Farmers National Company Reports Higher Land Prices this Fall

Farmers National Company reports buyers are willing to bid up for good quality cropland in the heart of the Midwest this fall, citing two recent sales. In central Iowa, two separate 120-acre tracts brought $13,700 and $13,400 per tillable acre. Meanwhile, a quarter section in central Illinois sold for $13,500 per tillable acre. Randy Dickhut of Farmers National Company says, “these are definitely strong sales with prices up from where they have been the past few years.” He says farmers continue to be active bidders for the good cropland that comes up for sale in their areas as they add to their operations. Local investors who are either diversifying their asset portfolio or doing a 1031 tax-deferred exchange are also active bidders in many land sales. Dickhut adds the lack of safe, alternative investments that return more than farmland, such as Treasury bonds, is also another factor in the demand for land.