Farmland market cycle reminiscent of 2012 to 2014
A farm real estate professional sees parallels between current farmland prices and the market a decade ago.
Paul Schadegg with Farmers National Company says the runup in values reminds him of what occurred from 2012 to 2014.
“If you look back through history, we have a lot of these ag cycles where we run values up, and then it settles to a new normal and then it runs up and settles to a new normal. So I think we could very well see a similar pattern.”
He tells Brownfield the farmland market remains strong.
“And I think if we look at the charts today, it’s kind of following a similar pattern to what it did in ’12 through ’14 before settling at that new normal value.”
Schadegg says farmland values are being pressured by high interest rates and uncertainties in the ag economy.