What Are Land Prices Doing?
1st quarter land sales were surprising when we ran the numbers overall. Here are a couple things our land brokers put together for prices and market motivations.
Here’s the why: Interest rates are low, there is not much land on the market, timber prices are headed up and the banks are cautious but lending money. Also there has been an increase in the residential, commercial, and stock market assets giving buyers higher rates of return in those categories or exchange opportunities.
Here’s the prices: tillable land in flat country C quality 5000/ acre, B quality 6-6500, A quality 6500+ these prices are fluctuating based on neighborhood, tile, and windmill income.
Tillable land in the hills on average is trading C-4500, B-5500, A-6000 (in the right neighborhood and at auction much higher potential due to access and scarcity.)
Hunting land- buy it, everyone is getting kicked off their grandma’s back 40, timber prices are headed north, rates are low, CRP ROI’s are 4-8%, and build-able sites are sought after. Prices are $2800-$4500/Acre based on a number of factors, however the demand is very high and it is a buyer and sellers market right now for many reasons.
Give us a call for any specific questions or needs you have or to just meet our agents, they will find you what you are after.
-High Point