Worst Investment Out There? Farmland, Investor Says

[furrowtickler]

Sk wheat - I had to chuckle at the NDP comment - so true
As for guys wishing land will crash - never once seen that statement here. Some are thinking a correction is coming or overdue - but not a crash - don't get your panties in a knot .
Land values and rent still going strong here - only time will tell if it holds

[SASKFARMER3]

I said I bought all ours at 50 to 70 and nothing now ! Meaning that was the time to buy!
I'm saying a correction is coming! That's it! How low is any ones guess!

[cottonpicken]

Gartman doesn't have the best track record he is a rolling joke in some circles. The main factors will be price of grain and interest rates. Very worried about ethanol and corn factor he may be right. Oil tanking is bad for us. As far as stocks they are sky high along with bonds and everyone now seems to sence the global economy is dragging.

Weird times.

[freewheat]

Back in Joke ag, I remember a chart on land values we were shown. Every single time commodities flucuated, land values followed along, with a two or three year delay.

Maybe we are in a different world though now? Less droughty conditions lately. Guys think 9 something canola is low. Lots of wealth was built the last several years in the blessed areas, which changes the dynamic a lot.

[jake550]

Truth is that it's anyone's guess I'd say... however it's pretty simple math that most of us knew before kindergarten that at current costs vs income it doesn't ad up. Something will give in time...

[freewheat]

Any kind of weather disaster will hurt too.

[furrowtickler]

Free wheat - lol , I clearly remember that as well , one of the few things that stuck in my mind at that time

[canolacrazy]

that's what i like about agriville. lot of opinions. pick one. many will remember an economist from toronto predicting $200/barrel oil just around the corner a couple of years ago. made front page news. haven't heard much from him lately. contributors to agriville may be just regular people in agriculture, but i find a lot more common sense here then in report on business.

[ColevilleH2S]

My 8 year-old has more sense than Jeff Ruban. How he ever rose to such prominence is beyond me.

[farmaholic]

To assume people who forecast a correction are hoping for a crash is silly. Who wants to see the bottom fall out of their largest asset? And it would be just as foolish to deny there isn't a correction looming, it happened in the past and will again. Reset time.

My comments of liking to see the people who are going to farm the land own it is my opinion, as I have a right to mine, you have a right to yours. I would rarher see the neighbors and young farmers gain equity than pay rent to some foreign landlord or
investment cartel be it domestic or foreign.

To each their own. But land prices right now are not based on the ability for it to pay for itself. Wait for the decline in the rate of appreciation land has enjoyed the last several years and the only return is rent. With any luck the investors will never experience sharp declines in the land and renting their land for taxes if they are lucky enough to even find a tennent. Remember?