Iowa saw less ag land being sold last year than normal, which continues the trend down from the high number of transactions experienced several years ago.
“During 2017, Farmers National Company agents sold 20 percent of the ag land in Iowa that was handled through a brokerage firm. This amazing fact is a testament to each of our agent’s dedication in meeting the seller’s needs and understanding the local land market. Farmers National Company’s comprehensive marketing efforts bring full exposure to all potential buyers, which brought about all those successful sales,” said Sam Kain, area sales manager for Iowa.
According to Kain, prices for good quality land are steady to trending a bit higher, while lower quality properties are five percent lower when compared to the past six months. Auctions continue to be the predominant means to sell farmland in Iowa with estates being the majority of the sellers.
Ag lenders remain cautious in their outlook as the lower farm incomes of the past few years increasingly put pressure on the financial condition of borrowers. Even though Kain said he has only seen a few forced sales of land, the expectation is that there may be additional financially encouraged sales coming.
“Farmers National Company has seen another increase in its Iowa sales so far in 2018,” Kain said. “Our agents have marketed and sold 34 percent more farms and 63 percent more acres to date than last year.”