Land values in Iowa have been an interesting thing to watch over the past few years. If you don’t believe me, I can tell you that Iowa’s numbers even caught the attention of producers in Minnesota. Iowa State University (ISU) has been conducting a survey of land values since 1941. On Wednesday, they released the findings of their 2019 survey.
ISU Assistant Professor of Economics Dr. Wendong Zhang gave us a breakdown of the numbers which rose by 2.3%. This marks only the second increase in the last six years.
There have been several factors that are driving this slight turn around. Including interest rates, yields, land supply, and the Market Facilitation Payments.
Of the nine crop reporting districts in Iowa, only the Northeast district showed a drop in value. In contrast, the Central and East-Central regions saw the largest jumps.
Dr. Zhang cautions against viewing this as the beginning of a rebound. He says this only represents a “modest increase.”
The full results of the survey can be found on the ISU Center for Agriculture and Rural Development website.