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Future of Recreational Land Prices?

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corygnc

New Member
What is everyones theory on the future of recreational land prices?

Do you guys really think it is a good investment and do you think it will increase much?

Where I own ground, close to Omaha, NE, there is a 140 acres that is for sale in Iowa and is as good of a deer hunting piece as you could get. It has a creek running through it, 70 acres in tillable and the other 70 has 2 chunks of timber, one is mature oak timber and the other is mixture of cedars and native grasses and other hardwoods.

After tax it will return about 3% with the income from the tillabe. They want $2000 per acre for it.

I do think the sport is becoming more popular and this should keep prices steady.

What is everyones thoughts? Will prices continue to go up or will they go down?

Thanks everyone!
 
Land will always go up, it might not the next year, but in 10-20-30 years, it will be nuts
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I just wonder how interest rates will effect land prices in the next 5 years. i guess at 2000 an acre I don't see you getting a great return on your money anytime soon. i think at that price you had better plan on holding it for a while. But I do think it will hover around that price for quite a while till int. rates hit double digits. But then again there are real estate jerks from IL coming over to IA trying to drive prices up like they did over there telling these farmers there timber is worth 2500-3000 an acre like they are in IL or something. I guess Im thinking of a few guys ive seen advertising that im not happy about.

But your right supertec they aint making anymore land. I personally am just going to win the lottery and won't have to worry about money anymore.

The other option is take a risk and build your money up and hope int.rates get high them come in with cash. I know lots of farmers got some good deals in the 80's.
 
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The other option is take a risk and build your money up and hope int.rates get high them come in with cash. I know lots of farmers got some good deals in the 80's.


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That might be a real smart move! I will be most likely sitting on the side lines for a while and see just how this housing/land market goes.
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What would happen if CWD gets real bad or there was somthing new starting to spread, killing off the deer? What would happen to the land prices then? I'm kinda of worried about that. I belive it's very possible sometime in the future, if things don't change.
 
Most of the ground in my area is between 4000-6000 per acre. Alot of it has to do with people that have too much money out of the Quad Cities looking for a way to invest it. The prices have really sky rocketed in the past 6-7 years. I'm hoping for higher interest rates to drive down prices.
 
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What would happen if CWD gets real bad or there was somthing new starting to spread, killing off the deer?

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I've wondered that myself, be interesting to know if land prices dropped in Wisconsin's CWD hot zone.
 
I wondered about this last year, I contacted a realtor and was told that CWD may have slowed the rate of increase in recreational tracts some areas but prices were still going up. Don't know what the current situation is there.
The other question.
What is the potential upside move in prices if the non-resident tag laws change to allow any-sex tags to NR landowners?
 
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What is the potential upside move in prices if the non-resident tag laws change to allow any-sex tags to NR landowners?

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I just wonder how interest rates will effect land prices in the next 5 years. i guess at 2000 an acre I don't see you getting a great return on your money anytime soon. i think at that price you had better plan on holding it for a while. But I do think it will hover around that price for quite a while till int. rates hit double digits. But then again there are real estate jerks from IL coming over to IA trying to drive prices up like they did over there telling these farmers there timber is worth 2500-3000 an acre like they are in IL or something. I guess Im thinking of a few guys ive seen advertising that im not happy about.

But your right supertec they aint making anymore land. I personally am just going to win the lottery and won't have to worry about money anymore.

The other option is take a risk and build your money up and hope int.rates get high them come in with cash. I know lots of farmers got some good deals in the 80's.

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I agree, my wife and I are putting everything away we can right now in hopes of buying a home with some hunting property. I asked a realtor a couple of weeks ago about the interest rates and land prices and she estimated we'd begin seeing a decrease in land prices and homes too for that matter, within a year and a half to two years. Around here though, wealthly out-of-staters are buying up property pretty cheap, getting mineral rights, and then turning around and selling the land higher in smaller sections. That could have an affect on the buyer.
 
