Today the Iowa chapter of the Realtors Land Institute released the results of its biannual Land Trends and Values Survey, finding Iowa farmland values declined by an average of 0.2% since March.
The March survey found Iowa farmland values increased 0.8% between September 2022 and March 2023. Combined with today’s survey results, the institute says the surveys reveal a year-over-year farmland value increase of of 0.6% in Iowa.
“After double-digit increases through much of 2021 and 2022, the 2023 land market has confirmed its move toward leveling off,” says the institute in a release. “We continue to see a struggle between rising interest rates trying to pull the market lower while positive net farm incomes allow the market to remain supported at today’s values.”
Breaking the results down by crop reporting districts, the institute says the largest decrease in value of 2.9% was seen in the northwest district. The largest increase in value of 1.3% was observed in the south central district. The survey also found timber and pasture lands went up 1.1% and a 1.4% respectively.
The institute says survey participants are specialists in farmland and were asked to estimate the average value of farmland as of Sept. 1, 2023. The estimates are for “bare, unimproved land with a sale price on a cash basis.” Opinions on pasture and timberland values are also requested.
The biannual Land Trends and Values Survey has been conducted since 1978. Learn more here.
Realtors Land Institute is an affiliate of the National Association of Realtors and is organized for realtors who specialize in farm and land sales, management, development, and appraisal.