LandThink

The devaluation in real-estate values that began in metropolitan areas in 2007 with over-valued residential properties is starting to roll into the country. Sales seem to be slowing.

I know of two separate sellers, each of whom is marketing a tract of more than 5,000 acres. Each is priced at about $1,500/A. I think fair value for each is in the $700/A range. That’s not a low-ball number. It’s how I pencil out the assets. And maybe I’m being generous.

No one likes getting kicked in the teeth. Particularly, repeatedly. That’s how Americans feel this week as the sinking economy flails about, dragging down banks, sales, jobs, credit, savings and hope.

I’m trying to figure something out: With rural property showing for-sale signs rusting in place, why haven’t sellers lowered asking prices and offered financing?

Among the countless problems that can occur during the “sale pending” period of a land transaction, a survey is at the top of the list. Along with title issues, survey problems adversely impact more land closings than anything else.