KSQ2, Land values will slow and stabilize in all States due to interest rates. As far as your concerned in Kansas, that is if that is where you want to buy. I would recommend you save all you can and buy when the right place comes available. With that being said, I have heard rumors that Kansas will be open to NR either this year or starting next year for over the counter rifle tags. If that is true NR's and outfitter's will buy or lease all the good hunting land and will ultimately ruin your States hunting. It will be like West Central Illinois where it is so over hunted that now your odds of harvesting a true trophy buck are slim. How can this be happening in counties like Pike where the ground is so intensly managed? Take an outfitter that leases 5,000-10,000 acres, then builds 3-4 lodges and runs 200-300 hunters thru annually and have most of hunters harvest 120-140 class bucks. Then maybe 4-6 hunters harvest 160+ class bucks with the outfitter plastering the pictures of those 4-6 on their website. Now imagine that 90% of the good hunting ground is leased. Iowa, Kansas, and Missouri will ultimately end up the same. For those of us who live in Iowa we need to get all the hunters and non-hunters we can to call your legislators and get them to vote against NR landowner tags or increasing NR tag quotas. I gaurantee you that NR's and realtor's are already organizing to lobby hard this year and they have lots of money to grease some pockets. There will be short term gains by the realtors selling the land and by investors that flip the land. However, once the flood gates are opened a large landowner will have 160 acres and every piece of timber will be split and then split again until the land is broken down and sold in 40-80 acre tracts. Ultimately our deer hunting will decline and will never return to the level we have now or have had in the past. If you don't believe me ask someone that has hunted Pike County, Illinois for the last 15 to 20 years. Ask them if the hunting is better or worse. I wont even go into the access issues for those that can't afford to buy or spend 40-60 dollars an acre to lease the hunting rights. Increasing the number of NR hunters in any State (other than the Western 11 states where 2/3 of the land is public) will only hurt the sport of hunting and the future generations of hunters that live within that particular State. It will drive up land prices short term. But once the prices get high investors pull out and will try to buy land in other States where it is cheaper like it is now in Missouri and Kansas. I'm worried our kids will never be able to enjoy the things we did growing up in Iowa and the midwest for that matter. I just sit here and think how much it has changed in the last 15 years and can't...well...hate to think how it will be in just another 10 years unless we get off our butts and protect it. Imaging being a blue collar worker raising a family in West Central Illinois and not being able to take your kids deer or turkey hunting because you can't afford to buy or lease any land.
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What would happen if CWD gets real bad or there was somthing new starting to spread, killing off the deer? What would happen to the land prices then? I'm kinda of worried about that. I belive it's very possible sometime in the future, if things don't change.

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Then I might be able to afford land at that point. ha, ha
 
I question whether CWD is a threat to deer hunter investment in land. Not every deer is infected with CWD and it does not kill them quickly (bucks might still reach trophy status). It makes people less likely to eat the deer. I've yet to meet a hunter who eats antlers.
 
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I question whether CWD is a threat to deer hunter investment in land. Not every deer is infected with CWD and it does not kill them quickly (bucks might still reach trophy status). It makes people less likely to eat the deer. I've yet to meet a hunter who eats antlers.

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Well stated.
 
Land prices will remain steady and rise over the years. Land purchase is NOT a quick hitter. Stay in the game for a minimum of 5 years and 10 to 15 at best and you will see a healthy return. Hunting is form of recreation and there will always be folks willing to pay for it. CWD has been over blown and will not affect the future of Iowa's herd. Buy grasshoppa buy!!
 
There are factors beyond pure supply and demand at work here. The 1031 tax exchange has allowed development money from the urban fringe to trickle (or cascade in some cases) it's way into Western Illinois and Southern Iowa. Conservation programs have allowed people to purchase a hunting property and cash flow it with government payments (there are camo hats that are bent in the shape of mail boxes just like the seed corn caps). One trend that could put a damper on recreational land prices is a trend toward moving it from being taxed on the basis of ag land to a higher, recreational rate. That could increase taxes several fold. Before anyone cries wolf about that consider the rural infrastructure needs of low population counties where much of the land is owned by absentee owners that just show up to hunt once a year. On the Ag land front, demand for corn for ethanol production figures to rapidly increase the value of anything tillable, or that could be made tillable with a dozer or a plow. The only thing I am certain of is that I don't have a clue what will happen, that land values will increase at some rate and access to hunting land will require more creativity.
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Iowaqdm, trust me, I know all about the proposed NR over-the-counter tags. In KS the only thing that will stop this is the rifle hunters, they still out number us bowhunters by a huge margin, and the sad thing is the vast majority of them have no idea the NR tag situation has even been proposed. If it goes through I truly believe Mike Hayden (wildlife/parks secretary) will receive death threats from some crazies, if he hasn't already. I have my hopes placed on our wonderful gov. Sebidiot being ousted this Nov. we'll see how that plays out... As far as land goes, I just hope some of the good ol' boy farmers will keep their chip squarely on their shoulders when it comes to rich non-residents throwing $$ around.
 
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I've wondered that myself, be interesting to know if land prices dropped in Wisconsin's CWD hot zone.



[/ QUOTE ] the answer to this is no... from what I am able to gather... is they are having a heck of a time getting access to a lot of the land to harvest the number of deer the DNR says they need to... sound familiar??? ... southern Iowa???...But short and sweet CWD in WI has not hurt land prices a bit.
 
Danno,

Don't know if the ag based tax will fly on the rec ground in IA. Rec property simply is non income producing compared to ag land and in no way should be taxed as such. I believe in IL this may have been implemented, but IL has a ton of NR landowners/outfitters. Until IA opens it doors to NR's, like IL, can't see the tax increase happening, just not beneficial.
 
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