June 20, 2012
Farmland Values – Will the Boom Turn Bust?
Table of Contents
- What is a Bubble?
- Farmland Values and Fundamentals
- A Historical Perspective on Nominal and Real Gains
- Increasing Value‐to‐Rent Multiples
- A Historical Perspective on Sector Returns and Asset Values
- Falling Interest Rates
- Returns and Values: The Case of Indiana
- Are the High Multiples Sustainable?
- The Role of Expectations
- What Do Farmland Investors Say?
- Attitudes toward Valuation
- Someone Else will Pay More
- Value‐to‐Rent Relationship
- Future Values and Incomes
- Where to in the Future? Multiples
- The Link between Commodity Price Expectations and Values
- Summarizing the Survey Results
- Conclusions
- References
Read and download the PDF of the full paper prepared for the 2012 Agricultural Symposium.
*Download the slides from Dr. Gloy’s presentation at the 2013 Top Producer Seminar on this article.
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