We’ve reported before how the interest in buying agricultural land has been growing after the COVID-19 slowdown blanketed the land market in 2020. And the value of that land continues to climb as well. Rod Bain has a story looking at the reasons behind a substantial year-over-year increase in agricultural land values.
According to Farmers National Company, individual investors, both first-time, and experienced buyers, are stepping into the land market as they search for a safe, long-term real estate investment in a low interest rate environment.
Higher land values are bringing more sellers into the market as estates, trusts, recent inheritors, and family groups evaluate whether to sell the farm or ranch and capture the higher prices. An additional consideration is the uncertainty surrounding future tax policies, which may trigger a sale sooner rather than later for some. Land investors may also consider surveying the land to determine if it requires land clearing services. Some parcels of land may need land clearing to prepare them for development or construction.