# Hot Real Estate



## endrow

They are saying right now a house only lasts a couple of hours when put on the market in this area ... A 72 acre Farm in Lancaster County sold for $3.45 Million this week on auction


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## Vol

endrow said:


> They are saying right now a house only lasts a couple of hours when put on the market in this area ... A 72 acre Farm in Lancaster County sold for $3.45 Million this week on auction


Why are you still farming?.....at least there anyway?

Regards, Mike


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## somedevildawg

Vol said:


> Why are you still farming?.....at least there anyway?
> 
> Regards, Mike





endrow said:


> They are saying right now a house only lasts a couple of hours when put on the market in this area ... A 72 acre Farm in Lancaster County sold for $3.45 Million this week on auction


It's like that all over the country, house that may have had to have "special buyers" are being snapped up....flight out of the cities.


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## stack em up

Vol said:


> Why are you still farming?.....at least there anyway?
> 
> Regards, Mike


If he's anything like me, no amount of money could get me off this farm. Been in my family since 1874 and it will stay that way as long as i have anything to say about it!

Although if I could get endrow to sell out in PA, he could do a 1031 exchange here in SW MN and I could certainly spend some of that moldy money!


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## swmnhay

Chatted with a realtor in SD.He was saying there is way more out of state buyers lately.He said a lot from MN and Washington.So people wanting to move from more liberal states to a more conservative state.


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## somedevildawg

swmnhay said:


> Chatted with a realtor in SD.He was saying there is way more out of state buyers lately.He said a lot from MN and Washington.So people wanting to move from more liberal states to a more conservative state.


That Governor they have in SD is sharp....another non-politician.


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## swmnhay

somedevildawg said:


> That Governor they have in SD is sharp....another non-politician.


Not only easy on the eyes she has a brain


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## endrow

somedevildawg said:


> That Governor they have in SD is sharp....another non-politician.


I remember reading about her in a farm publication . She quit college to come back home to run the family farm after her dad was killed in a farming accident and she finished her education at night online. Very impressive story .


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## swmnhay

endrow said:


> I remember reading about her in a farm publication . She quit college to come back home to run the family farm after her dad was killed in a farming accident and she finished her education at night online. Very impressive story .


Just read on Wikipedia they also diversified the ranch into hunting and have a resteraunt also.The ranch grew enough that her siblings all returned to help work the family businesses

most all people I know would prefer her as our governor then what we have in MN.Memes all the time having western MN AnnexEd by SD etc.

Talk of her being future presidential candidate.


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## PaMike

endrow said:


> They are saying right now a house only lasts a couple of hours when put on the market in this area ... A 72 acre Farm in Lancaster County sold for $3.45 Million this week on auction


These crazy auction prices just make it that much harder to do a family transaction. Heck, my siblings would say they are "giving me a deal" by letting me buy dad's farm for 3.2million. I mean they are saving me over 200k right....???


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## r82230

PaMike said:


> These crazy auction prices just make it that much harder to do a family transaction. Heck, my siblings would say they are "giving me a deal" by letting me buy dad's farm for 3.2million. I mean they are saving me over 200k right....???


$250K by my calculations, if your talking the same acreage / price. 

A work-a-round that can help in that situation:

Farm has two values, one as a farming entity the second as a development entity. The work around, is to buy siblings out as farm land value (entity), with a provision that if the purchaser sells/develops within a certain period of time (10 -20 years), the siblings would get their portion of the developmental value.

I've seen cases where one kid gets (or buys) the farmland, then sells it within a couple of years as development property. The siblings that sold at at a reduced value are not always happy to say the least.  Put yourself in both sets of shoes and see how comfortable you would be, is what I tell folks.

Is there a perfect answer in every case? I'd say NO, but there can be something that is more equitable than one side taking advantage of the other side, by getting the lion's share.

Larry


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## endrow

PaMike said:


> These crazy auction prices just make it that much harder to do a family transaction. Heck, my siblings would say they are "giving me a deal" by letting me buy dad's farm for 3.2million. I mean they are saving me over 200k right....???


