What Our Clients Say
Farm Program
Company Profile
Agricultural Services
The FNC Story - A Video
Landowner News
Farm and Ranch Management
Consultation Services
Real Estate Listings and Services
Appraisals
Insurance Services
Landowner Workshops
Find a Place to Hunt and Fish
Lake Management
Oil and Gas Management
Forest Resource Management
FNC Ag Stock
Farm Succession
Career Opportunities
Client Access
Links to Other Ag Sites
Regulatory Information
Site Map
Visit FNCOutdoors.com

Your one-stop website
for the sportsman and
recreational landowner.
Current Commodity Market Information
FNC News Releases
Weather
Commodity Comments
2015 Regional Land Reports
Landowner News

View the Trade Shows Farmers National Company will be attending this year.  

  

Ag Land Market Continues a Gradual Decline 

2015 Looks to Be a Pivotal Year 

While current land values have generally trended lower this past year in comparison to the sharp increases of recent years, results of farm and ranch income at year's end could shift land market dynamics, according to Farmers National Company, the nation's leading farm and ranch real estate company.   

"Harvest results of 2015 will make it a pivotal year, which could impact the land market for several years," said Randy Dickhut, AFM, Vice President of Real Estate Operations of Farmers National Company. "Farm and ranch income will drive the direction. A great deal could happen between now and November." 

Dickhut says margin compression is occurring as a result of lower grain prices and steady input costs. He believes higher grain prices this fall would stabilize land values; however, lower prices could push values downward.  

While farm and ranch profits are forecast to be lower in 2015 affecting annual cash flows, agriculture overall remains financially strong due to past profits. Operators working to shore up financial stress brought on by overextending cash flow may be looking for strategies to improve their finances. This could lead to a boost in sales as property owners work to right balance sheets, according to Dickhut. 

Location and quality of land continue to be the main drivers of pricing for individual tracts. The stability of this market is maintained by a lower supply of land for sale, contrasted with a continued demand for quality properties.  

Farmers National Company statistics show the volume of properties for sale is down 40 percent over the past six months, as compared to the past two years. "The current level of available land is having a real impact on farm and ranch operations looking to expand," said Dickhut. "Demand is still good for quality land. The market just isn't as aggressive as in the past few years, so values are drifting sideways to lower."  

The market slowdown can, in some ways, be blamed on the absence of tax policy changes, which helped prompt sales this past year to some degree. While land values are down nearly 10 percent in most areas, price softening is happening at different rates in each region. For example, sales in the Northwest have been brisk, as the California drought is driving activity north. The Southern Delta region hasn't seen much decline, while parts of the Midwest are experiencing significant drops in value. 

While current buyers are predominantly active farmers and ranchers adding land to their operations, interest from investment funds and individuals is on the rise. In addition, generational land transfers continue to play a large role in market movements, as many inheriting land choose to sell. 

"With the softening of land values, some investors are looking at this as an opportune time to buy," said Dickhut. "Land is considered a low risk long-term investment, so we will see these types of buyers jumping into the land market more and more over the next several years." 

Demand for cropland and grazing land from owner operators remains good, but buyers are being more realistic in what they will pay given lower grain prices. Land professionals are recommending that sellers be more realistic in evaluating the quality of their land and the expected selling price in order to have a successful sale.  

According to Dickhut, long term economic trends look positive in relation to land values and ag markets. Demand for feed grains and protein sources by China and other world markets will remain strong long term as the growing world population has a desire to eat better. 

"Demand for our products creates a positive outlook," said Dickhut. "Any adjustments to values and sales activity are likely to be slow and steady so the impact won't be overwhelming.   

  

See reports of land values in your region and
read updates from our area sales managers.
 
 

 

 

Yes, I want to receive e-mail updates on real estate listings, auctions, and real estate news. Click Here! 

 

For real estate information about your specific area, please contact: 

 

Dan Hatfield, Area Vice President for Texas, Louisiana, and New Mexico at (830) 995-4000 or (210) 232-8282 or DHatfield@FarmersNational.com. 

