2005 Year in Review

Illinois Farmland Values Rise

Source: Gary Schnitkey (217) 244-9595; Author: Bob Sampson

A mid-year survey of Illinois farmland values will be released in detail at 10:30 a.m., August 31 in the media tent at the Farm Progress Show in Decatur, said a University of Illinois Extension farm financial management specialist.

"The survey was conducted by the Illinois Society of Professional Farm Managers and Rural Appraisers and it shows that farmland values in the state continue to rise," said Gary Schnitkey. "The rise in value has been at a steady rate of 5 percent for the first half of the year in downstate. Values in the outlying Chicagoland area rose at a much faster rate of 10 percent."

Schnitkey noted that there are widespread reports of prime farmland clearing the $5,000 per acre mark in many central and northern Illinois counties.

"This is a historic level for farmland values in Illinois," he said.

Among other trends, the survey finds that recreational farmland is increasing at faster pace than typical farmland as urban residents increasingly seek to buy land for hunting and recreation.

"The volume of farmland sales is up in 2005," said Schnitkey. "Normally, summer is a slow season in the farm real estate marketing year. But we've seen an increased volume of land selling because of these high prices. Land that has not been on the market for decades is now available for purchase."

Schnitkey said Society representatives as well as U of I staff will be on hand Aug. 31 to present the survey results and answer questions.

by  Editor, theCity1.com
August 25, 2005