Farm Land

[tstep]

Comments on pension funds buying up farmland??

[HappyFarmer]

Just heard some is Swan River valley sold
for 2900/acre. Crazy

[SASKFARMER3]

Oh we'll a 3 bedroom privates gated condo on 6
th floor ocean view is 2.9 mill in the cayman. Our
land is way to cheap. Why sell! To pigs. I still
believe a lot of widowers and smart investment
bankers are going to be crying when the shit hits
the wall. See they still have to have idiots farm the
land. I for one am not going to do that and most
farmers should do the same. Farming by spread
sheet only works so long as you have a sucker.
God it's a beautiful day!

[sumdumguy]

What you up to today. I am just going to find the
shovel - more snow.

[MBgrower]

OTPP buying up Manitoba farmland. I heard they are bidding $500-$1000/acre over what local farmers willing to pay.

They must be bullish land values as $110 acre rent on $4500/acre (poorly drained) land is only a 2.5 percent gross return.

Most blue chip stocks pay higher dividends??

[Horse]

Sask 3 You are alwawy complaining about rents and prices I see in Kramer auction catalogue rent from $67 / $105/ acre by auction . NOw is the market always right or is that only when it fits ones purpose. Accessed value from under 2 times to over 6 times accesed value now I dont know the locations or quality of soil but I do have to think those that bid those prices know something or they wouldnt be in the game.
About all those auctions are they forced or just a business dicision, some pretty new iron on lots of them.

[hobbyfrmr]

Horse, Good question. I would like to know that as well. Most folks would call it a business decision. Nobody really talks about "forced" decision, it doesnt look or sound successful. This would set a less than positive tone for the auction.
I cannot buy one new of anything, and yet I see an auction near Regina with 3 sets of one year old everything! I have tried to figure out for years if I am jealous, or snoopy! I dont wish bad on anyone, so I guess I am more snoopy. It would be interesting to know if its millionaires retiring,capitalizing on high values and grain prices. That is what it should be if everything worked out as planned.

[SASKFARMER3]

Horse idiots over pay vultures win.

[freewheat]

Though as I mentioned before, our area
has not seen the crazy rise in land
values other areas seem to have. BUT,
that does not mean guys are not still on
the hunt for land. There are three or
four ads for land to rent buy in our
local paper, by young guys looking to
farm. Guys who already farm 4 and 5 and
6 thousand acres with their daddys.

It is not because it is "smart business"
that they are looking for land. It is
their attitude. It is in a certain
streak of farmers, that pitiful
desperation to grow grow grow, even
beyond making economic sense. Yes, to
answer the question above, it often does
NOT make economic sense. It is a
desperation measure. Some guys just have
this itch to get more, more more. Just
the way it is. Many of them try to
justify it by stating they are not
making land anymore.

What a crock?!! What really gets me is
these guys are trying to get bigger, yet
are not married, have no kids, their
dads are 60 plus, and yet they use their
dads free labour and established base of
long paid for land to be big shots.

Bottom line?

They do it because they can, not because
they have an actual NEED for more. It is
because their dads put them in a
position that they CAN. Economic sense
or not...

[SASKFARMER3]

Freewheat expand in the shitty years and sit back
and enjoy in the good. Some will fail and it's a
surprise who!
Three generations buy on the down turn.
Also you really realize how poor you are when
you travel to wealthy countries.

[Burbert]

IT'S CALLED VOLUME ECONOMICS. Get wit the
program, er get runned over by yer
neighbours and investers. Everthin
changes whether Saskframer 3 likes it er
not. Back from holidaze already?

[rhoff]

I would be interested to know what land prices in
the late seventies were adjusted for inflation. I
wasn't around so maybe somebody older can fill
us all in.