MARKET
Land Market Shifts Into Overdrive
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The number of sales increased 7.55 percent while prices grew 22.64 percent higher to $1,338 per acre. Total acres sold grew 28.14 percent to 146,696 acres while dollar volume increased 57.15 percent to $196.3 million.
FOURTH QUARTER 2021 2
Preliminary fourth-quarter reports indicate continued explosive growth throughout the Texas market. Total acreage shot up 49.47 percent to 826,127 acres. Final reports will further expand that total making 2021 a record-breaking year with dollar volume reaching $3.27 billion, a 92.89 percent increase over 2020 levels. That total will expand further when the final reports add sales. The statewide price soared an amazing 29.05 percent to $3,954 per acre. All regions experienced double-digit price and total acreage percentage increases. Market participants reported an abundance of investment motivated buyers competing with recreational buyers and urban dwellers seeking a countryside retreat. In addition, farmers and ranchers have enjoyed increases in commodity prices fueling demand for cropland. This continues to be one of the most active periods in Texas land market history. The typical size increased 14.58 percent to 1,305 acres.
Panhandle & South Plains
Far West Texas Although rising oil prices have inspired an uptick in the oil-related operations, the expansion has not prompted buyers to flood into this market where only 21 total sales represented an 18.61 percent drop from 2020 levels. However, total acreage expanded by 10.95 percent to 39,091 acres. Buyers concentrated on highly desirable properties driving prices up 96.34 percent to $1,826 per acre. Few sales at very high prices make it difficult to establish reliable marketwide pricing information.
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BY CHARLES E. GILLILAND PH.D. Research Economist Real Estate Center, Texas A&M University
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| LEGENDARY LIVING
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Source Real Estate Center, Texas A&M University
