January 13, 2020
Land sale activity across the southern plains has been quite varied and dependent on location, quality, and use" according to Paul Schadegg, area sales manager for Farmers National Company. "In general, good quality continues to sell while lower quality land struggles."
During the fall, Farmers National Company auctioned a good quality crop farm in north central Kansas for $8,800 per acre which was near record for the area even though land prices are off the peaks by five years. Schadegg observed, "Our local agent did a great job talking with all the potential buyers and Farmers National did a full marketing campaign for the sale. We definitely reached the buyers."
Texas timber land and ranches are in demand from buyers and are holding or increasing in price. For Oklahoma, Schadegg comments "Farmers National Company has held a number of good auctions selling both cropland and grass." Nebraska land buyers are being more cautious forcing sellers to be more realistic in a price that will consummate a sale.
Looking ahead into the coming year, attention turns to what is going to impact the farm economy and the land market. Producers are beginning to wonder if the current lower commodity prices will be the new normal for awhile. Financial stress has increased for some individual farm operations but overall financial conditions in agriculture are adequate.
With the current land market sitting on a plateau for the past several years, landowners are asking questions about what to do if they are thinking of selling their farm. Schadegg says "We are getting sellers calling Farmers National Company looking for good advice about the land market and for the best marketing and sales strategy to get their land sold. These landowners want someone they can trust to sell their farm."
Senior Vice President - Real Estate Operations
|Category: Agricultural Real Estate News|