Farmland values in Iowa, the U.S.’s top corn and soybean producing state, have fallen 5.4% over the past six months because of lower grain prices according to a benchmark survey of realtors. Despite the decrease in values, the market remains strong and continues to see strong demand from farmers and non-farming investors alike. The average sale price of farmland across the state is $8,286 per acre compared to $8.758 six months earlier and is 4.6% lower than the average sale price of $8,690 a year earlier. The report overall is encouraging as some economists expected a greater decrease in values. The results also are in line with the most recent survey of Midwest farmland by the Chicago Federal Reserve Bank which was issued in February.
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