Farmland Market Update - May 2025
Welcome to the latest farmland market update from Whitaker Marketing Group! Let’s dig into what’s happening in the Iowa land market as of May 2025.
Current Farmland Prices
Here’s the latest breakdown of farmland prices across Iowa:
🌾 High-quality ground: $13,709/acre
🌽 Medium-quality ground: $9,484/acre
🌱 Low-quality ground: $5,300/acre
Top-notch farms are holding strong, with buyers clearly favoring quality. This aligns with trends we’ve seen over the past year, where high-quality land has consistently commanded a premium.
Regional Price Trends: A Closer Look
Breaking it down by Iowa’s crop reporting districts (Dec 2024 – May 2025), we see significant variation in land values based on quality and location:
Northwest: High-quality land averages $14,913/acre ($168/CSR2), while low-quality land sits at $8,200/acre ($165/CSR2).
North Central: High-quality land is at $12,552/acre ($149/CSR2), with low-quality at a stark $2,704/acre ($59/CSR2)—the lowest in the state.
Northeast: High-quality land reaches $12,794/acre ($147/CSR2), but low-quality land averages $8,467/acre with a surprisingly high $307/CSR2, indicating some unique soil or market dynamics.
East Central: High-quality land is $13,446/acre ($157/CSR2), with low-quality at $10,460/acre ($250/CSR2).
The data shows that high-quality land in the Northwest is fetching the highest per-acre price, while North Central’s low-quality land is the cheapest. However, when adjusted for CSR2 (Corn Suitability Rating), the Northeast’s low-quality land has an unusually high cost per point, suggesting buyers are paying a premium for specific attributes in that region.
Price Trends Over Time
Looking at the past year (April 2024 – May 2025), farmland prices have shown distinct trajectories:
High-quality land peaked at $14,287/acre in June 2024 but has settled at $13,709/acre by May 2025—a slight decline but still robust.
Medium-quality land has been steady, hovering around $9,484/acre, with a high of $9,758/acre in October 2024.
Low-quality land has dropped noticeably, from $6,679/acre in April 2024 to $5,300/acre in May 2025, reflecting weaker demand.
This trend underscores buyer preference for high-quality ground, which has maintained its value far better than low-quality land. If you’re considering selling, focusing on the quality of your acreage could make a big difference in your sale price.
Auction Activity: A Surge in April
We’ve also noticed a small uptick in land auctions in April 2025, as more folks are testing the market. Comparing auction activity year-over-year:
2024 saw a peak of 215 auctions in September, with a steady average of 87–120 auctions per month in the second half of the year.
2025 started slower, with 75 auctions in January, but activity has picked up, with 88 auctions in April—a sign of growing confidence among sellers.
This increase suggests that landowners are feeling optimistic about the market, particularly for high-quality parcels that are drawing buyer interest. If you’re thinking about an auction, now could be a strategic time to act.
What Does This Mean for You?
The farmland market in May 2025 is dynamic, with clear opportunities for those with high-quality land. Buyers are prioritizing top-notch farms, and the uptick in auctions indicates a healthy market for sellers. However, low-quality land is seeing softer demand, so understanding your property’s value and positioning is key.
If you’re wondering what your land is worth or thinking about making a move, now’s a great time to start the conversation. At Whitaker Marketing Group, we’re always happy to talk dirt!
📞 Reach out at 515-996-5263 or visit iowalandguy.com for a free consultation.
#Farmland #IowaLand #FarmForSale #LandAuctions #WhitakerMarketingGroup
📊 For a detailed breakdown of regional pricing and auction activity, check out the graphs below. 👇
For more farmland updates, check out our latest market reports and upcoming auctions.
