|
| Land prices doubling or more doesn’t help pay for land. Good marketing and/or making fortunate sales pays for land. $7-$8+ corn and $16-$19+ soybeans pays for land. Land prices doubling makes your loan officer less concerned as they are in a better position.
Rising land prices help someone who buys in with low land prices use that increased equity as down payment on more land while paying for existing land. I started buying land in 1986 in the lowest calendar quarter of land prices since the 1970’s. I’ve been debt free for a couple months total since that purchase. I’ll retire with debt, but the plan is for rent to make the payments. Bank cd’s pay better than my locked mortgage interest rates now. I’m not buying now. I did buy another 240 acres of fence line farms before the big increase. | |
|
Buying a farm that's not for sale.
