Farm and Ranch Values Increasing
by John Knipe
(BOISE, IDAHO) The Department of Interior’s United States Department of Agriculture (USDA) completed its report entitled “Land Values 2013 Summary”. The report was created and just released through the USDA’s – National Agricultural Statistics Service. The report looked at farm real estate values, cropland values, and pastureland values in comparison from 2012 to 2013.
Farm real estate values, according to this USDA report, increased in Idaho (+3.8%), Oregon (+2.4%), California (+1.4%), Washington (+2.2%), and Montana (+3.9%) from 2012 to 2013. The report also demonstrates that the average farm real estate value across the entire United States averaged $2,900 per acre. The report defines “farm real estate values” as a measurement of value of all land and buildings on a farm. The national farm real estate value average demonstrates an increase in value of 9.4 percent over values of farm real estate in 2012. Values of farm real estate vary location to location, region to region and area to area but the report demonstrates average values for the United States. States in the Southwestern United States shows no change in value. States in the Northern Plains, on the other hand, she an increase in value equal to over 23 percent over values in 2012, according the report. The lowest values for farm real estate were in the Mountain States, with an average per price acre of just over $1,000 an acre. Corn Belt States had the highest values in farm real estate values. The average price per acre of farm real estate in these states averaged $6,400 per acre, the study and report found.
Cropland values increased in Idaho (+5.5%), Oregon (+4.4%), California (+3.9%), Washington (+12.1%), and Montana (+4.2%). Cropland values, on average across the United States, showed a stronger gain in value. Cropland values increased 13 percent from 2012 to 2013, which is an increase of $460 per acre, rising to an national average of $4,000 per acre. Southeast States saw a decrease in 2013 cropland values, with a loss in value of 2.8 percent. In contrast, the Corn Belt States saw increase in cropland values of over 16 percent in 2012 and another increase of 25 percent in 2013.
Pasture values increased in Oregon (+9.7%), Washington (+1.2%), and Montana (+1.8%). Values in Idaho and California showed no change in value. Pasture values in the United States increased by 4.3 percent from 2012 to 2013 to a national average of $1,200 per acre. Pasture values decreased from 2012 to 2013 in the Southeastern States with a loss of 1.5 percent. Northern Plain States showed the strongest gain. Pasture values in these states increased over 18 percent in 2013.
ABOUT THE AUTHOR: Knipe Land Company traces its roots back to 1944, when it first opened its doors in Nampa Idaho making the company one of the oldest run real estate companies in Idaho and the Western United States. John Knipe is a Past President of the Idaho Realtors Land Institute, Past Regional Vice President of the National Association of Realtors – Realtors Land Institute, serves as President of the World Organization Land Federation and Executive Vice President of the American Land Institute. Knipe has won over a dozen advanced marketing awards from the National Association of Realtors and his company was selected awarded one of the Best Brokerages in the United States by the Land Report Magazine. Knipe has written courses and books on farm, ranch and land brokerage and land development and is a Senior Real Estate Instructor with the World Organization Land Federation. For assistance in purchase or selling a farm, ranch or highly appreciated real estate asset, cont Knipe at (208) 345-3163 or firstname.lastname@example.org Visit his company on the world wide web at www.knipeland.com At the end of August 2013 when these studies were created, based on closed sales volume when ranked against all the other Realtors in the Intermountain MLS, Knipe ranked 25th in highest closed sales volume. In 2012, Knipe ranked 16th for closed sales volume when ranked against all other Realtors throughout the Intermountain MLS.
For a tailored marketing program on your farm or ranch specific to your needs, or if you are looking to buy a farm or ranch, you are encouraged to contact a “Board Certified” Land Broker. Reach John Knipe, “Board Certified” Land Broker at email@example.com or (208) 345-3163.