Reply
by an intermediary
from University of Pennsylvania
in Durham, NC, USA
^redacted I looked at farmland values and cash rental rates a year ago for a client, specifically in Ohio and Iowa. Cash rents for good cropland in Iowa were about 3-4% of land value. There's potential appreciation in addition to the cash yield but total expected return was only 5-8% annually. It's better than a bond yield but much less than an investor in a typical search fund would expect.
Reply
by a searcher
from Purdue University
in Dallas, TX, USA
I'd be curious where/why you're looking? To Barry's point, you really shouldn't expect more than ~7% return, but it could be a strong hedge against inflation. I own land in Indiana that my family still operates and would be happy to connect if you have any interest in opportunities there.
from University of Pennsylvania in Durham, NC, USA
from Purdue University in Dallas, TX, USA