Not all land is created equal. While much of the land in the northern great plains looks similar, land quality, and therefore value, can vary from one field to the next. At Red River Land Company, we have been evaluating, managing, and selling farmland for more than 75 years. Our experienced team can help give you an assessment of your land’s value in the preparation of sale or in determining a fair rental rate.
So, how is land value determined?
There are a lot of factors that contribute to land’s overall value. We will dive into the main factors including soil type, drainage, and location through a three-part blog series.
Much of the variability in values are derived from unique soils types and formations left behind from the last glacial period. In fact, the rich land of the Red River Valley stems from the plant and animal deposits left behind from glacial Lake Agassiz. While geological history is important to land quality and productivity, modern infrastructure and technology also play a role in land’s overall value.
We will discuss these items in more detail in the upcoming weeks to provide a general overview of factors impacting farmland’s productive capacity and therefore its value.