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(Bloomberg)   Farmland is the new real estate   (bloomberg.com) divider line 36
    More: Interesting, Midwestern United States, Chicago Board of Trade, Greene County, Blackstone Group, Iowa State University, Sheila Bair, adverse impact, National Association of Realtors  
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3535 clicks; posted to Business » on 17 Feb 2011 at 7:19 AM (3 years ago)   |  Favorite    |   share:  Share on Twitter share via Email Share on Facebook   more»



36 Comments   (+0 »)
   

Archived thread
 
2011-02-17 04:32:07 AM
Hah, I read that as FarmVille. I need a better job/life/whatever.
 
2011-02-17 05:37:13 AM
Oh, good. A farmland bubble. This one will never burst!
 
2011-02-17 07:37:48 AM

Skail: Oh, good. A farmland bubble. This one will never burst!


You know, demolishing suburbia because of a farmland bubble will have far better long term consequences.
 
2011-02-17 07:43:17 AM
Goddamn it, my wife and I'd just been talking about how awesome it would be to pick up a few cheap acres farther outside of the city and stick a little cabin on it. Guess that'll have to wait till this bullshiat's done.

Yay capitalism; your great efficiency at setting prices and allocating resources is truly magnificent!
 
2011-02-17 07:52:24 AM
Maybe I've just always used an incorrect definition, but hasn't farmland always been a form of real estate?
 
2011-02-17 08:08:45 AM

fallingcow: Goddamn it, my wife and I'd just been talking about how awesome it would be to pick up a few cheap acres farther outside of the city and stick a little cabin on it. Guess that'll have to wait till this bullshiat's done.

Yay capitalism; your great efficiency at setting prices and allocating resources is truly magnificent!


You can still do that. These people are talking about real farmland, so unless by "a few acres" you mean 80 and by "city" you mean somewhere like Garden City, KS, you'll be ok.

Not gonna lie though, I can hardly wait until this bubble bursts. Gonna have to pick up some more farmland myself...
 
2011-02-17 08:44:43 AM
Considering the severely limited supply I don't see this as being too unreasonable, and prices haven't climbed nearly like housing prices did. Plus this is land people intend to DO something with; something to earn a long term profit. This isn't idiots buying crap because they think they can sell it again in 10 minutes.
 
2011-02-17 09:11:47 AM
Dangit....if I ever get a chance to move out of this city, I wanted to buy a farmhouse/farmland type place. *shakes fist*

/not a farmer
//doesn't like close neighbors
///biiiig fenced in yard for the dog
 
2011-02-17 09:28:27 AM

fallingcow: Yay capitalism; your great efficiency at setting prices and allocating resources is truly magnificent!


Yes, I want some bureaucrat deciding the value of everything; that would surely be more efficient!
 
2011-02-17 09:35:18 AM

Mr_H: Dangit....if I ever get a chance to move out of this city, I wanted to buy a farmhouse/farmland type place. *shakes fist*

/not a farmer
//doesn't like close neighbors
///biiiig fenced in yard for the dog


Why fence it in if the next person down the road is at a minimum half a mile away. Let the mut run free.
 
2011-02-17 09:53:16 AM
Farmland is high because food prices are high. When farmers can actually make a profit by growing food, they look to acquire / rent more land to expand their business.

How much are you willing to bet on a crash in food prices?
 
2011-02-17 09:55:21 AM

Mr_H: Dangit....if I ever get a chance to move out of this city, I wanted to buy a farmhouse/farmland type place. *shakes fist*

/not a farmer
//doesn't like close neighbors
///biiiig fenced in yard for the dog


People like this are part of the reason that rural property value is skyrocketing

/has lived in the country for 15 years
//Can't stand city dwellers that move to the country to their "cabin", put up ugly fences and then try to tell everyone around their little strip of land what to do and how to live.
 
2011-02-17 09:55:29 AM
We don't need as much food as we produce, anyways. I say let it crash.
 
