Land market continues to ease

[ajl]

I am south east of that St Micheal land that sold yesterday. I would say that it sold in line with what other comparable land in the Andrew and Two Hills area to the east sold for the past two years. The wet years 17-20 really held land values back around here as compared to the Vermilion area to the east. That area has had fairly good crops since including 2021 when areas further south had drought. This year looks wet again as potholes are full again which leads to reduced production around here. Zero percent interest and fcc emergency loans are keeping land prices from dropping at the moment. Interest rates are 1.5% higher in the US right now.

[furrowtickler]

We nearly hit our net zero target in 2021 . Low production in those two years really stung , watched very high grain prices from the sidelines.

[blackpowder]

Hola , no wonder everyone driving around in Escalades there lol
Definitely areas with a tremendous amount of wealth , good to see .
Land was 1/2 of that here that past year or so

I'm so old I noticed something.
When I was young it was quite rare to hear a congrats over someone else's fortune.

[AlbertaFarmer5]

It would be my completely unscientific observation that driving around in a luxury vehicle indicates the opposite of actual wealth.

That is usually all about image, has a negative correlation to any ability to actually afford said vehicle.

[wheatking16]

How much are you offering?

Not interested in your kidney.

Your liver would have interested me 20 years ago.

[wheatking16]

It would be my completely unscientific observation that driving around in a luxury vehicle indicates the opposite of actual wealth.

That is usually all about image, has a negative correlation to any ability to actually afford said vehicle.

A luxury vehicle only costs a few hundred dollars per month more.

[Marusko]

I am south east of that St Micheal land that sold yesterday. I would say that it sold in line with what other comparable land in the Andrew and Two Hills area to the east sold for the past two years. The wet years 17-20 really held land values back around here as compared to the Vermilion area to the east. That area has had fairly good crops since including 2021 when areas further south had drought. This year looks wet again as potholes are full again which leads to reduced production around here. Zero percent interest and fcc emergency loans are keeping land prices from dropping at the moment. Interest rates are 1.5% higher in the US right now.

thanks I was hoping to hear from someone more local. In our area prices are still going up.

[AlbertaFarmer5]

Land auction today about 40 km west of Red Deer. 6 quarters, averaged to $7700 per acre. A lot of it was pasture, one mostly farmable quarter, (except maybe on a wet year), sold for $1,510,000. That is up from a nearby quarter last fall for $1,350,000. The one last fall was arguably a better quarter and further east, which is important when your this far west. Same buyer.

Doesn't look like the local land market is easing.

https://bid.oldsauction.com/auctions/1683786/lots

[farmaholic]

$7.06M
Wow.
I didn't think it was that much of a Ghetto here.

[AlbertaFarmer5]

$7.06M
Wow.
I didn't think it was that much of a Ghetto here.

This is in the area which consistently has the highest yields in the province as per AFSC.
Lots of oil revenue.
Lots of development potential. The quarter with the creek sold for quite a premium because of the recreation value.
Mountain view.
Jobs.
We've had a few consecutive drought years, which has made the yield difference even more stark.