News

Farmland sales slow, some prices move lower

A farm real estate appraiser says farmland sales have been slowing down across parts of the Midwest.

Jim Rothermich with Iowa Appraisal says auction volumes are trending lower. “It appears to me that the number of auctions and volume of land is going back to pre-COVID levels.”

He tells Brownfield that’s being caused by several economic factors. “These buyers are showing a lot of caution purchasing farms because net farm income is not going to be as good as it has been the past several years. And, interest rates are having an issue.”

Rothermich suggests the price of farmland may have reached a peak. “February and March, we had an uptick in no-sales. That tells me the market was adjusting.”

He says there could be some buying opportunities moving forward if more sellers begin to reduce prices.

AUDIO: Jim Rothermich, Iowa Appraisal