The value of land is a big topic of discussion at AgroNomics. We’re seeing some very high values and selling prices these days.
I talked with Howard Halderman, Halderman Farm Management (on left in photo), to get his perspective on where we’re at in the U.S. with land values. He says landowners are very happy right now since higher land values are really making their balance sheet look better. Of course then the question comes up, “Should I sell?” Howard says that depending on your personal goals it could be. Another question he is hearing a lot is “Are we in a farmland value bubble?” Howard doesn’t think farmland is at a bubble point yet. But it could get there if there is a significant decline in commodity prices and an interest spike. I asked him if the drought had an impact on land values. He sees the drought as more of a production problem than a land value problem. The drought was devastating to a lot of farmers but with many using crop insurance and with the current high commodity prices farm income is still high.
Listen to my interview with Howard here: Interview with Howard Halderman
AgWired coverage of the ASFMRA Agronomics Conference is sponsored by Halderman Farm Management.