Land changing hands ...

[SASKFARMER3]

I got some advise long ago when everyone is running one way go the other. Same in Business of farming its cycles.

I called this and almost everyone laughed at me.

We farm in Canada, No real support for farmers and weather is not kind.

Lost or never considered deals on any the last 10 years.

The game plan for the next 10 is now in place.

Were warming up with Plan B.

Ah, farming.

[furrowtickler]

I got some advise long ago when everyone is running one way go the other. Same in Business of farming its cycles.

I called this and almost everyone laughed at me.

We farm in Canada, No real support for farmers and weather is not kind.

Lost or never considered deals on any the last 10 years.

The game plan for the next 10 is now in place.

Were warming up with Plan B.

Ah, farming.

Same here , plan B slowly coming around. Pays to have patience sometimes.

[farmaholic]

There better be a successor in some cases if you have to wait too long to exercise plan B.

Some of us are out of time for plan B....depending on how much time you will need to fully execute and complete the alternative.

[ajl]

How long are the land investors going to stay in once they realize the millennials will never be rich enough to purchase the land back from them at inflated prices? So far the millenials have the parents money buying farm for them. That is a major difference from the 80's when the 20 year old had the mortgage in their own name. We all know how that turned out. Around here there are many 85 year olds that have waited too long to sell. Parcel for sale locally that the kids tried to sell last summer and is for sale now again. Land across the road from me was sold to an investment group a couple of years ago but the same operation farms it. All the signs of a bear market in real estate. It is different this time.

[bucket]

What I have heard some guys do to sell land is this.....they sell to an investor but the investor wants a renter before he will buy.....so the seller agrees to rent for X number of years ....then he walks away with the cash by just farming what he knows for those few years.....then its the investors problem to get high rent or take a bath on the investment.

For those agreeing to rent from an investment group ...it might be time to rethink that strategy...unless you are selling.

[AlbertaFarmer5]

There better be a successor in some cases if you have to wait too long to exercise plan B.

Some of us are out of time for plan B....depending on how much time you will need to fully execute and complete the alternative.

And therein lies the problem. There have been two major bottoms, or buying opportunities in Farmland in western Canada since the beginning of time. Entire careers have come and gone between those opportunities. How many producers were teenagers during one opportunity, and close to retirement during the next? I'm in my early 40's, If had taken the advice to wait for the crash to buy, I'd still be landless, while inflation eroded my purchasing power, and likely not at an age when I would be motivated to go deep into debt to buy land when the opportunity finally arises.


Saskatchewan prices do show a couple more bumps than locally:

[farmaholic]

Re: land prices....

I've been wrong... wrong... wrong..., since 08.

As far as Investors....leave them sit. Unless you like working for someone else or "paying" for their investment. Some land beside us was bought by an investor...I thought the locals were competing with "cash"...nope, there's a mortgage registered on a couple of quarters out of the seven they bought...assuming(unless I search every title) that that mortgage is against every quarter...thats $161,700 against every quarter....that the tenant is paying off.

The tenants are "established" farmers.

Everyone thinks the land is/was too much, myself included, but will rent it for too much from the investor when if they let him hang out to dry could have owned it themselves instead of being tenants!

Although, at these levels it is cheaper to rent than buy!

[farmaholic]

50 bu Canola / acre x 12.00 = 600 hun an acre !

If your a follower on twitter you get 12.50 !

Lots of room to pay the 120 / acre rent !

Smell the roses !

Then the bouquet is big enough to buy the dirt...before you're in it!

[Oliver88]

I got slammed by a few on here a few years back by calling this out ... but the truth is ... it was going to happen . The alarming thing is , after several decent years . But shit happens I guess .

What is causing the sale of land? (Retirements or shaky finances of farms)

What multiple x 2017 assessment is land selling for?

[quadtrac]

Where are all the deals on land??
There are lots of people that would like to know, myself included.
Sure no deals or cheap land around our part of the world.