We have relocated our Pampa TX Branch Office to 1224 N. Hobart, Suite 104. We welcome you to stop by anytime for a visit with Gary Sutherland or call Gary at 806-662-6949 for all your farm and ranch real estate needs in the Pampa, TX, Eastern Texas Panhandle area.
We lose three acres of farmland in the United States every minute. You read that right. Three acres every sixty seconds. This wakeup call comes courtesy of John Piotti, President of American Farmland Trust (AFT), who spoke about conservation and Farmland at the 2019 Trust in Food Symposium Jan. 15 and 16 in Chicago. “Over the last 20 years, we’ve lost 31 million acres of farmland—that’s equivalent to all the farmland in Iowa. That’s over 1.5 million acres a year, or three acres every minute,” Piotti says. READ ARTICLE
The Land Broker Co-Op has just launched an amazing website and we wanted to share their press release “The Land Broker Cooperative (the Co-Op) is pleased to announce the first website for land, farms and ranches for sale using a map-based view as the primary search functionality” : Read The Full Press Release Here
Agricultural Land Values Highlights
The United States farm real estate value, a measurement of the value of all land and buildings on farms, averaged $3,140 per acre for 2018, up $60 per acre (1.9 percent) from 2017 values. Regional changes in the average value of farm real estate ranged from an 8.3 percent increase in the Southern Plains region (includes Texas (9.1% increase) and Oklahoma (5.3% increase) to 1.4 percent decrease in the Northern Plains region. The highest farm real estate values were in the Corn Belt region at $6,430 per acre. The Mountain region had the lowest farm real estate value at $1,140 per acre.
This report from the USDA is a 22 page report. Read the full report here.
The largest overhaul of the U.S. tax code in three decades went into effect this year, impacting farmers, ranchers and other rural landowners in a variety of ways. For the most part, financial experts anticipate benefits for these groups.
“The 2018 tax law changes include several items that I feel will be beneficial to agricultural producers,” says Burl Lowery, a Brownwood, Texas, certified public accountant and director of Central Texas Farm Credit. “The increase in the exemption in estate and generation-skipping taxes to $11.2 million in 2018 will allow more farmland to be passed to future generations with less or no estate tax.” READ ARTICLE
March 8, 2018 Realtors Land Institute
Choosing how to save for retirement can be a decision that takes years. After all, that’s the money that you’ll be living on during your golden years. Most people stick to 401ks and stocks, but what many people don’t know is that you can invest in land real estate to save for retirement. Investing in land real estate can be a great way to save money long-term, but with any investment, you need to know what type of land to invest in, what sort of returns you can expect, and what to avoid when investing in land real estate.
George Clift was recently interviewed for a question & answer article in the January 18, 2018 issue of the Farm Journal LandOwner Newsletter. See the article here.
There are other articles about the New Tax Bill and Farmland Values you may also find interesting. Click here to read the entire newsletter.
Agricultural Survey…Quarterly Survey of Agricultural Credit Conditions in the Eleventh Federal Reserve District. The Eleventh Federal Reserve District consists of Texas, northern Louisiana, and southern New Mexico.
The survey shows, dryland and ranchland values both increasing while irrigated land values dropped. See the entire report here.
No matter who wins this November’s presidential election, one of the first items facing a new Secretary of Agriculture will be developing a 2018 farm bill, a process sure to begin early in 2017. As we start that effort, it is worth noting that for all its rich diversity, American agriculture seems to be united behind a few large overarching issues: coordinated and scientific regulatory policy by EPA, FDA, and USDA; healthy trade promotion; biotechnology; and farm labor issues, including immigration.
Marcia Zarley Taylor, DTN Executive Editor
LOUISVILLE, Ky. (DTN) — U.S. agriculture could dodge the long-feared collapse in farm real estate prices this commodity cycle, contend economists, lenders and appraisers attending a Farm Foundation meeting this week. But some cautioned the bubble more likely to burst will be used farm equipment values over the next year if profit margins don’t improve.
“Land values haven’t seen near the pullback that everyone predicted,” observed Bruce Sherrick, director of the TIAA-CREF Center for Farmland Research at the University of Illinois. That moderation makes sense, he added, given that farmland investors keep a long-term perspective on value despite blips in day-to-day commodity prices.
“Land investors’ expectations of future income are more like climate, not weather,” Sherrick said. If it rains too much one season, it doesn’t mean the climate has changed, he said, any more than an abrupt correction in commodity prices necessarily undermines farmland values with a 30- to 50-year history of double-digit appreciation.
“The old saying is that economists have predicted nine of the last five recessions,” Sherrick said. “The farmland bubble has been over predicted as well.”
Randy Dickhut, a senior vice president and head of appraisals at Omaha-based Farmers National Company, agreed, describing the market as balanced. After studying recent sales in the more than two dozen states where the company operates, “what we’re seeing in farmland is an equilibrium between buyers and sellers, not a bubble,” he said. READ ARTICLE