 Did you hear a farm sold along 897 at the Weaverland Quarry. ,and the price was crazier. Not sure i should share i heard from a non reliable source . Maybe 50ish in acres $3.65 ? Two farmers will split the land 50 acres ?


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## endrow

r82230 said:


> $250K by my calculations, if your talking the same acreage / price.
> 
> A work-a-round that can help in that situation:
> 
> Farm has two values, one as a farming entity the second as a development entity. The work around, is to buy siblings out as farm land value (entity), with a provision that if the purchaser sells/develops within a certain period of time (10 -20 years), the siblings would get their portion of the developmental value.
> 
> I've seen cases where one kid gets (or buys) the farmland, then sells it within a couple of years as development property. The siblings that sold at at a reduced value are not always happy to say the least.  Put yourself in both sets of shoes and see how comfortable you would be, is what I tell folks.
> 
> Is there a perfect answer in every case? I'd say NO, but there can be something that is more equitable than one side taking advantage of the other side, by getting the lion's share.
> 
> Larry


I am going threw the same battle here 2 off farm and one on farm in regards to children. We still farm with our son . Our daughters have interest in the farms and they chucked alot of bales and milked alot of cows well into there 30s . They are the 10th generation to farm here , on my moms famliy farms . My wife and i think maybe sell the farms while the still have some value , but the kids want to hear nothing of it . Farming in this area will never be like it was the last 200 years


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## Vol

Your without a doubt correct endrow on your thoughts of "Farming" in your area. Population increases will forever change it whether you want it or not. You have a very tough decision to make and it will affect most everyone in your family for sure. I think many of us will be facing the same exact thing very soon or in a few years. May your future decisions be Divine in nature and peaceful for all.

Regards, Mike


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## haydust

For that much money our Family farm would be moved. My pride/ego only goes so far past sense. If I could sell 70 acres for $50K an acre like mentioned above, I could buy 720 in northern Missouri and decent dirt. I'm okay with my great grandkids telling the story about me moving the family farm 50 years ago. lol


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## mx113

I love where I farm. I would not consider selling it as farm land for a reasonable price. Now if some large corporation wanted it and was willing to pay big for it, I am sure that I could love farming somewhere else!


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## haybaler101

Just got the appraisal back yesterday on farm next door that I have rented for 25 years. Landlady passed away a month ago. Looks like my boys are going to tap the young farmer program thru FSA and buy 170 acres with a house for an even one million, or $5300/acre plus 100k for the house. 155 acres tillable.


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## Vol

Those young farmer programs are very helpful. My youngest son was losing some riverbank caused by erosion from hydroelectric generation. He went thru NRCS and they developed a restoration plan that include 6 figures worth of rip rap and installation costs. They have paid 90% of it. A tip of the hat to President Trump's administration for making young farmers a priority in this country.

Regards, Mike


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## haybaler101

Vol said:


> Those young farmer programs are very helpful. My youngest son was losing some riverbank caused by erosion from hydroelectric generation. He went thru NRCS and they developed a restoration plan that include 6 figures worth of rip rap and installation costs. They have paid 90% of it. A tip of the hat to President Trump's administration for making young farmers a priority in this country.
> 
> Regards, Mike


Yeah, the boys can borrow money for about half of what I can and finance up to 40 years if needed.


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## endrow

haybaler101 said:


> Just got the appraisal back yesterday on farm next door that I have rented for 25 years. Landlady passed away a month ago. Looks like my boys are going to tap the young farmer program thru FSA and buy 170 acres with a house for an even one million, or $5300/acre plus 100k for the house. 155 acres tillable.


Congratulations to your family .Is this FSA loan program the same as the Beginning Farmer and Rancher loan program.


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## haybaler101

endrow said:


> Congratulations to your family .Is this FSA loan program the same as the Beginning Farmer and Rancher loan program.


Yes, I guess that is the official name.


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## mlappin

swmnhay said:


> Chatted with a realtor in SD.He was saying there is way more out of state buyers lately.He said a lot from MN and Washington.So people wanting to move from more liberal states to a more conservative state.


