Experience Tells Us

My grandfather and my husband’s grandfather were both farmers and ranchers during their younger years. They are both long gone now, but the life experiences they shared with their grandchildren continue to be passed along to each new generation. One thing we can’t do though is ask them what they think of the current demand for farmland and the record high prices being received for farmland. The most recent sale of farmland in the midwest for just under 22 thousand dollars an acre would probably have both of them picking their jaws up off the floor. Farmland continues to be in great demand, and it is no surprise that more land has been coming onto the market in recent weeks. Part of that is due to estate auctions, and part is due soaring commodity prices and limited supply. Even with the severe drought this year economists say the farm economy is much healthier than it was in 1988. There are still those farmers and ranchers who are under severe stress right now, and as Grandpa G and Grandpa A would both surely tell us, interest rates, commodity prices and the weather can all change with very little warning.