2011-02-17 10:11:20 AM

degreeless:
People like this are part of the reason that rural property value is skyrocketing

/has lived in the country for 15 years
//Can't stand city dwellers that move to the country to their "cabin", put up ugly fences and then try to tell everyone around their little strip of land what to do and how to live.


I'm not sure I'd qualify as 'people like this'. I grew up in Iowa around lots of farmland, I want to go BACK to that lifestyle. Moving to the city I'm in now was a job compromise.
But I see your point, there's lots of homes in the countryside around here with a lot of land that seem 'wasted'.

/mostly joking about the dog fence :)
 
2011-02-17 10:19:18 AM

degreeless: Mr_H: Dangit....if I ever get a chance to move out of this city, I wanted to buy a farmhouse/farmland type place. *shakes fist*

/not a farmer
//doesn't like close neighbors
///biiiig fenced in yard for the dog

People like this are part of the reason that rural property value is skyrocketing

/has lived in the country for 15 years
//Can't stand city dwellers that move to the country to their "cabin", put up ugly fences and then try to tell everyone around their little strip of land what to do and how to live.


The county I live in passed an ordinance recently that says if you are outside the city limits (town actually) you cannot build a house unless you own at least 40 acres or it is already an established farmstead.
 
2011-02-17 10:40:25 AM
No, I'm pretty sure the "new" real estate is still in the cities, where $100,000 for a 1/4 acre is a steal.
 
2011-02-17 10:53:46 AM
I guess I'll just keep saving until this bubble bursts. I grew up on a farm and living in town is driving me crazy.
 
2011-02-17 10:54:16 AM
I live on a farm already. Land prices are ridiculous and it makes me happy. Gardens, cattle, and trees all around. All that and a pay lake boarders the farm with a slew of bars about two miles down the way. Life doesn't get any better.
 
2011-02-17 11:21:00 AM

Lost Thought 00: We don't need as much food as we produce, anyways. I say let it crash.


That food is paying our oil bill and our debt to China (our second largest customer right now for farms goods).

These guys are buying land with cash and as little borrowing as possible. Farmers are a risk averse lot and many remember the crash in the late 70s early 80s. We aren't near bubble stage yet
 
2011-02-17 11:42:11 AM

CayceP: Hah, I read that as FarmVille. I need a better job/life/whatever.


So glad I wasn't the only one -_-;
 
2011-02-17 11:49:21 AM
This is a good thing for our country. Farmers are hard working folk, and finally deserve to make some decent money for a change.

Don't complain, McDonald's has 49 cent burgers.
 
2011-02-17 11:54:38 AM
Buy land. They ain't makin' any more.
 
2011-02-17 12:05:02 PM
I wonder how much the price would drop if we switched from using farmland to grow fuel(corn) to using non-farmland to grow fuel(switchgrass)
 
2011-02-17 12:24:08 PM
As long as you don't expect to make money off the land, you're fine.

You cannot compete with the millionaires who control most of the good American farmland. They will crush you. So unless you have family land that you've been working for generations, don't attempt to become a farmer.

/Subsidies are necessary, but need to be reevaluated for the 21st Century.
 
2011-02-17 12:38:31 PM
LA would like to have a word with you.

Farmland has always been the new real estate. And with how much of our good land we've paved over, we've done a great job pushing crops to more marginal land.

Woohoo!

//I at least figure we'll develop a new tech to help us not die.
 
2011-02-17 12:57:39 PM
We actually need LESS farmland. We need more forests and marshes and prairies.

Agriculture is the worst thing humanity has ever done to the environment, by a WIDE margin. It's a "necessary evil", but we should try and limit it's use to just what we need.
 
2011-02-17 01:00:40 PM

Lupine Chemist: Skail: Oh, good. A farmland bubble. This one will never burst!

You know, demolishing suburbia because of a farmland bubble will have far better long term consequences.


