Land prices declined in 12 Midwestern and Plains states but held steady or improved slightly in the South according to Farmers National Co, a farm management and real estate company, says AgWeb. It cites a Farmers National official as saying location and land quality are the biggest determinants of land value. The company’s survey of 17 states found slight declines in prices for high-quality land in 12 states – Illinois, Indiana, Iowa, Kansas, Kentucky, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio and South Dakota, said AgWeb. “Prices were flat in Arkansas and Texas and the only states that saw an increase were Mississippi, Tennessee and Washington state (irrigated),” it said.
Prices for lower-quality land are down as much as 15 percent, said the Farmers National executive. Top-quality land is viewed as a long-term investment and is still pursued. Owner-operators account for nearly 90 percent of buyers in many regions, he said.