- Associated Press - Friday, December 19, 2014

AMES, Iowa (AP) - The average price of Iowa farmland fell nearly 9 percent in the past year, but it still remains far above the prices of a decade ago.

A report from the Center for Agricultural and Rural Development at Iowa State University shows prices fell 8.9 percent, to an average of $7,943 an acre. Despite the drop, the average price is more than double prices seen a decade ago, the Des Moines Register reported (https://dmreg.co/1wTLNEV ).

“Commodity prices and farm income are settling back to more expected levels, and I think land values will probably move sideways for a while,” said Michael Duffy, a retired Iowa State professor who conducted the survey.

It was the second time since 1999 that the survey showed farmland prices had declined.

Steve Bruere, the president of Clive-based land brokerage and management firm Peoples Co., said recent increases in grain prices should help farmland prices. Corn futures now are trading at about $4 a bushel.

“I don’t think the 9 percent drop in land values in itself is going to cause a lot of stress,” he said. “If you see corn prices with a 3 in front of it instead of a 4, then I think we’ll start to see some pain.”

Eastern Iowa’s Scott County had the highest average farmland price at $11,618. The lowest average price was $3,587 in Decatur County, in south-central Iowa.


Information from: The Des Moines Register, https://www.desmoinesregister.com

Copyright © 2018 The Washington Times, LLC.

The Washington Times Comment Policy

The Washington Times is switching its third-party commenting system from Disqus to Spot.IM. You will need to either create an account with Spot.im or if you wish to use your Disqus account look under the Conversation for the link "Have a Disqus Account?". Please read our Comment Policy before commenting.


Click to Read More and View Comments

Click to Hide