(Ames, IA) — The annual Iowa State University Land Value Survey finds a modest one-point-seven percent statewide increase in the value of an acre of farmland in 2020.
Survey leader Wendong Zhang says there was a big difference in price changes based on the type of land. He says it was nearly flat for higher quality and six-point-seven percent growth for low-quality land.
Zhang says “overall across the nine crop reporting districts, only southwest Iowa saw a modest one-percent decline.” That puts the average price of an acre of ground at seven-thousand-559 dollars.
He says continued low interest rates were part of the reason for the slight land value increase.
Zhang says the federal payments to farmers from the pandemic had some impact — but he doesn’t think we’ve seen their full impact yet.
Scott and Decatur counties reported the highest and lowest values, respectively for the eighth straight year.
