MISSOURI LAND MARKET IN 2000
Some Prime Hunting Land is now selling for more than $1,000.00 per acre. (Counties: Montgomery, Callway, Audrain, & Pike) The ideal "Prime hunting" land tract can be described as having a minimum of 80 acres with water (Ponds and/or stream) one half in open crop fields and one half in good woods A good example is a 100 hunting property the Leon R. Miller Co. sold this summer. The layout was ideal for hunting with six small crop fields each surrounded by woods. A year around stream ran through the land. Three St. Louis buyers grabbed it up for $1,100 per acre.

Weekend Retreats located within 100 miles of the buyer's home were in moderate demand this year. The typical weekend retreat costs less than $200,000 and is 80 - 120 acres in size. Properties with large trees, water and good access are in strong demand. The Leon R. Miller Co. sold several weekend farms in Franklin, Callaway and Montgomery Counties in 2000. Demand continues to be strong!!

Three-acre - five-acre tracts located within 65 miles of St. Louis/St. Charles Counties sold well this year. Most of these tracts were in developments and had public water and utilities. Retirees (55 - 62) comprise about 35% of the buyer market. Why the move the country at this age? As we were closing a sale with such a buyer, the gentlemen remarked, "My wife says I need something to do after retirement and living in the country ought to give me plenty to do."

Farmland values stayed the same and in some areas increase slightly in 2000! Many who predicted that the low corn and soybeans prices would drive down farmland prices were wrong!!! Here's what happen.

The grain prices were low, but weather conditions were ideal in Central and Northern Missouri. Bumper crops were harvested this fall!! Plus, most farmers received government programs payments that subsidized the low crop prices. As one of our farmer friends said, "If it hadn't been for the government payment, this would have been a dismal year."

This year (2000) marks the 13th consecutive year that Missouri land prices have gone up!!

Will this trend continue? Yes, as long as there is a continuation of a strong economy, high employment and favorable interest rates. On the other hand, the danger of a gasoline supply shortage could have an adverse effect upon land prices. In the 1970s', just the perception that there was a gasoline shortage cause a slow down in land sales.
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USING THE INTERNET TO LIST AND SELL LAND IN 2000
A friend of mine came to my office last week. He is a retired president of an agri-business company and had ask if I would take a few minutes to show him how I used the computer and the Internet in my business. Two hours later as he was leaving, his reaction was, "How do you know all this?"

Until he asked the question, I didn't realize that I had a choice! Our goal always has been to provide the best professional farm and land broker service possible. To do so meant constantly changing to new marketing methods that would benefit buyers and sellers. We believe our ideas are working. Here's why.

Last fall, a Missouri land owner living in England called me. He and his sisters (one lived in Colorado and the other in Missouri) had over 350 acres in Montgomery County to sell. A broker in the area had contacted them, but the brother had refused to list with their firm. The reason: The other real estate company did not have an e-mail address.

He had learned about us through the Internet while sitting at his computer in London. He had review pages of our website where he learned of my background and experience. He also read letters from previous clients that were also on our website. He liked how we included maps, pictures and detailed property information on each of our exclusively listed properties which was something not done by other real estate companies with web sites.

After a discussion (we were familiar with the land and the area) a listing price was agreed upon. The agreements were faxed to each of the owners for their approval.

Within 90 days all of the land was sold in three tracts. During that time, the four of us communicated through the exchanged of more than 150 e-mails. In seemed that each morning when I opened my e-mail, there would be messages either from London or Colorado or Missouri.

The negotiations of each contract were done by either email or fax. This meant that buyers received responses to offers quickly even though the sellers lived in different parts of the world.

Does this mean that all people are doing business through the internet? No, however since January nearly 30% of all serious inquiries have originated from buyers who have viewed listings on our website. More than 25% of our closed sales have been with buyers who saw the property advertised on our company website.

The internet is not replacing classified ads and signs yet. And, Email is not replacing letter writing, telephone call, or face to face meetings. There will always be a need for personal contact. But the Internet has become an effective way to get property information to buyers.

 

 

 

Leon R. Miller Co. l 12015 Manchester Rd l Des Peres, MO 63131
(O) 314.966.4100 or 800.969.4102
l (F) 877-767-7686
leonrmiller@mindspring.com