ASFMRA ARA case studies
ASFMRA ARA · Put your knowledge to work in context.
The Accredited Rural Appraiser (ARA) is one of the professional accreditations conferred by the American Society of Farm Managers and Rural Appraisers (ASFMRA), alongside the Accredited Farm Manager, Real Property Review Appraiser, and Accredited Agricultural Consultant designations. It is intended for appraisal professionals who specialize in agricultural land and rural property - assets the ASFMRA describes as requiring "a special understanding, insight and appreciation" to manage and assess. The ASFMRA ARA case studies are 5 cases and about 2,598 words.
1The Pivot Irrigation Easement and Highest and Best Use
You are appraising a 640-acre irrigated corn farm in the High Plains. The subject has a center-pivot system covering 520 acres, with the remaining 120 acres in corners and a farmstead.
531 words, about 3 min2Partnership Lease Renewal and the Cash-Rent Decision
A 1,200-acre owner-operator is retiring and converting to a landlord. He has three tenant applicants.
536 words, about 3 min3Refinancing a Highly Leveraged Row-Crop Operation
A family row-crop operation has 3.2 million in term debt (land and equipment) at a blended 7.25% rate and a 600,000 operating line at 8.5%. Gross revenue last year was 2.1 million; total operating expenses (excluding debt service) were 1.75 million; depreciation is 180,000; family living draws are 120,000.
518 words, about 3 min4Pressure to Hit a Predetermined Value
You are completing an appraisal of a 480-acre irrigated farm for a lending client. The loan officer emails you: 'The borrower needs this to appraise at 3.6 million to close.
516 words, about 3 min5Recertification, Scope of Work, and a Stale Report
Eighteen months ago you appraised a 900-acre ranch for a lender at 4.1 million. The loan is up for renewal, and the lender asks you to 'just update the date and resubmit - nothing's changed.' You know that since your report: (a) a 200-acre parcel was sold off the ranch, (b) regional cattle prices have risen about 12%, and (c) a neighboring ranch sold at a notably higher per-acre price.
497 words, about 2 min