Each year, the Texas Chapter of the American Society of Farm Managers & Rural Appraisers publishes the Texas Rural Land Value Trends report. This document provides helpful, interesting information for Texas landowners on both average property value and lease rates for agricultural land across the state. They recently released their 2019 report. [Click here to download.]
The average price per acre in Texas increased by 6.4% from last year to $2,972/acre. The publication divides the state into 7 regions, and then further divides each region into sub regions. Land is divided into different categories applicable to the area, such as irrigated cropland, non-irrigated cropland, native pasture, and improved pasture. The report offers a range of leasing rates for each category in the sub region. Additionally, this is the only publication I am aware of that publishes average hunting rates in Texas.
Additionally, the publication included an interesting article by Jennifer Pitts, CRE, discussing the effects of externalities (such as the presence of transmission lines or wind turbines and the presence of extensive oil and gas operations) on property value. She noted that an appraiser cannot assume these conditions will always negatively impact property values, but must conduct an individual analysis to determine what effects may exist on an individual property.
To download your copy of the report, click here.
By Tiffany.Dowell, Ag Law in the Field