The Future of Farmland in a World of Financial Fraud and Safe Haven Bubbles!

Timothy Geithner was on Capitol Hill today answering questions about his reaction to finding out about the manipulation of Libor in 2008. Though he alerted UK authorities, he told Congress ultimately, he thought it was the responsibility of UK regulators to address Libor manipulation issues. Meanwhile, Bank of England officials reportedly raised concerns internally about the London Whale in 2010…after all it was the responsibility of US regulators to handle JP Morgan. Back and forth we go. Are you as sick of this as we are, but not sure what to do about it or who to react in order to protect yourself? We will talk about farmland as a way out with Brad Farquhar, manager of the largest farmland fund in Canada.

Comments

  1. What about farmland right now or buying gold / silver and buying farmland in 5 years ? Shouldn’t both go up in value ?

  2. Jim Rodgers has been saying for a long time Agriculture will be the thing of the future!

  3. Buy land

    because they aint making any more of it……….

  4. If Trader Dan is correct, the current drought over the heartland combined with pending QE# could drive a lot of farms to bankruptcy.  Hopefully it won’t be a desert by then.

  5. Buy land says :

    “because they aint making any more of it……….”

    Sure, but they don’t make a lot of silver either…

    Any chance the land become more valuable than the precious metals… or the other way around ?

  6. An Acre of good farm productive land will allways be worth more than an Oz of silver

    BUT

    If it comes to pass that it isnt you are going to have much bigger problems to deal with besides finding something to ………eat

    everyone has to eat

    the metals are insurance but keep in mind ya have to live long enough to collect that insurance try doing that & not eating

  7. So you would recommand buying land right now… even at those inflated prices ?I mean… Silver could co up 20-fold in the next 6-7 years… You believe land would go up much more in value ?What about waiting for silver to go up and THEN buying land ?

  8. balz

    I have no idea where you live

    check on your local farm land prices

    if silver goes to $400 an OZ ……ok great

    but if farm land goes from say $1,000 an acre to $5,000 or who knows could be 15 – 20,000

    you will spend that 400 to eat off that acre

    OBTW …….I bought land last year & it has gone up in value 15% since i bought it

  9. The land idea is basically solid as long as the government leaves you alone. Unfortunately the busy-bodies rarely do this. They meddle.
    They raise property taxes, change zoning regulations, regulate farm animals, demand inspections of barns and other farming equipment, and even send swat teams to crack down on politically incorrect farmers that produce and sell raw milk.
    You can’t ‘bug out’ and take your land with you, unlike PMs.
    Out west they have tried various heavy handed methods to run farmers out, in the Klamath region (Oregon) the farmers had to resort to their state supreme court to fight the government agents cutting off their water. And they haven’t won yet.
    Land has its drawbacks like any other investment. For me, the perpetual taxes and use limitations make land an ok, but not the best investment.
    I like silver, it’s a no-brainer and thus perfect for half-wits like myself. ;)

  10. Right on Yooper! With an acre of land I can grow my veggies, feed the animals, draw my water, stoke my fire place, entertain family/friends, protect my silver, rent a trailer spot or garden plot, etc. Silver is the best place to put your fiat at the moment but if you can find a little land, well, it’s also a hard asset and your survival may depend on it. You can’t grow tomatoes on an acre of silver but you can feed your family for well over a year on an acre of land. Time to plant the fall garden next month. Keep your silver for other expenses and hard times.

  11. Spot on brother 2 oz

    Conax very well said

    both of you explained what i was trying to say better than I could ……….THANKS

  12. Not a half-wit Conax. Very wise in my opinion.

  13. haha – I meant a ‘financial industry’ half-wit. In the world of investment banking, I’m a moron.
    Luckily it doesn’t take a degree from Harvard to see that bludgeoning the price down on something that is already under valued is sure to cause a real shortage of any commodity.  I’m a firm believer in the fundamentals.
    Finding, digging and smelting ore is a lot tougher than adding zeroes to a balance sheet. That is where my confidence comes from.
    And it is easier to conceal, transport, and unload than a parcel of land, with all the red tape involved.

  14. Ok, but let’s say you have the choice between selling silver to buy land or waiting for silver to go up in value and selling it later to buy land, what would you choose? Its a race in value for real assets, but I still wonder what will go up faster between PMs and land. Right now land is pretty expensive. But we all know it can get worse. And land WITH a house is still more expensive because the housing bubble has not deflated yet completely (in Canada, France and elsewhere, actually, it’s still in a bubble).

  15. balz

    I bought forclosed property with lots of land for 1/3 of assesed value ….but I did not sell my metals to do it….also i spent years studying the market before I bought.

    If you are not in the US

    I feel your options are ……….limited

    do not sell your metals at this time to buy land

  16. Thanks Da yooper.I also feel like it would be easier in the US since houses are very cheap right now (they will get cheaper, but still…) so right now I’m stuck… I need to keep metals but my only fear is that in 5 years from now silver might be 250$ / oz. but an acre of land could go from 1000$ to 15,000$…. That would be a problem since I wouldn’t be able to buy as much land as I can right now.
    Food will get much more expensive in the future… And so will land.
    So I’m not sure silver and gold will appreciate faster than land.
    That’s the problem!

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