Iowa land sales have garnered a lot of attention lately. The land market in Iowa has been on fire for the past year starting out last fall with better prices than we had been thinking. On through the winter, prices paid for cropland at auctions continued to move higher getting back near the levels last seen in 2013. Aggressive bidding continued into summer and the fall selling season with new high prices for an area being reached quite often. But, the land market is also strong in most other crop regions.
For instance, Farmers National Company recently sold a client’s land in northeast Nebraska at a simulcast auction for $12,950-$13,400 per acre, which if not records for the county, would be very strong sales. (For more information, please visit the link). Another recent sale in Nebraska brought $14,000 per acre for non-irrigated cropland.
Other states are seeing strong land prices continue into the fall. Kansas, South Dakota, Illinois, and Indiana for instance, are experiencing strong prices for good cropland as farmers and investors bid for the land. Lower quality land is also seeing strength with sales prices far surpassing expectations in many areas.
Land sale activity in the grain belt slows during the heart of harvest. As auctions and sales pick up steam again in late October and November, much attention will be paid to the prices paid for ag land. Many focus on the main corn belt states, but it is important to watch all ag areas to observe the trend in land prices.