Iowa farmland value climb may be leveling off
The $5,000-per-acre farmland value barrier has been breached in Iowa. But, signs -- like more land for sale around the state -- now point to a leveling-off of the value climb that's paced the marketplace for a decade.
Farmland values in Iowa gained 7.1% in the last six months, making for a 20.7% increase in the last year, according to a report released Monday by the Iowa Farm and Land Chapter #2 Realtors Land Institute (RLI). The numbers show the value of Iowa farm ground has increased slightly more than 60% overall in the last five years.
Leaders of the RLI -- a group that comprises real estate agents and farm managers from around the state -- announced the results of the annual fall Land Trends and Values Survey at the group's yearly convention meeting Monday in Clive, Iowa. This year's edition of the survey asking realtors and farm managers around the state for their estimates of value for "bare, unimproved land with a sale price on a cash basis" saw above-average participation. According to RLI director Troy Louwagie, 185 of the 375 surveys distributed were completed.
"We have seen strength in the last six months," Louwagie said Monday, adding that all nine crop reporting districts in Iowa saw values increase. "We believe that there is strength in the market, but it's maybe going down a little bit."
Iowa Farm and Land Chapter #2/Realtors Land Institute
Survey of Farmland Values (in dollars per acre)
(Land classification by potential corn production)
Area in Iowa
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