The land market has experienced steady growth in recent years. Strong demand for agricultural and rural land continues to support prices. Local buying power remains high, and more investors now view farmland as a hard asset. Buyers increasingly value farmland for appreciation, inflation protection, diversification, steady cash flow, and long-term sustainability. As a result, a new type of buyer has entered the market. Rising interest rates and broader economic uncertainty have only increased interest in farmland as a stable investment. Recently, even professional athletes have invested in Iowa farmland.
Economic Pressures Have Slowed Activity—But Not Momentum
Inflation has created challenges across the economy, and farmland is no exception. Higher input costs and rising interest rates have slowed overall transaction activity. However, this slowdown appears temporary. Strong fundamentals still support the market. Limited land availability, solid farm incomes, and continued buyer interest suggest long-term strength. We expect activity to regain momentum as buyers and sellers adjust to current conditions.
Land Values Vary Widely Across the United States
The current average price for agricultural land in the United States sits near $4,000 per acre. Prices vary significantly based on location and land quality. The Midwest and Great Plains command the highest values due to fertile soils and reliable rainfall. Iowa continues to stand out as a top farmland market. In contrast, arid regions in the West and Southwest often see lower values because dry conditions limit productivity. Location and soil quality remain the most important drivers of land value.
Long-Term Outlook for Farmland Remains Strong
The long-term outlook for farmland remains positive. Global population growth continues to increase demand for food and agricultural products. Farmers must expand production to meet that demand. Advances in technology also support productivity and efficiency. Together, these factors position farmland as a resilient, long-term investment. The future of farming remains bright.
Advice for Buyers and Sellers
If you are a seller who feels uncertain, don’t wait. Market conditions still favor well-positioned land. Buyers should prepare early, evaluate financing options, and stay ready when neighboring land becomes available.
Iowa Farmland Auction Results
Recent Iowa auction data highlights continued strength:
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72 auctions completed
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7,245 total acres sold
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Statewide average: $12,320 per acre
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High-quality land: $14,296 per acre
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Medium-quality land: $10,707 per acre
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Low-quality land: $7,972 per acre (steady)
These results reinforce Iowa’s position as one of the strongest farmland markets in the country.
Our Mission; Is to be your “Trusted Advisors”, Our obligation; is to market your farmland to the largest audience yielding you the most successful outcome!
David & Ann Whitaker | Iowa Land Guy
When you think of Farmland Think of US!
Iowa Land Values by CSR Score: Green= 75-100CSR Tan=50-75CSR Orange= less than 50CSR
Farmland in Iowa by Acres Sold
Farmland Values in Iowa across the state
