Rural real estate sales around Dallas-Fort Worth and statewide have slowed substantially from frenzied levels of the past two years, but land prices remain at or near historic highs, according to the latest report from the Texas Real Estate Research Center at Texas A&M University.
In addition, total dollar volume ebbed 16.7% to $547.1 million. Average transaction size increased 2.9% to 120 acres in Northeast Texas, and total acreage contracted by 34.6%, falling to 73,946 acres.What’s your overview of the Texas land market? Yes, it's going to calm down. Between April and May, the 30-year ag interest rates went up about 2.25% in about an eight-week period, and it had a real effect. It took people out of the market when buying power was severely curtailed. But then there still was so much cash on the sidelines that it really didn't create a huge blip. While people were borrowing money, it was still cheap, and they were willing to make up the gap on the percentage down payment. So it's still strong.
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