September 9, 2019
The pre-harvest auction season is in full swing with the normal increase in auctions and listing sales happening through much of September. Farmers National Company (FNC) land auctions have continued to show that higher quality crop and pasture land sells the best. Sam Kain, Area Real Estate Sales Manager for Iowa, reports that good quality farms are selling well and at times bringing a selling price above expectations. Buyers of higher quality cropland know that productivity will be better than average and that normally, the better the quality, the better the long-term appreciation.
While quality land is selling well in today's market, the success of a sale depends on three other important factors that are more specific to an area.
1) There is a need to have more than one bidder, and preferably multiple bidders, who want the property and will bid to own the land.
2) Location. A successful sale also depends on how much land has been for sale recently and how aggressive the buyers are. The same quality land can sell at two very different prices depending on the area factors.
3) Sell for the best price possible. The property for sale has to be fully exposed to the market and not just locally.
For landowners interested in selling, it is important for them to know the quality of their land, what has been selling in the area, who the potential buyers are for the property, and how to expose the property in the marketplace. A landowner can try to research and learn about their land and the local market, but that takes some time and expertise. Marketing the farm to the widest potential number of buyers takes a multi-faceted approach. As most landowners don't have the time or expertise to do these important steps in selling their land, they turn to a land brokerage such as Farmers National to handle the research, sale, and marketing of their land. Farmers National Company agents are the local experts who combine their knowledge of the land market with the marketing programs and wide exposure provided FNC to successfully sell the property for the landowner.
Senior Vice President - Real Estate Operations
|Category: Agricultural Real Estate News|