Iowa Land Values 2024
2024 Iowa Farmland Values and Trends
Iowa farmland values declined 3.1% in 2024. The number of farms for sale in 2024 fell from the year prior in 2023, and the narrow supply of land was met with less interested buyers, although land is well-demanded by expanding local farm operations. This should keep a firm level of support to land prices. Farmland values correct much slower downward in a bear market, than they do in an upward bull market. Currently, we are in a bear market.
The Price of an Acre of Land In Iowa
The average cost of an acre of land in Iowa is $11,567. According to Rabail Chandio, Assistant Professor of Economics at ISU, there was a 3.1% decline from 2023. At Iowa Land Company, we believe that in 2024 this downward trend could likely continue to proceed. Chandio delivered the results of the 2024 Iowa Farmland Value Survey at a news conference in December. Click on the link for the full report https://www.extension.iastate.edu/agdm/wholefarm/pdf/c2-70.pdf
The southcentral Iowa district has a land value of $10,460 per acre, a 3.6% gain. This is the only district in Iowa where land increased in value. Chandio stated since this area of the state possesses more recreational land, this is what helped to increase the price. Our land agents at Iowa Land Company believe generally recreational land values correlate with the inflation rate and the overall macro economy and stock market. Farmland is more commodity and interest-rate-driven.
Chandio stated the land market declined for the first time in five consecutive years. Elevated interest rates and falling agricultural income were the main reasons Iowa farmland values decreased in 2024. Here at Iowa Land Company we watch and monitor the land market in Iowa very closely. We believe in the near future farmland prices will continue to be under pressure. Historically farmland values decline on average for five consecutive years when markets are retracting. Increases in commodity prices are the biggest driver in higher farmland prices. The commodity market is very unpredictable. Therefore, the timing of the next bull market in farmland is very hard to predict.

The Reason Iowa Land Values Increase and Decrease
Another critical result from the 2024 Land Value Survey indicated that there were many reasons for land value declines in 2024. Across the state of Iowa, the west central district stated a decrease in land values of 7.4% This was the highest drop in land values per the nine districts. Second to west central Iowa district in land values decline was north central Iowa with 4.9% decline. Factors that decreased the land values include:
- Lower Commodity Prices
- Less Cash On Hand
- Higher Than Expected Interest Rates
- Possible Tariff Policies In Near Future
Farmer incomes in 2024 were lower than in years past. This made for less capital for farmers to work with when buying or lending money. Although, land is still in high demand. Farmer buyers have tightened the geographical area they want to buy land in. Many buyers would like to buy closer to the main base of land they already own. Whereas in 2020, 2021, and 2022 farmers were buying land farther away from the main farm operation.
The Impact of Higher Interest Rates
Imminent rate increases in 2023, and 2024 created a headwind for farmland values. The Federal Reserve has remained rather dovish, only cutting rates slightly in 2024. We feel the federal reserve will remain dovish longer into 2025 and beyond. This could continue to increase headwinds for the farmland market.
From the 2023 survey release coverage. It takes a few years for interest rates to be revealed in farmland values,” Chandio said. “The effect of the hard-hitting interest rate hikes of 2022 is anticipated to be felt more sharply in 2024 and beyond, causing modest growth or even reductions in land values in the future.”
Other Impacts That Impact Iowa Farmland Values
One factor that has always slowed declining land values is a limited supply of Iowa farmland. In 2024 yields across the state of Iowa on a macro level were near records. Many farmers saw great growing seasons and yields were plentiful. This helped slow the decline in land values as well.
The Future of U.S. Farm Income
The 2025 outlook for farm incomes seems to be pessimistic. Many farmers are worried the price of production per acre will be close to breaking even with the current commodity levels. With the new administration in the white house, some producers are worried about tariff threats that could lead to government aid that will help the reduced farm income for 2025 and the near future.
On a positive note livestock markets seem to remain strong and may help the declining land markets in some areas in Iowa, where livestock is heavily populated.
The Data About Iowa Counties
The survey showed that land values decreased in 77 of Iowa’s 99 counties. West central Iowa’s Harrison County was number one on the list with a decrease of 9.7% in 2023. The highest land value in Iowa was in O’Brien County with an average value of $15,921. O’Brien County decreased 2.4% in 2024.
By Iowa Land Company
The Future of Iowa Farmland
Don’t let the 2024 Land Value Survey hinder you. Iowa farmland is still the gold standard in farmland. Although land values have declined, land still seems to be well in demand, just with adjusted prices. Email us to schedule a consultation to learn more about selling and buying Iowa farmland.
Free Broker’s Opinion of Value or Farmland Appraisal
If you are interested in knowing what your Iowa property is worth, we offer a free broker’s opinion of value report for land in all 99 counties across the state. Get in touch with the broker that services the territory your property is located in by calling (515)962-5048 or emailing info@iowalandcompany.com If you would like a certified appraisal contact us today, we will be happy to put you in touch with an Iowa Land Company certified appraiser.
Iowa Land Company is a full-service farmland auction company that services in all 99 counties of Iowa. We transact all types of land in Iowa. Want to know what your land in Iowa is worth ? Get a | Free Farmland Evaluation (Click) | from one of the trusted agents at Iowa Land Company.
* Some information was obtained from the Iowa State University 2024 Farmland Value Survey*

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