|Land Prices in the month of September 2022 were very stable. High Point sold many different types of land including farmland, hunting land, rural houses, rural buildable sites and ranches. These properties were sold primarily at public listing, public auction, online auction, and off market private sales. There was a small decline or pull back in advancing land prices in the month of August as interest rates continued to rise. In the month of September interest rates rose substantially again, however we did not experience the additional pull back this month. Land prices were stable and close to their previous month levels. Loan rates effect land prices due to the fact that if your interest rate is higher, your payment is higher. Forcing the buyer to control the only negotiable item in the loan equation which is price. Cash buyers and 1031 exchange buyers are still very active in the market giving it continued support. |
In the month of September there were a few highlighted transactions we want to share. To start off we were honored to sell a very special ranch in Colorado this month. Land Agent Kyle Lopez represented the transaction of the Maitland Ranch in Huerfano, CO consisting of 3,047 deeded acres. This southern Colorado elk and cattle ranch had excellent water, hunting, and recreational opportunities and was sold in its entirety to one party. Land of this nature in the area trades between $1,500-$2,000 per acre. The property had an initial list price of 5 million dollars and was sold and successfully closed in short fashion.
The next farm was a tillable 35 acre tract in Dubuque county, IA. The sale was handled by Land Auction Agent Matt Tobin of Worthington, IA. This live auction was very well attended and marketed with a full event center of live bidders, as well as online bidders from around the state of Iowa and many other states. The farm land sold for nearly $22,500 per acre and $300/CSR2 point. This land was buildable, but we believe was purchased as farmland by the buyer in this highly sought after area.
In the state of Wisconsin, we had the opportunity to sell a beautiful 220 acre hunting tract at auction with Land Auction Agent Garrett Halama. This Eau Claire county land auction was well attended, live and online, and sold for over $6,000 per acre; really showing the true value of a great hunting farm in a great area. We also sold a excellent tract in Buffalo County, WI. Wisconsin Land Broker Lucas Mestad represented the party selling the 20 acre tract for $8,000 per acre!
In the state of Minnesota, we had the opportunity to represent a seller on a beautiful 76 acre tract with 67.9 tillable acres boasting in impressive CPI of 92.2. This clean Mower county farm was traditionally listed by Land Agent Troy Stafford for $799,000. The farm had excellent interest and was sold in a matter of days.
Land prices have remained stable with buyers completing 1031 exchanges, cash purchases, or local financing. Land and farm income has remained high as well as demand for the diversified uses continuing to present themselves. If you are interested in investing in land or selling a property you may have acquired via estate contact one of our local land agents today. They are a wealth of knowledge and would be happy to discuss your land intentions. Have a wonderful start to fall, hunting seasons, and harvest season. We appreciate your business very much.