The value of all farm real estate, which includes farm buildings as well as land, rose 6.8% over 2010 reaching an average value of $2,350 an acre, reports USDA. In its annual Land Values Summary, USDA said regional changes in the average value of farm real estate ranged from a 15.9% increase in the Corn Belt region to a 2% decline in the Southeast region. The highest farm real estate values remained in the Northeast region at $4,690 per acre. The Mountain region had the lowest farm real estate value, $923 per acre.
The USDA report said the value of U.S. cropland value increased by $260 per acre, 9.4%, to $3,030 per acre. Strongest gains were reported in the Northern Plains and Corn Belt regions where the average value of cropland increased 17.2% and 16%, respectively, from the previous year. However, in the Northeast and Southeast regions, cropland values decreased by 1.3% percent and 1.1%, respectively, USDA said.
Pasture values increased to $1,100 per acre or 1.9% above 2010. The Southeast region had the largest percentage decrease in pasture value, 8.4% below 2010. The Corn Belt and Northern Plains regions had the highest percentage increase, both 6.6% above 2010.which selling some of their current holdings and buying farmland in other states and other land types.
The values reported by USDA may seem muted compared to other surveys, but the USDA report is looking at values closer to the first of the year. That means the strong run-up in the value of Corn Belt cropland that's occurred since Jan. 1 is not fully reflected in this report.
USDA did report the value of Iowa cropland rose 23.9% -- the strongest increase for any state. Other Corn Belt states reported: North Dakota, up 19.5%; Illinois, up 18.4%; Nebraska, up 17.9%; South Dakota, up 16.0%; Minnesota, up 13.5%; Kansas, up 13%; Indiana, up 9.1%; Ohio, up 8.6%; Wisconsin, up 8.2%; Michigan, up 6.1%; and Missouri, up 5.9%. In the south, Louisiana reported a 9.4% increase; Texas, 7.1%; Arkansas, 6.5%; and Mississippi, 6.3%. Oklahoma reported a gain of 2.6%. Colorado rang in a 3.9% rise in cropland values, Wyoming, 6.1% and Montana, 3.6%. Alabama registered a decline of 2.1% in value of cropland while Georgia listed a 0.6% gain. Pennsylvania reported a decline of 1.8% and New York listed values as unchanged. Washington listed a 3.7% increase; Oregon reported cropland values remained unchanged and California listed a 1.1% increase.
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