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Author Topic: Land values  (Read 20271 times)

SteveHants

  • Joined Aug 2011
Re: Land values
« Reply #30 on: July 03, 2012, 04:30:02 pm »
My thinking is that farm land is currently a bad investment in terms of potential income as opposed to the value tied up in an asset. Land that is really only farmable would be a toxic asset if its purchase meant no funds to farm it effectiveley. My landlord has 1500 ac plus more tennanted and he cant see the point in buying - sees it as a vanity because hed be dead before he saw a proper return and hes only 40 odd. I have a feling either farmland will crash at sone point (Im 32, I can play the long game) or we will all end up working for one massive "farmco". Either way, my skills are relativeley in demand, so I should be able to survive. At the moment land to rent is in fairly plentiful supply as older farmers without willing sons want to do less but not leave the farm, it seems. I'm mostly talking grazing here and I have heard cattle grazing is easier to get than sheep grazing. Get a good reputation and suddenly land seems to open up to you. You do, however need to knock doors/place as/ring people etc.

robert waddell

  • Guest
Re: Land values
« Reply #31 on: July 03, 2012, 05:00:36 pm »
there is a farm for sale just now it is on a hill at one time it was a good farm very productive  both with grass and grain    by all accounts it has been misfarmed by the present owner   and some of the stories are just insane       anyway a certain farmer has looked it and the asking price is around 10000 an acre this farmer that looked it had a relation that bought a farm less than 2 miles from this farm  back in the 80s/90s    he paid around 2000 an acre for that one never had any borrowings or debt till he purchased this additional farm    the projected income never materialized  interest went over 20% with the end result the bank took both farms of him to clear the debt         i think he needs to ask his relations for advice
 
will land keep on rising will the present financial troubles still be here in 5 years      when big financial institutions start selling of land that just may be the time to hold of buying
 
not that many years ago you could have a choice of venue as to what farm sale you could attend and in any part of the country  sometimes up to 3 sales in the one day    cant remember when the last roup was held an indication that nobody is selling because there are no buyers :farmer:

SallyintNorth

  • Joined Feb 2011
  • Cornwall
  • Rarely short of an opinion but I mean well
    • Trelay Cohousing Community
Re: Land values
« Reply #32 on: July 03, 2012, 06:18:09 pm »
If you buy land at the right price - your never going to lose 'value' with it.  Full stop.
Try telling that to white South African ex-farmers...
Don't listen to the money men - they know the price of everything and the value of nothing

Live in a cohousing community with small farm for our own use.  Dairy cows (rearing their own calves for beef), pigs, sheep for meat and fleece, ducks and hens for eggs, veg and fruit growing

robert waddell

  • Guest
Re: Land values
« Reply #33 on: July 03, 2012, 06:32:51 pm »
 ;) ;) ;) ;)

deepinthewoods

  • Guest
Re: Land values
« Reply #34 on: July 03, 2012, 07:49:17 pm »

 
will land keep on rising will the present financial troubles still be here in 5 years      when big financial institutions start selling of land that just may be the time to hold of buying
  :farmer:
bang on. then all the loans taken out to buy the land will be in negative equity. like the 80's

Beewyched

  • Joined Feb 2011
  • South Wales
    • tunkeyherd.co.uk
Re: Land values
« Reply #35 on: July 03, 2012, 07:52:39 pm »

 
will land keep on rising will the present financial troubles still be here in 5 years      when big financial institutions start selling of land that just may be the time to hold of buying
  :farmer:
bang on. then all the loans taken out to buy the land will be in negative equity. like the 80's
Thought they were already  ;)
Tunkey Herd - registered Kune Kune & rare breed poultry - www.tunkeyherdkunekune.com

mab

  • Joined Mar 2009
  • carmarthenshire
Re: Land values
« Reply #36 on: July 03, 2012, 11:18:59 pm »
Well I don't pretend to know what's going to happen in the next 5 years or so, but I don't personally care what the land I've bought will be worth in that time frame 'cos I want to stay here anyway.

And whilst it may be worthwhile to wait 5 years for the whole system to crash before buying - that assumes that the cash you were sitting on for that 5 years would still be worth anything after the crash.

Useable land will always have a value whilst there are people to feed - cash? well it'll make adequate tinder I suppose.  ;)


Simple Simon

  • Guest
Re: Land values
« Reply #37 on: July 03, 2012, 11:56:25 pm »
The institutional owners - pension funds and the like - don't borrow.  They have a constant stream of cash to deploy and a pretty long horizon over which to invest.  Agricultural land has done pretty well over the long term, and it has a very different risk profile to equities or government stock (lord help us).  A good return is only part of the investor's needs - some certainty over the longer term is needed in at least some of the portfolio.


Interestingly, or worryingly, quite a lot of big land purchases have been by foreigners.  There is a definite agenda by some of the richer countries with more challenging climates to secure their food supplies by buying land in more temperate areas.


When governments and currencies are no longer secure land does give a better cash return than gold and is plain useful too. 

SteveHants

  • Joined Aug 2011
Re: Land values
« Reply #38 on: July 04, 2012, 07:09:09 pm »
And fortunately, the speculators till need someone to farm the land.....




Until the revolution comes that is, Commrades.  :farmer:

 

Scrub land and Waste land.

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