Been happening in Commiefornia for awhile.

My friends moved from Cali to Virginia several years ago, appears some of the lefties followed them to Virginia though.


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## mlappin

haybaler101 said:


> Just got the appraisal back yesterday on farm next door that I have rented for 25 years. Landlady passed away a month ago. Looks like my boys are going to tap the young farmer program thru FSA and buy 170 acres with a house for an even one million, or $5300/acre plus 100k for the house. 155 acres tillable.


Thats a really good price compared to what land is selling for here. A mudhole down the road is listed at $9K an acre, and I say mudhole as I've watched one tenant or another wallow around in the mud for over 40 years there, even this year it has some seeps that NEVER dry out.


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## haybaler101

mlappin said:


> Thats a really good price compared to what land is selling for here. A mudhole down the road is listed at $9K an acre, and I say mudhole as I've watched one tenant or another wallow around in the mud for over 40 years there, even this year it has some seeps that NEVER dry out.


We are lucky, the land lady had no children and no siblings and she left her entire estate to two local humane societies and a cemetery. So there are no "real" heirs to dispute the money. Could have been better if she thought enough of us just will the land to us, but my family has only been next door neighbors for 71 of her 73 years, I have rented the farm for 25 years, and I was her durable power of attorney the last 4 months of her life! Her extended family has always been very tight with money and possessions and for the most part, are just down right weird. What pisses us off the most is that the humane society of all people just got a big paycheck instead of leaving it to a worthwhile charity like a children's hospital or a scholarship fund. Yes, it is really good price because two different adjoining tracks have sold for $7500 per acre in the last two years.


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## endrow

haybaler101 said:


> We are lucky, the land lady had no children and no siblings and she left her entire estate to two local humane societies and a cemetery. So there are no "real" heirs to dispute the money. Could have been better if she thought enough of us just will the land to us, but my family has only been next door neighbors for 71 of her 73 years, I have rented the farm for 25 years, and I was her durable power of attorney the last 4 months of her life! Her extended family has always been very tight with money and possessions and for the most part, are just down right weird. What pisses us off the most is that the humane society of all people just got a big paycheck instead of leaving it to a worthwhile charity like a children's hospital or a scholarship fund. Yes, it is really good price because two different adjoining tracks have sold for $7500 per acre in the last two years.


I agree with you on all the points you made , especially the Humane Society . I went threw the same thing once I remember my dad saying . "They always said the land would be passed onto our family , just be glad you got it at a price you could afford".


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## haybaler101

haybaler101 said:


> We are lucky, the land lady had no children and no siblings and she left her entire estate to two local humane societies and a cemetery. So there are no "real" heirs to dispute the money. Could have been better if she thought enough of us just will the land to us, but my family has only been next door neighbors for 71 of her 73 years, I have rented the farm for 25 years, and I was her durable power of attorney the last 4 months of her life! Her extended family has always been very tight with money and possessions and for the most part, are just down right weird. What pisses us off the most is that the humane society of all people just got a big paycheck instead of leaving it to a worthwhile charity like a children's hospital or a scholarship fund. Yes, it is really good price because two different adjoining tracks have sold for $7500 per acre in the last two years.


A follow up since this thread appeared again. My boys finally closed on January 12th. FSA appraisal came in at 1.4 million for the 170 acres plus house so my boys had $400,000 instant equity when they signed their name for the $1 mil. Luke moved into the house that night and Jake moved to Herreid, South Dakota the next day and took a job managing a fertilizer facility for Agtegra. Hard on momma when both boys move out within 24 hours of each other!


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## slowzuki

Getting squeezed a bit here with development. 15 miles away run down fields are only 500$ an acre but right next to the farm some land just sold for over 50,000$ an acre for houses.

We are in process of buying 27 acres of clearcut behind our farm with the thought of pasturing on it. Was clear field in 1940 before all the boys went off to war. Grew up after as many of them didn't want to stay on the farm.


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