Roger Hayworth, ALC, Area Sales Manager for Ohio, Indiana, Illinois, Michigan, eastern Kentucky, and eastern Missouri at 1-888-673-4919 or RHayworth@FarmersNational.com; 

Sam Kain, ALC, GRI, ABRM, Area Sales Manager for Iowa, Minnesota, Missouri, North Dakota, South Dakota at 1-800-798-4509 or SKain@FarmersNational.com; 

Terry Longtin, AFM, Area Sales Manager for North Dakota at (701) 780-2828 or TLongtin@FarmersNational.com 

J D Maxson, Area Sales Manager for western Nebraska, portions of northwest Kansas, eastern Colorado, eastern Wyoming, and southwest South Dakota at (308) 660-2100 or JMaxson@FarmersNational.com. 

Brian Mohr, Area Sales Manager for South Dakota and Minnesota at (605) 366-8333 or BMohr@FarmersNational.com. 

Brock Thurman, Commodity Marketing Specialist, AFM, and Area Vice President for Kansas and Oklahoma at (620) 825-4320 or BThurman@FarmersNational.com. 

Flo Sayre, ALC, Real Estate Broker for the Columbia Basin and Eastern Washington state at (509) 544-8944 or FSayre@FarmersNational.com 

  

_________________ 

  

If you are considering selling, let this market work for you. This is not a time to sell real estate quietly to the neighbor or a relative unless you just want to leave money on the table. To get a handle on what your land might be worth, or if you are interested in buying land to add to your portfolio, give us a call at 1-800-346-2650. 

 

Would you like to Know About New Land Listings and Upcoming Auctions in Your Area? 

  

Farmers National Company would like to provide you with the most current information available by e-mail on new FNC land listings, real estate auctions and land trade news at no cost or obligation from you. Just click on the link below and provide us with your name, address, and e-mail. Please indicate what states you are interested in receiving information about in the "Comments" box. 

  

Click Here to Search FNC Listings 

  

Sold Sign 2012  

RECENT LAND AUCTION RESULTS 

$10,113/Acre Rush County, Indiana 

$6,600/Acre New Madrid County, Missouri 

$9,000/Acre Merrick County, Nebraska 

$14,000/Acre Polk County, Iowa 

$9,600/Acre McLean County, Illinois 

  

For more details on our upcoming auctions, please click here to see our auction calendar. 

  

UPCOMING LAND AUCTIONS 

LAND AUCTION! 

200 Acres Jasper County, Iowa Two Tracts! 

Friday, August 7, at 9:30 AM. Auction will be held at the Fore Seasons Golf Center in Newton, Iowa.  

Tract 1 consists of 160 acres with a two-story dwelling, garage, and outbuildings. Farmland and pastureland.  

Tract 2 features 40 acres with 37.81 acres of cropland. 

Property Showing: Saturday, July 18, from 10:00 AM to 12:00 PM, on the property at 4186 South 60th Avenue East, Newton, Iowa.  

Property is close to Newton, Iowa. For additional information, please contact John and Kathy Van Zee, Agents, at (641) 521-0151 or (641) 521-5305 or click here. 

  

LAND AUCTION! 

303 Acres Sarpy County, Nebraska 

Saturday, August 29, 2015, at 10:00 AM at the Hilton Garden Inn - Omaha West, 17879 Chicago Street in Omaha, Nebraska. 

A RARE OFFERING - Platte River and Elkhorn River frontage. Includes four cabins plus one newly remodeled farm house with outbuilding. WRP, timber, and approximately 106 annual leased lots with tenant owned cabins, trailers, etc. 

Property Showing: On the property at 990 South 252nd Street, Waterloo, Nebraska, Saturday, July 25, from 1:00 PM to 4:00 PM, and Saturday, August 15, from 1:00 PM to 4:00 PM.

For additional information, please contact Jerry Wiebusch, Agent, at (402) 430-8489 or Eric Mueller, Agent/Auctioneer, at (402) 660-1044 or
click here. 

  

 

Important Links 

Your Current Weather  

Chicago Board of Trade  

Kansas City Board of Trade  

  

  

   

  

2012 summer land report cover web 

Special Report: America's Top 30 Auction Houses 

Farmers National Company was named a Top Auction House in the United States as well as a Best Brokerage Company by The Land Report - The Magazine of the American Landowner. 

 

Return to Top

Comments, Questions or Suggestions

Real Estate Agent Search by State
Real Estate Agent Search by Name
Appraiser Search by State
Appraiser Search by Name
Farm Manager Search by State
Farm Manager Search by Name

Upcoming Auctions
Auction Results
Agriculture & Crop News
Commodity Market Info
Client Testimonials
Job Opportunities