It would only return the land to the way it used to be, before the boomers started throwing up tract homes everywhere. All that very productive farmland, within 50 miles of a population center, and what did they do? Plow it under and build suburbia. So now you can't hardly get a potato that didn't travel 1,000 miles on its way to your plate. Smart.

/are there any orange orchards left in Orange County, California?
 
2011-02-17 03:22:50 PM

fastbow: fallingcow: Goddamn it, my wife and I'd just been talking about how awesome it would be to pick up a few cheap acres farther outside of the city and stick a little cabin on it. Guess that'll have to wait till this bullshiat's done.

Yay capitalism; your great efficiency at setting prices and allocating resources is truly magnificent!

You can still do that. These people are talking about real farmland, so unless by "a few acres" you mean 80 and by "city" you mean somewhere like Garden City, KS, you'll be ok.

Not gonna lie though, I can hardly wait until this bubble bursts. Gonna have to pick up some more farmland myself...


Actually farm land is being effected by this in Garden City, KS as well.
 
2011-02-17 06:39:51 PM
That's not good; farmland speculation was a big part of the 1929 crash.
 
2011-02-17 06:46:47 PM

realmolo: We actually need LESS farmland. We need more forests and marshes and prairies.

Agriculture is the worst thing humanity has ever done to the environment, by a WIDE margin. It's a "necessary evil", but we should try and limit it's use to just what we need.


And just what, pray tell, are you planning to eat?
 
2011-02-17 11:37:16 PM

degreeless: People like this are part of the reason that rural property value is skyrocketing

/has lived in the country for 15 years
//Can't stand city dwellers that move to the country to their "cabin", put up ugly fences and then try to tell everyone around their little strip of land what to do and how to live.


You get around my old stomping grounds, it's the Mennonites that are building McMansions out on every other quarter section. Lot of others though too. I know of at least a couple people who have built in or around Canton, KS, and drive to work to Wichita, every day. I'll save you the google map search and tell you that's a good hour drive, maybe more depending on where in Wichita you work.

I guess it wouldn't be all bad these days, with the wireless internet providers they're throwing up on all the elevators that can apparently reach out about 5 miles, but I spent 18 years growing up in a town of 900 people and I have to tell you, it ain't all that. And it seems like you'd have to go as far as Canton these days to make sure you didn't eventually get taken over by the suburb creep. There are big, giant houses around Andover here that can't be more than 10 years old; when they were built it was total farmland and probably a good 10 miles before you hit anything that could be called Wichita. Now they've got a 4 lane highway right by their mailbox.
 
2011-02-18 12:11:01 AM
Glad I got my farm back during the housing bubble 8 years ago when everyone wanted a McMansion....
 
2011-02-18 01:09:26 AM

Nightmaretony: Glad I got my farm back during the housing bubble 8 years ago when everyone wanted a McMansion....


Step 1: Sell farm to yuppie that wants the country life for too much money
Step 2: Wait for market crash
Step 3: Buy back farm and decorate with gold-plated cows
 
2011-02-18 01:18:49 AM

russkie247: Nightmaretony: Glad I got my farm back during the housing bubble 8 years ago when everyone wanted a McMansion....

Step 1: Sell farm to yuppie that wants the country life for too much money
Step 2: Wait for market crash
Step 3: Buy back farm and decorate with gold-plated cows



Step 1: too much stuff to fit in an apartment or my mom's basement (no such thing in california)
step 2: cheaper than renting
step 3: flippers lost their bets while doing so
step 4: am enjoying....
 
2011-02-18 04:40:35 AM
This would be amusing if it were not so outrageous. Bankers in the UK (maybe US too) were buying farmland two years ago when there was a change to its tax status. They made like bandits in the housing crash and now are making like bandits in farmland.

This will not end well.
 
2011-02-18 11:36:30 AM

HellRaisingHoosier: Subsidies are necessary, but need to be reevaluated for the 21st Century.


Put a cap on individuals receiving subsidies (and make it where only individuals, not corporations, can receive subsidies). I'd rather just get rid of them. They're only necessary so far as to perpetuate the current situation.
 
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