Farmland sales are heating up across Iowa this summer.
Base Camp Country Real Estate land specialist Randy Thompson says the market is gaining strength with a recent sale in northeast Iowa’s Grundy County eclipsing $18,000 an acre.
“So the right piece in the right area, there’s still a lot of strong bidding and buyers that demand that high-quality CSR2 ground.”
In mid-July, a 79-acre tract in northwest Iowa sold for nearly $17,000 an acre, and Thompson tells Brownfield that momentum could carry into the fall.
“All we need is a little bump in the markets, depending on their input costs. We’re just slightly over break-even, but farmers tend to be very optimistic and if we get a 50 cent to a dollar bump in the commodity prices, I could see a 5 to 7% increase on the tillable.”
Thompson says the prospect of additional farmer aid and a bumper crop are boosting short-term confidence in farmland values.
