Farmland prices across Iowa have been among the nation’s fastest growing, up 261 percent since 2000.  Farm land value has more than tripled in Sioux County, rising faster than most of the state. Farmers are finding that selling their farmland by auction is best.  Farmers National Company, for instance, has seen record auction activity during the last six months as more properties are being sold at auction to maximize profits.

Lee Vermeer, vice president of real estate operations for FNC says – farmers make up 75 percent of the buyers in the market, despite continued strong interest from investors. He says – land continues to be a tangible investment that has performed well, thus the demand.

A tight supply of quality land has also prompted buyers to look at less productive land that can be upgraded. Vermeer says – strong grain prices are boosting profits for farmers, prompting them to pursue land in order to expand operations. In addition, cash rents in top production areas increased 25 to 40 percent during 2011.

Source: NAFB News Service