<body><div><figure><img src="https://img.particlenews.com/image.php?type=thumbnail_580x000&amp;url=3flSW5_17Z3lIBs00" alt="https://img.particlenews.com/image.php?url=3flSW5_17Z3lIBs00" width="608" height="470" ></figure>Iowa farmland values remained relatively stable, according to the results of a land value survey released last week. While limited land, strong yields and steady demand from farmers and investors helped support Iowa’s land market, they did not produce broad growth, according to the annual Iowa State University Land Value Survey. The value of farmland in Eastern Iowa — including Jackson, Clinton, and Jones counties — increased 3.4% to an average price of $12,772 per acre. That surpasses the state average, which increased 0.7% (or $83) to $11,549 per acre. While there was a reported increase, it remains about $286 per acre lower than the 2023 peak of $11,835, according to Dr. Rabail Chandio, who is responsible for the Center for Agricultural and Rural Development (CARD) annual land value survey results.Chandio that she typically considers changes of less than 5%, whether up or down, as more of an adjustment than a true market change. “Changes of that size often reflect variation across counties and crop reporting districts rather than a consistent statewide trend,” said Chandio, who is an assistant professor and extension economist in the Department of Economics at Iowa State University. “It wasn’t a boom or a bust, just a very uneven adjustment, with the story changing as you move across the state. Strong yields, limited land supply, and solid livestock income helped prop up values in some areas, but lower commodity prices, high interest rates, and rising costs pulled them down in others.”Local county land values were affected as follows, according to the report:  Jones County: Values also increased in Jones County, up 3% from $12,015 in 2024 to $12,380 after dropping 1.9% from 2023-24.• Jackson County: The average price per acre rose to $11,575, up 3.6% from $11,169 last year. • Clinton County: The average price per acre increased to $12,154, up 3% from $11,805 last year.When the value increases but the inflation-adjusted value decreases as it did this year, it still can be helpful for farmers, but only to a point, Chandio said. “A farmer selling land this year will receive more dollars than last year, and that can still support goals like paying down debt (whose real burden also shrinks with inflation), transitioning to retirement, or reinvesting elsewhere. In that sense, the higher nominal price provides some benefit,” she said.However, when inflation-adjusted values fall, additional money from land sales won’t stretch as far as it might have previously. “Sellers may find that the proceeds won’t buy as much machinery, land, or inputs as they would have a few years ago. So, while selling today can still improve a farmer’s financial position, the real economic gain is smaller than the nominal price increase suggests,” Chandio said.Despite the small growth in farmland values, many factors put downward pressure on farmland values this year. Chandio said one of those factors is federal interest rates, which only saw modest cuts in 2025. “Because we haven’t seen any major reductions, the market is still feeling the weight of the rate hikes from 2022 and 2023. And since interest-rate effects take years, up to a decade, to be fully capitalized in land values, those post-COVID increases are still working their way through the system,” Chandio said.Commodity markets also put some pressure on land prices this year. Chandio called commodity prices “soft” but said that tariffs likely only played a small and indirect role in this year’s farmland values. “Tariffs may have been part of the background noise, but they weren’t a major driver of farmland values,” she said. Farmers, she said, are still facing very tight margins on commodities, even with lower production costs.Chandio said she thinks one of the most interesting things about this year’s report is how divided Iowa’s market has become. “Even though the statewide average ticked up 0.7%, most counties actually saw declines once you adjust for inflation, and three crop reporting districts posted nominal drops. At the same time, places in the northeast saw increases of 3-4%, while parts of central Iowa slipped by 2-3%,” she said.Land values by countySixty counties reported increases in land values; however, 78 counties reported a decrease in inflation-adjusted values. O’Brien County had the highest value at $16,269 per acre, an increase of about $348 or 2.2%. Appanoose County had the lowest value $6,679 per acre, a decrease of $160, or -2.3%.Dubuque County saw the largest dollar increase ($553 per acre), while Clayton and Allamakee Counties saw the largest percent increase in values (4.4%). Kossuth County showed the largest percent decrease (-4.3%) and the largest dollar decrease (-$552 per acre).Factors influencing the marketLower commodity prices were cited as a negative factor influencing the market by 32% of survey respondents, the most common factor among respondents. Other negative factors cited by respondents include long-term interest rates (22%) and tariffs and trade uncertainty (13%).Limited land supply was cited most often as a positive factor influencing the market (21%). Other positive factors include strong yields (13%) and cash/credit availability (10%).Land values were determined by the 2025 Iowa State University Land Value Survey, conducted in November by the Center for Agricultural and Rural Development at Iowa State and Iowa State University Extension and Outreach. Results from the survey are consistent with results by the Federal Reserve Bank of Chicago, the REALTORS Land Institute, and the U.S. Department of Agriculture showing only small changes in the land markets.The Iowa State Land Value Survey is based on reports by agricultural professionals knowledgeable of land market conditions, such as appraisers, farm managers, agricultural lenders, and actual land sales, and is intended to provide information on general land value trends, geographical land price relationships, and factors influencing the Iowa land market. The 2025 survey is based on responses from 316 agricultural professionals. The Iowa State Land Value Survey was initiated in 1941 and is typically conducted every November and the results are released mid-December. Only the state average and the district averages are based directly on the ISU survey data. County estimates are derived using a procedure that combines the Iowa State survey results with data from the U.S. Census of Agriculture.CARD offers a web portal that includes visualization tools, such as charts and interactive county maps, allowing users to examine land value trends over time at the county, district, and state level.</div></body>

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Iowa farmland values remained relatively stable, according to the results of a land value survey released last week. While limited land, strong yields and steady demand from farmers and investors helped support Iowa’s land market, they did not produce broad growth, according to the annual Iowa State University Land Value Survey.

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Iowa farmland values remained relatively stable, according to the results of a land value survey released last week. While limited land, strong yields and 

The Monticello Express

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