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Strength in Prices of Quality Farmland Re-Confirmed
FAIRMOUNT, Ind. (April 22, 2010) - Monday's auction of a 681-acre farm attracted a crowd of more than 250 people - including 76 registered bidders - resulting in a sale for a total price of more than $3.7 million.
The outcome re-confirmed the recent strength in prices of quality farmland, according to Rex Schrader, president of Schrader Real Estate & Auction Company. "The price per acre definitely indicated that farmland prices are higher than in the fall of 2009. Demand is strong, and the number of farms on the market remains at record lows," said Schrader.
The local bidders dominated the early bidding, which reached a total of $3,067,000 on 15 individual tracts. After larger bidders began making offers on combinations, the final total came to $3,717,000.
"Almost all of the cropland went for $5,607 per acre to one investor who had searched diligently for a farmland investment that met his requirements," said Schrader. "We had spirited competition between this buyer and several local bidders. The result underscores the strength of the market and the quality of the land, which had been in one family for three generations," he said.
In addition to the large cropland sale, there were six other successful buyers for homesteads, woodland, and a cell tower. The main homestead last occupied by Lloyd Campbell sold for $250,000 to a local family, and the cell tower sold for $100,000 to an out-of-state investor.
The land was owned by the Lloyd and Charlotte Campbell Trust. Campbell, who died in November 2009, had been very active in selling feeders and buying fat cattle from many area cattlemen while working many years for the Emge Packing Company. Three of his four sons were able to attend the auction, traveling from their respective homes in Tennessee and California.
Schrader Real Estate & Auction Company is the nation's leading auctioneer specializing in the sale of farmland, timberland, commercial property and other types of real estate throughout the United States. Individuals seeking information on upcoming sales may contact the company at 800-451-2709 or visit www.schraderauction.com.