Farmland Values Remain Steady

UNDATED (WJON News) - In spite of declining commodity markets and rising interest rates, farmland values seem to remain steady moving into 2024.

The Farmer’s National Company has released the January 2024 land values report and it shows a resilient market fueled primarily by farmers with strong cash positions adding to their land base.

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Paul Schadegg is the senior vice president of real estate operations at the Farmers National Company.

Land has proven to be a valuable asset due to the historic appreciation of ag land values. Over the past 25 years, average land values have experienced steady growth following the 1980s farm crisis. Under a strong ag economy, Farmers National Company expects that trend to continue.

Officials with Farmers National say commodity markets and crop input costs will affect the land market in the short term, but strong demand for a limited number of acres should support the market.

Highlighting the northern region’s auction results:

1,200 acres of land in Walworth and Potter counties, South Dakota. The sale of high-quality farmland sold in six tracts at an average of $5,550 per acre
313 acres in Turner County, South Dakota sold for $8,418 per acre.

The Farmer’s National Company conducted nearly 700 land auctions nationwide last year accounting for over $600 million of sales volume.