Rural Land Values Soar In 2005
So, you want to buy a rural estate. Say, a mere 100 acres. Just enough to keep things private. Quiet. Secluded. A little breathing room after all that time spent earning a living in the big city.
Well, that's fine. You probably deserve it.
Just one thing. Better bring the checkbook for the account where you keep the big money.
You see, prices for agricultural land jumped 88 percent in Florida during the last 12 months according to the University of Florida's latest Florida Agricultural Land Value Survey.
That's not a misprint, folks, that's an 88 precent jump in one year for agricultural land in Florida.
The reason for the big jump may be because most of the farmland is not going to be used for agricultural purposes. According to an article in April's issue of Florida Realtor Magazine, John Reynolds, a professor with the University of Florida's Institute of Food and Agricultural Sciences, said much of this land is being bought up by land speculators, developers and foreign investors. There is also a strong demand for rural home sites.
According to Reynolds, agricltural land in northwest Florida averages about $2,700 per acre for unimproved pasture and woods. In central and south Florida, those orange groves and pastures will average about $10,000 per acre. So, that little 100-acre tract of orange trees down near Clewiston where you want to build your special hideaway will probably involve a land cost of around $1,000,000 if I worked the math right.
I can hear my father now: "A million dollars for a hundred acres of dirt? I can remember when you could have bought all of St. Pete Beach for a million dollars." Well, dad, times change. And so do dirt prices. In fact, in all regions of the state the value of crop and pastureland jumped 85 to 87 percent last year.
For more information about this study, "Strong Nonagricultural Demand Keeps Agricultural Land Values Increasing", go to http//edis.ifas.ufl.edu.
Well, that's fine. You probably deserve it.
Just one thing. Better bring the checkbook for the account where you keep the big money.
You see, prices for agricultural land jumped 88 percent in Florida during the last 12 months according to the University of Florida's latest Florida Agricultural Land Value Survey.
That's not a misprint, folks, that's an 88 precent jump in one year for agricultural land in Florida.
The reason for the big jump may be because most of the farmland is not going to be used for agricultural purposes. According to an article in April's issue of Florida Realtor Magazine, John Reynolds, a professor with the University of Florida's Institute of Food and Agricultural Sciences, said much of this land is being bought up by land speculators, developers and foreign investors. There is also a strong demand for rural home sites.
According to Reynolds, agricltural land in northwest Florida averages about $2,700 per acre for unimproved pasture and woods. In central and south Florida, those orange groves and pastures will average about $10,000 per acre. So, that little 100-acre tract of orange trees down near Clewiston where you want to build your special hideaway will probably involve a land cost of around $1,000,000 if I worked the math right.
I can hear my father now: "A million dollars for a hundred acres of dirt? I can remember when you could have bought all of St. Pete Beach for a million dollars." Well, dad, times change. And so do dirt prices. In fact, in all regions of the state the value of crop and pastureland jumped 85 to 87 percent last year.
For more information about this study, "Strong Nonagricultural Demand Keeps Agricultural Land Values Increasing", go to http//edis.ifas.ufl.edu.
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posted by Terry Ward at 5:18 AM
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