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Explore the current state of Iowa's land prices and grain yields in this detailed review by Samuel E. Kain, Accredited Land Consultant and Regional Sales Manager at Farmers National Company. We analyze average land prices reflecting values of $2,275 to $1,801, and examine historical grain prices and yields to understand market trends. Factors influencing bullish trends include strong commodity prices, low interest rates, and limited land supply. This report highlights whether land prices will rise or fall in the current economic climate.
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Bull or Bear? Samuel E. Kain Accredited Land Consultant Regional Sales Manager Farmers National Company
Iowa Land Price Review $2275 $2147 $1837 $1801 $787 Iowa State Land Survey
Grain Price Review $5.94 $5.82 $4.73 $6.33 $6.08 $2.34 $2.69 $1.41 $2.59 $2.19 USDA Average Price Received by Iowa Farmers
Grain Yield Review 127 Bu 125Bu 157 Bu 135 Bu 138 Bu 40Bu 36.5Bu 41.5 BU 46 Bu 32 Bu USDA Average Iowa Yield
Crop Income / Land Price $2275 $2147 $1837 $1801 $787 $649 $530 $536 $538 $387
Avg. Annual Prime / Inflation Rate 15.75% 14.58% 10.36% 8.50% 8.25% 6.16% 4.25% 2.35% 1.86% 1.43%
$2275 $2147 $1801 $1837 Land Value Crop Income $787 $530 $648 $538 $536 $387 15.75% 14.58% 10.36% 8.50% 8.25% 6.16% 4.25% 2.35% 1.43% 1.86%
Theinflation rate between January 1981and January 2004 was 112.87%
1981 Land Value x Inflation rate = 2003 Land Value$2147 x 112.87% = $2423
“Bull Factors” • Strong Commodity Prices • Low Interest Rates • Low Inflation • Limited Supply • Government Programs • Genetics • Increased Economies of Scale • Revenue Insurance Products
Do you believe with: • Limited amount of land for sale • $3.00 per bushel corn • $10.00 per bushel beans • Low inflation • Low interest rates