Iowa cropland values remain consistent

By Eric Schlutz and Dennis L. Stolk–Ruhl & Ruhl Realtors

The Land Trends and Value Survey found land prices stayed about the same for cropland in Iowa over the past year.

MUSCATINE, Iowa–The Land Trends and Value Survey, presented by the Iowa Farm and Land Chapter #2 Realtors Land Institute, reported no increase or decrease in cropland values on a statewide average for the March to September period. Combining this stable period with the 0.1% increase reported in March indicates a statewide average increase of 0.1% from Sept.1, 2019 to Sept. 1, 2020.

In our East Central district, high quality cropland is selling at $10,355 per acre, or at the second highest rate in the state. This is up slightly from the value reported in March. Timber is selling at an average of $2,627 per acre.


“Low interest rates and the resurgence of investor buyers have helped maintain land values. A good harvest and some strength in the commodity prices would only help to further strengthen the land market,” said Eric Schlutz, ALC, Realtor, and manager of the Ruhl & Ruhl Realtors Muscatine Office.

“Our land markets continue to show resilience and stability in values during a time of generally low commodity prices. Historically low interest rates, good buying demand by both farmers and investors, as well as a lack of inventory of available land for sale have all contributed to this stability,” said Dennis Stolk, ALC, farm and land specialist with Ruhl Farm & Land.

For the survey, participants are asked to estimate the average value of farmland as of Sept. 1. These estimates are for bare, unimproved land with a sale price on a cash basis. Pasture and timberland values were also requested as supplemental information.

High-Quality
Crop Land
Medium-Quality
Crop Land
Low-Quality
Crop Land
% Change in
Tillable
Cropland
Non-Tillable
Pasture
Timber
Per Acre
East Central10,355/acre7,617/acre4,819/acre+1.0%2,934/acre2,627/acre
Northeast9,2967,2154,867-1.1%2,9282,978
Southeast10,0626,7334,536-0.6%3,0312,488