Topic: Farmland Prices

[Weisshaupt]

Non-irrigated farmland is going up..

not that is a surprise or anything.

More maps and info

also
http://www.agweb.com/blog/Your_Precious_Land_217/great_plains_farmland_values_surge_19_to_30_/

and

http://www.agweb.com/blog/Your_Precious_Land_217/long-time_land_bull_asks_what_are_you_waiting_for/

[charlesoakwood]

Jim Rogers:  I own more agriculture than just about anything else in real assets ...

[Weisshaupt]

Farmland Bubble?

[Alphabet Soup]

Non-irrigated farmland is going up..

not that is a surprise or anything.

More maps and info

also
http://www.agweb.com/blog/Your_Precious_Land_217/great_plains_farmland_values_surge_19_to_30_/

and

http://www.agweb.com/blog/Your_Precious_Land_217/long-time_land_bull_asks_what_are_you_waiting_for/

From your first link: "Farm income and land values were boosted by high crop prices and high crop insurance payments."


So the bubble comes not so much from any intrinsic value to the land but because of government interference? I could totally see that.

[Weisshaupt]

To a certain degree govt subsides are keeping prices high,  but I think  the long term trend is food will be rising in price ( in dollars anyway )
I am not sure its a "bubble" per se, but there is certainly money looking to invest in (good) farmland - and its speculative in the sense that it depends on food prices overall continuing to rise, and uses our zero interest policy to purchase (however the article indicates large cash payments are being used)   But I think its distrust of the stock market and the world economy  on display here.

[charlesoakwood]

IIRC the Chinese are buying farmland like crazy, Illinois, I think.
Other foreign investors also.  This, other than being a safe place to store their money, indicates they also think food prices will continue to increase.