Thursday, July 14, 2011

'FARMLAND'S FIVE-YEAR BOOM MAY END AS INTEREST RATES GAIN'

(Bloomberg) -- Bloomberg.com reports, "A five-year bull market in U.S. farmland values may peak this year as interest rates increase and crop prices decline, Rabobank International said." The story notes, "gains in the past five years" as high as 70% in Nebraska, "were spurred by record grain and livestock prices and the lowest borrowing costs ever." One analyst said that "the cost of agricultural land is justified by the income generated, and the investment isn't a bubble."

http://www.bloomberg.com/news/2011-07-06/u-s-farmland-boom-may-peak-after-five-year-surge-rabobank-says.html