land just sold in our area for over $1700
acre. I am hoping that is the peak and the prices
come down again.

I just built a new seed cleaning plant and wont
be in the market for a few years.

I could only buy 2 1/4s of land for the price of
the seed cleaner so i dont feel to bad about
building it a todays land prices

[Oliver88]

Question - What accessment value is on the land
that is selling for $1700 per acre?
$272000 per quarter is a huge price.....but it
would depend on the assessment.....at 80000 that
would be 3.4!!

[Jagfarms]

Land accesses at around 69,000. There was 2
gas wells per 1/4 on some of the land.

[MBgrower]

$1500/ac near Regina still sounds like a bargain to me. In Central MB, gumbo-flood prone land trading for $3500 - $4000 /ac. I was considering selling my MB land and buy in SK, doubling or tripling my land base.

[farmaholic]

MBgrower: Where I farm land is just
average and variable. Not the best and by
far not the worst. Land should be priced
according to what it can produce, in some
areas other factors contribute to its
value.

[ALLFARMER]

Ya and new farm equipment and new pick up's
should be priced to what their worth too. My uncle
just bought a $70,000.00 Dodge Long horn.

[phoenix64]

yah crazy allfarmer but somebody is paying for that truck therefore creating demand.

[farmaholic]

Allfarmer: Personal or "Business"
vehicle. Depending on what he is doing
with it, earning a living or playing.
Ultimately his business what he does.
What is the retail price of it? No
different than the shit I need to buy to
make a living with... overpriced. But
think of all the warranty--well paid for!!

[blackpowder]

land here is $2500-$3100. Sales very slow, but all
farmers. I don't think it will fall in half like the last
boom. My generation will be the last mid-sized
farming in our district.

[tstep]

Some land in west central has sold 1500-1550 per acre. Not sure what the assessment is on what was sold. Some more beside me did not sell because they didn't get 1600/ac. Which is 4.36 times assessment. This was investor land and they were trying to get out. Now they are trying to rent for 5.5% of the value (1600.00) plus taxes. Not sure how much interest they have had yet. I'm hoping for a correction to get rid of some of these guys.

[ajl]

There was some land offered by this HCI
ventures in the Nov Western Producer. My
guess is a lot of it did not sell. On
sask Kijiji there is a lot of land by
Freshwater Holdings including a 3500 acre
block near Yorkton with rental contracts
in place offered. Suckers wanted I am
sure. So the smart investors are trying
to get out.

[tstep]

It was HCI Ventures that sold some in west central but still have some in area. Hutterites are the ones that bought.