Demand for farmland up during pandemic
A new report by Farmers National Company shows demand for all types of land has risen during the coronavirus pandemic.
Farmers National senior VP of real estate operations Randy Dickhut says as a result of COVID-19, a growing number of individuals have become interested in land as an investment.
“I think in general it affected most areas, especially the good quality cropland strengthening. But overall, just that general better value (and) a little stronger price on most things in most areas.”
He tells Brownfield that includes the dryland plains of western Nebraska and Kansas where land values are lower.
“You’ve got wheat/fallow rotations and so forth, and those land prices took more of a hit in that decline. Well they’re coming back or (at least) definitely stabilized.”
Dickhut suggests the same factors that have helped support farmland values the past few years, like low interest rates, are expected to carry on into 2021. Additionally, he says stronger demand by farmers and investors should firm up prices even more.