That's a good thought- I hadn't thought of that yet! 2016 Hoyt Defiant 30 Ridge Reaper Easton FMJ 400 125 Gr. Muzzy Trocars Sure-Loc Lethal Weapon Max Trophy Taker Nock Down Pro
From my backyard looking out into the property: 2016 Hoyt Defiant 30 Ridge Reaper Easton FMJ 400 125 Gr. Muzzy Trocars Sure-Loc Lethal Weapon Max Trophy Taker Nock Down Pro
I believe land is a good investment if its the right land. In my life it has never dropped in price. I never bought land for not much more than the accessed tax value because if you do you will pay higher taxes. This wont affect you because most of it is ag land. IMO with that much of it tillable its a pretty good deal if you can get it at the price you are considering to offer. Even though commodity prices are not very good at the present time, tillable land is still going for 6-10 K per acre (more or less) in some areas in the Midwest.
We have some good black dirt tillable in my county going for about that same 6-10K... 2016 Hoyt Defiant 30 Ridge Reaper Easton FMJ 400 125 Gr. Muzzy Trocars Sure-Loc Lethal Weapon Max Trophy Taker Nock Down Pro
Heck we have marginal ground goin for that. Heard word of a farm goin for 15k acre late summer early fall. Land prices are getting little crazy Sent from my SM-G900R4 using Tapatalk
I bought 40 acres of farmland this fall. Had the chance and jumped on it. Definitely nerve racking making a decision like that though. Sent from my XT1080 using Tapatalk
No doubt. Did you finance it? What kind of options did you have for the mortgage terms? 2016 Hoyt Defiant 30 Ridge Reaper Easton FMJ 400 125 Gr. Muzzy Trocars Sure-Loc Lethal Weapon Max Trophy Taker Nock Down Pro
That's some beautiful looking land! I hope you're able to make the purchase, especially since it adjoins your property.
Not necessarily. States like Indiana that have assessment codes which dictate how things are assessed land wise this isn't always the case. One could by a 50 acre patch of tillable ground for a $1Million yet if they lease it out to a farmer for agricultural use and can prove so it will be assessed as agricultural, which in Indiana farmers are given a gross undervaluing of land based on a somewhat archaic approach utilizing yields and such. Example in the county I live tillable ground that could be built on, goes for no less than a rough average of $9k/acre up to $30k/acre....yet farm ground is assessed at $2k/Acre according to the State IC codes. I disagree with it personally but that is awholenother discussion.
I did 30 year at 3.125%. My situation is a little different because I was able to get a beginning farmer's loan through FSA. About a week after closing it jumped to 3.5%. We have been farming (renting) the land for 37 years and couldn't let it go.
Wow Tynimiller you guys have some high priced land. I do business in your state and have friends who own farms around the Indiana beach area.
Yes, developmental ground in my area that is doing well is about $25,000 an acre. (which is currenly ag and zoned ag-1) I don't think he means farmland as the highest and best use is selling for $30,000, probably developmental.
Elkhart County specifically is where I'm speaking of. Granted a few pockets of recent land went for around $6900/acre for pure tillable but that is in the one area of the county where land sales are as high as everywhere else.
The few $30/k acre sales of tillable farmground we've seen have since been appealed and zoned for development reasons such as a commercial operation or a subdivision or such. Just pure tillable ground though, I can easily say unless impeded by high water table, swamp, access or powerlines you'll get all of $9k/Acre all day long without question if 100% tillable open ground.
If you have two big farmers that would want the tillable. Buy the entire thing and survey off the tillable acres in crp to farmers to buy. $4000 acre for decent ground shouldn't be hard to get. Soil samples or a csr rating for the tillable acres are needed to figure out what land is worth. CSR is corn suitability rating. Your rent would more than likely go down from $250 per acre based on commodity prices. Your biggest advantage you have if you own it is you have two neighbors that farm that you assume would want it. That is very desirable to a farmer if it isn't crap ground. Generally, the most years on a ag loan offered is 20 years. If serious....u should be talking to a banker about loans. Be careful on offering too low of a price when you have two other neighbors that might want it. He might be talking to them too. $3500/ acre doesn't sound that bad for price with that rent. Lot of variables that change with farming. We just had 70 acres of mostly tillable go for $350,000 near our farm. Hilly ground and avg CSR rating. Neighbor had always wanted it. You could always sell off portion with a condition to hunt it too. That really depends on the farmer and could cause for a smaller price. They may not care though. You would put an easement to be able to access your land if selling created a divide or you survey off however you would like to create access if needed. Sent from my iPhone using Tapatalk
Great input! Thanks! I pulled the taxes on the property and last year the property taxes were $600. I'm assuming this was fairly low due to being in government program and/or other exemptions. I talked to a banker that specializes in Ag lending. He is also a local farmer. He said that ground in that area cash rents for between $200-$250 an acre, so he said I'm not far off on that price. He also said he could get me a 30yr loan on that price with a 20% down payment being that he believes that he could consider the worth of the ground being more than what the purchase price would be. I'm not sure what all that entails on his end. He also said that I could potentially qualify for a first time farmers loan which only qualifies for 10% down. I think I would prefer to still put more down to get the financed amount down. 2016 Hoyt Defiant 30 Ridge Reaper Easton FMJ 400 125 Gr. Muzzy Trocars Sure-Loc Lethal Weapon Max Trophy Taker Nock Down Pro
