Farmland values in Indiana declined slightly this year, compared to previous sharper declines. Farmland values were steady to 2% lower for the year, according to the annual Farmland Values and Cash Rents Survey conducted by Purdue University. This year’s findings mark the third consecutive year of decreases following the 2014 high.
The survey from 2017 shows top-quality farmland edged just 0.2% lower from 2016 levels while average- and poor-quality farmland declined 1.6% and 1.4%, respectively. Top-quality land is pegged at a state-wide average of $8,529 per acre, average-quality land at $6,928 and poor-quality land at $5,280 per acre.
“We were expecting all categories of land to show a decline,” says Jim Mintert, professor of agricultural economics at Purdue University. “The numbers suggest a longer-term trend of a continuation of farmland value declines in Indiana.”
In five of the six state regions, farmland saw a decrease in value. In the southwest regions, average- and poor-quality farmland posted the steepest losses of 10.6% and 14.5%, respectively. The southeast region saw gains of 5.8% for poor-quality and 8.3% for average-
For the state as a whole, the average corn yields for top-, average- and poor-quality farmland are 200 bu., 169 bu. and 139 bu. per acre, respectively.
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