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Most Minnesota land sales have been private dealsMost Minnesota land sales have been private deals

Land Sales: State will begin to see a seasonal slowdown in land sales.

February 5, 2025

4 Min Read

By Jared Augustine

As farm trade show and seminar season begins, many farmers in Minnesota are finalizing their plans for 2025 and hoping for a more successful crop season than last year.

A surge of agricultural land sales wrapped up 2024 and extended into January. Over the past few weeks, statewide reports indicated that row crop land sales exceeded 200 transactions. Most of these sales are private, taking place either between family members or as private transactions from landlords to tenants. In many instances where a tenant has a close relationship with the landowner, the land is offered to the tenant first when it comes time to sell, often at a favorable price. These amicable sales seldom reach public listings and are more common in areas where landowners have strong ties to their communities.

Unlike Iowa and Illinois, Minnesota has a lower rate of absentee landowners, which helps maintain close family and community connections within the farming sector. This dynamic highlights the resilience of the local rural economy in many parts of Minnesota.

The farmland sales market has remained stable in most regions, although some weak sales have been reported. Recently, I had an auction that fell short of expectations, while a sealed bid sale surpassed expectations. Selling land in a down commodity market can be challenging, especially when discussing potential sales with landowners who have recent appraisals in hand.

Related:One-chance sealed-bid sale tool shows success

Many expect to sell their land based on comparable sales prices from six to 12 months ago. Although this still may happen occasionally, it’s becoming more of an exception than the rule. Although many above-average sales still are occurring across the state, record-breaking auctions are no longer as common, and farms with one or two detracting features have seen decreased demand. Some recent modest commodity rallies have provided a boost, leaving us cautiously optimistic about future sales.

Although a few open lease sales remain on the calendar this winter, most land already has been rented for the 2025 crop year, and we will begin to see a seasonal slowdown in land sales. Here are a few recent sales:

Mahnomen County. Northeast of Mahnomen, about 160 acres sold for $7,090 per acre. The farm consists of 151 tillable acres with a Crop Productivity Index of 88.2

Waseca County. North of New Richland, about 154.49 acres sold for $11,755 per acre. The farm consists of 151.2 tillable acres with a CPI of 94.4.

Chippewa County. North of Montevideo, about 79.66 acres sold for $10,150 per acre. The farm consists of 75 tillable acres with a CPI of 90.2.

Related:Stable but cautious land market shows in high farm sales

Le Sueur County. East of Cleveland, about 323.78 acres sold for $11,250 per acre. The farm consists of 281.6 tillable acres with a CPI of 85.3.

Kandiyohi County. West of Blomkest, about 113.91 acres sold for $9,880 per acre. The farm consists of 106.51 tillable acres with a CPI of 91.6.

Nobles County. West of Ellsworth, about 40 acres sold for $16,000 per acre. The farm consists of 38.5 tillable acres with a CPI of 95.7.

Mower County. Southwest of High Forest, about 130 acres sold for $13,900 per acre. The farm consists of 130 tillable acres with a CPI of 92.

Nicollet County. Northwest of North Mankato, about 176.3 acres sold for $17,340 per acre. The farm consists of 168.94 tillable acres with a CPI of 90.6.

Winona County. Northwest of Wilson, about 37.87 acres sold for $9,500 per acre. The farm consists of 37.87 tillable acres with a CPI of 81.5.

Rock County. Northeast of Beaver Creek, about 40 acres sold for $15,000 per acre. The farm consists of 37.20 tillable acres with a CPI of 88.

Fillmore County. West of York, about 40 acres sold for $12,500 per acre. The farm consists of 34.5 tillable acres with a CPI of 92.7.

Renville County. North of Hector, about 262.54 acres sold for $12,325 per acre. The farm consists of 258.27 tillable acres with a CPI of 92.6.

Related:State farm groups to hold annual conventions

Augustine is a Minnesota-licensed real estate salesperson for Hertz Farm Management Inc. He lives near Minnesota Lake with his wife and four children and works out of Hertz’s Mankato office. Hertz Farm Management compiled the list but did not handle all sales. Call Hertz in Mankato at 507-345-5263 or 800-730-5263, or visit www.hertz.ag.

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