Farmers National Offers 2019 Land Market Predictions
Farmers National Company expects land values to follow recent trends in 2019. In an analysis of the land market, the company points out that interest rates and Treasury Note yields are affecting land values. Both seem to be on somewhat of a plateau or a very slow rise based on Federal Reserve comments and the marketplace.
Meanwhile, commodity prices are working through big U.S. crops, world demand, changing tariff impacts, and planting time projections all coming together to make it difficult to predict price levels this coming year. Farmers National Company is seeing a small increase in sales activity mostly prompted by non-operating landowners deciding it is time to sell. The demand to buy farmland continues to hold fairly well in most regions but has turned more cautious over the past few years.
Given the factors in place at this time, the analysis by Farmers National suggests that the land market in 2019 will react much like it has the last several years, but with an increased amount of caution on the part of buyers.
Source; NAFB News