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| If you think a farm you own is ‘worth 15k/acre’, there is only one way that is true. It is if you sell it and put the $ in the bank. Other than that it is perceived value, and a number on a piece of paper, nothing more or less.
But as a farmer, it is likely that your asset really isn’t for sale at any price, so it really doesn’t make much difference what the number on the piece of paper is. So ‘losing 17 years worth of rent’ is faulty illogical thinking. And it’s likely in your scenario that rent wouldn’t hold steady through those years.
The setup leading to the next long term down cycle in land prices is difficult to conceive now, but it has happened before, and will happen again. Many aren’t old enough to remember, or have forgotten that 35-40 years ago, there were for sale signs on the corners of 1/4 sections for years.
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The cash rent auction mcbees
