Many baby boomers are still thinking of retiring and getting back to their roots by living the ideal life on the farm. The thought of a slower lifestyle, and creating a buffer from the economic swings, raising your own food and livestock in a peaceful setting is still driving the farmland market.
With the current slump in the housing market, a number of sources indicate that US Agriculture farm land continue to flourish. In the Blackburne & Brown Mortgage Company Investor Letter dated September 22, 2008 indicates that they remain extremely bullish on farm land. "The world still needs to eat. The falling dollar makes our agricultural exports more attractive. The population of India continues to soar and will soon pass that of China."
The Kiplinger Letter, dated September 5, 2008 stated "While other economic sectors flounder US agriculture continues to flourish. All this propspertiy means land values are riding high, a sharp conrast to urban and suburban properties. Next year an additional 10% increase for cropland and pasture, nationwide. That will follow a jump of 15% to 20% likely this year."
AgAlert, a weekly newspaper for California Agriculture posted an article in their September 24, 2008 edition stated "Values for farm and ranch property nationwide have defied the soft real estate market plaguing many U.S. Cities.
The annual report from the U.S. Department of Agriculture said the average value of an acre of U.S. farmland rose nearly 9% this year, compared to 2007. The report sets the average value of an acre of California farmland at $6,500, up 8.3%.
This is great news for the sellers of this type of property. Both buyers and sellers should avail themselves of the expertise of a real estate broker that knows the ins and outs of farmland and country property. It is definitely a different dinamic from representing homes in neighborhoods. Knowledge of water issues and zoning restrictions are only some of the items that need to be explored. Nevada County, located in the Sierra Foothills between Sacramento and Lake Tahoe has many organic farms and ranches to choose from.