Wallaces Farmer

While the 2022 farmland values are a bit below 2021, prices are still strong as harvest is in full swing.

Doug Hensley

October 17, 2022

3 Min Read
Farmland and for sale sign
FOR SALE: Farmland continues to be for sale all across Iowa.Jennifer M. Latzke

Harvest season in Iowa has started strong this year. In late September and early October, Hurricane Ian pounded the Gulf Coast of Florida and the eastern seaboard of the U.S., thereby stalling the typical flow of weather systems through the Midwest.

That left moderate temps and mostly blue skies in place for an unusually nice stretch of weather, allowing for terrific soybean cutting conditions, and helping to dry a standing corn crop without the need for dryer gas. Early yield reports I’ve received are matching or slightly above 10-year actual production history levels in most areas, excepting for a few dry areas in west and southwest Iowa.

The fall farmland sales calendar across Iowa is full again this year — although not overflowing in the same way it did in 2021, when a record number of land sales (mostly auctions) occurred in a very short period. Recent land sales reflect continuing overall strength in the marketplace, supported primarily by a still-strong commodity price environment. However, higher interest rates and high prices for 2023 inputs are both beginning to factor into the farmland market. These divergent realities — good crop prices versus high interest rates and high input prices — are somewhat offsetting to equate in a farmland market that has leveled off. As I’ve shared with many folks regarding the 2022 land market, a record land sale is still possible, but not every sale will be a record like it was last year. You can see that playing out in the sales reported below.

NORTHWEST
Sioux County. About 80 acres southwest of Granville recently sold at public auction for $26,000 per acre. The farm consisted of about 78 tillable acres with a CSR2 (corn suitability rating) of 91.3, and it equaled $292 per CSR2 point on the tillable acres.

NORTH CENTRAL
Cerro Gordo County. About 170 acres near Clear Lake recently sold at public auction for $11,000 per acre. The farm consisted of about 162 tillable acres with a CSR2 of 79.2, and equaled $145 per CSR2 point on the tillable acres.

NORTHEAST
Fayette County. About 190 acres north of West Union recently sold at public auction for $14,200 per acre. The farm consisted of about 190 tillable acres with a CSR2 of 73.5, and equaled $193 per CSR2 point on the tillable acres.

WEST CENTRAL
Greene County. About 160 acres northwest of Bagley recently sold at public auction for $16,000 per acre. The farm consisted of about 151 tillable acres with a CSR2 of 87.3, and equaled $194 per CSR2 point on the tillable acres.

CENTRAL
Hamilton County. About 218 acres north of Stanhope recently sold at public auction for $12,800 per acre. The farm consisted of about 215 tillable acres with a CSR2 of 79.0, and equaled $164 per CSR2 point on the tillable acres.

EAST CENTRAL
Linn County. About 98 acres south of Springville recently sold at public auction for $20,200 per acre. The farm consisted of about 98 tillable acres with a CSR2 of 92.3, and equaled $218 per CSR2 point on the tillable acres.

SOUTHWEST
Page County. About 141 acres southeast of Shenandoah recently sold at public auction for $11,300 per acre. The farm consisted of about 129 tillable acres with a CSR2 of 77.4, and equaled $159 per CSR2 point on the tillable acres.

SOUTH CENTRAL
Marion County. About 125 acres northwest of Pleasantville recently sold at public auction for $11,500 per acre. The farm consisted of about 119 tillable acres with a CSR2 of 73.2, and equaled $165 per CSR2 point on the tillable acres.

SOUTHEAST
Mahaska County. About 85 acres northeast of Pella recently sold at public auction for $13,350 per acre. The farm consisted of about 84 tillable acres with a CSR2 of 76.5, and equaled $176 per CSR2 point on the tillable acres.

Hertz Real Estate Services compiled this list, but not all sales were handled by Hertz. Call Hertz at 515-382-1500/800-593-5263 or visit hertz.ag.

About the Author(s)

Doug Hensley

Hertz Real Estate Services

Hensley is president of Hertz Real Estate Services. The Hertz Farm Management Co. was started in 1946, and now provides a full spectrum of services that includes professional farm management, real estate sales, auctions, acquisitions and farm appraisals.

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