News Land prices
Another slight rise in US land price
The average value of agricultural land in the United States has increased slightly (+1,9%) compared to last year. The average price is $3.160 per acre (about $6.958 per acre), an increase of $60 per acre.
The numbers come from a reporting from the United States Department of Agriculture (USDA). This shows that the average price for arable land equals the record price of 2015: $ 4.100 per acre, an increase of 1,2% compared to 2018. The average value of grassland also peaked in 2019. The price shows an increase of 2,2. 1.400% and therefore comes to an average of $XNUMX per acre.
Highest price in California
The average price of agricultural land in 2019 is highest in the states with a lot of urban areas (such as New Jersey, Massachusetts, Rhode Island and California). Outside of this, prices are relatively high in the Corn Belt, among others. In the Western states, with the exception of California, the average price of land is lowest. This is due to the high percentage of grassland.
The price of agricultural land has risen the fastest in California. The average price jumped 7% to $10.000 per acre. However, there are also states where the price of land is actually falling, especially in Iowa (-1,1% to $7.190 per acre). This is the fifth year in a row that the price has fallen here.
Differences in rental prices
The average rent also shows a significant increase in several states: California +24%, Utah +18% and Pennsylvania +17%. That writes the American Farm Bureau Federation. Cropland rents are falling in 15 states. The drop in rents was highest in Virginia (-6,3%) and Arkansas (-5,4%).
Jeanette Pennings
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