Land prices

[Hopperbin]

Every city person knows that land values always increase. That is if you live close to the city. Some investors are purchasing swamp land and leaving it unfarmed. Will be interesting the farmers will cut back acres if the price is too high. Hopefully. Unless the some that are maxed out on the machinery deals. 0 interrest not neccessarily the friend. Gotta admit purchasing with no money down just a broken down trade and 0 interrest is hard to resist. Grassfarmers history experience is worth a lot.

[bucket]

Gervais makes me wonder if he knows when to wipe his ass after the shit kicking fcc is going to take after broadacre?

That might be harsh - just putting it out there.

[Kodiak]

Bucket. Do you really think FCC is unsecured on that land? Ever bothered to understand a property mortgage?

[bucket]

Remember when guys took write downs on their loans a few years back. They never paid back what they owed and now many are doing it again.

Most ended up with land for 25 cents on the dollar.

I suspect pike will come out of this unscathed. And richer in the end.

[SASKFARMER3]

No bucket this time pike signed personal guarantees both him and wife. Bye bye house in calgary!
Also FCC is covered very well it's land mortgage the ones who are screwed employees and all unsecured.

[phoenix64]

Yes interesting point, I phoned fcc 3 yrs ago when things were falling off the rails, told them I was gonna double down if they were gonna repeat the same scenario with loan write downs like the 80's, they assured me then they were well secured.

[grassfarmer]

An interesting comment I heard recently regarding FCC and land prices was that the average price of land in Canada more or less mirrors how much FCC is prepared to lend. Bit of a chicken and egg situation and if the Government backs FCC how much are land values really "market driven"?

[jake550]

FCC should stick to acting like a bank for farmers and ag business. Not manipulating land prices. They and other banks that were aggressively lending money for over priced land are going to have some people in trouble soon with any increase in interest rates and without some recovery in grain prices

[jake550]

FCC should stick to acting like a bank for farmers and ag business. Not manipulating land prices. They and other banks that were aggressively lending money for over priced land are going to have some people in trouble soon with any increase in interest rates and without some recovery in grain prices

[BreadWinner]

FCC does not inflate the price of land, they are the only lender that would lend more to farmers to compete with these outside buyers. If it weren't for FCC farmers would be renting allot more investor land.
If you can't afford the land come up with a better plan to achieve your farming goals. Start by partnering up with the older generation and earn your way onto a piece of land.