I was going through some land listings on a couple of the hunting geared land websites and looking at listings in our neck of the woods. I am completely baffled at how they come up with some of these land prices. listing farms that have no return for 6k an acre? is that where hunting is heading for all of us? Are these whitetail properties, iowa land co type guys pricing out the average person from owning land? For me looking at buying my own land I think so, i hope this farm flipping "turn key" whitetail paradise stuff goes away.
I totally get what you're saying. It can be pretty frustrating to myself as well. As a guy that keeps his eye out also, there is no doubt a demand for those whitetail paradise properties. Otherwise, no one would ever buy them, right? IMHO...The market is what really determines price. I think this is preposterous but a totally loaded F350 has an MSRP of over $90,000. Talk about crazy! Now, I sure as heck am never going to pay that but there's got to be some people out there willing to pay it or they wouldn't even make them? And just like those F350's listing at say $95k, we all know it's highly unlikely to sell for that. Could it?? Surree. Do some sell at sticker price?? Possibly. Will the dealer take a lower price?? More than likely.
Here's another scenario...
Chuck has a farm...bad to the bone. Mega giant deer. Fair amount of income. He's done tons of work to it and it's as good as it gets.
Joe (chucks neighbor even share fence) says "hey chuck, what's your farm worth? Chuck says $3875/ac allll day.
Joe then thinks his farm is worth about 4K/ac even though it's not even close to as good as Chucks. About the same CSR's, probably share a few deer, but the similarities end there.
Joe then goes to chuck...Hey neighbor, I'd like to sell my 120ac to you. You've got about 600+ and I'd sell you mine. Chuck says, ok how much? Joe says 5k/ac! Chuck then proceeds to laugh and get back to work.
Joe then calls a real estate agent, tells him all about his "amazing farm" and tells him who he borders. Agents says, oh yeah you're set! How much do you want? Joe knowing he wants 5k/ac tells the agent "I'd like to ask 6k/ac". Agent is blown away but figures he'll give it a shot.
2 weeks go by and its on the market for everyone to see. We all laugh and crack jokes. 2 months go by and it's still for sale. A few lookers but nothing comes of it.
Joe gets frustrated asks his agent to do something. Calls him a loser and lazy bum. Agent then calls neighbor Chuck. Chuck says "no way you both smoke crack!" Agent says he hasn't smoke crack in over 6 months and really wants to put a deal together. At this point Chunk makes one offer of $4375/ac. Chuck thinks he himself is crazy but concedes to paying $500/ac more than it's worth on its best day and he's still going to have to do a ton of work to make it even worth $3875/ac like his is.
Joe receives offer. Hates the agent, hates Chuck, slaps the wife and kicks the dog. Next day he signs the offer.
Fast forward 2 months deal is done and closed on. People think Joe made out like a bandit, hate the land agent for driving up prices, and think Chuck is crazy. Very few people know all the details of the transaction and motivations behind it, but those that do, understand why.
Ok..I digress. Keep at it HotShot. You'll find something. Good day, Amigo!