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Nebraska Farm Real Estate Market Highlights 2021-2022, Jim Jansen, Jeffrey Stokes

Nebraska Farm Real Estate Reports

Introduction

The Nebraska Farm Real Estate Market Highlights 2021-2022 report represents the 44th edition of the annual series. These reports provide an important insight on agricultural land market dynamics for stakeholders across Nebraska. In today’s market, where market transactions exceeding $1 million dollars are the norm, objective market information and analysis is more critical than ever. The focus of the report continues to be on providing unbiased information for agricultural land values and rental rates so industry participants can make educated and informed decisions.

This year, the February 2022 survey of nearly 188 expert panel members from across the state …

Nebraska Farm Real Estate Market Highlights 2020-2021, Jim Jansen, Jeffrey Stokes

Nebraska Farm Real Estate Reports

Introduction

The Nebraska Farm Real Estate Market Highlights 2020-2021 report represents the 43rd edition to the annual series. These reports provide an important insight on agricultural land market dynamics for stakeholders across Nebraska. In today’s market, where market transactions exceeding $1 million dollars are the norm, objective market information and analysis is more critical than ever. The focus of the report continues to be on providing unbiased information for agricultural land values and rental rates so industry participants can make educated and informed decisions.

This year, the February 2021 survey of nearly 120 expert panel members from across the state …

Nebraska Farm Real Estate Market Highlights 2014-2015, Jim Jansen, Roger Wilson

Nebraska Farm Real Estate Reports

No abstract provided.

Nebraska Farm Real Estate Market Highlights 2013-2014, Jim Jansen, Roger Wilson

Nebraska Farm Real Estate Reports

No abstract provided.

Nebraska Farm Real Estate Market Highlights 2012-2013, Bruce B. Johnson, Jim Jansen, Anil Giri, Boone Mcafee, Ethan Smith

Nebraska Farm Real Estate Reports

This report represents the 35th annual edition of the Nebraska Farm Real Estate Market Developments series. It has continued to provide an important informational role regarding agricultural land market dynamics for the many stakeholders. As stated in the introduction of the first annual report: “The dynamics of the farm real estate market, particularly in recent years, suggests that accurate and complete information concerning this market is of great importance. From the standpoint of the public interest as well as that of individual participants, all land market decisions should be based upon a sound understanding of the current market situation.” 1 …

Nebraska Farm Real Estate Market Highlights 2011-2012, Bruce B. Johnson, Sara Van Newkirk

Nebraska Farm Real Estate Reports

Each year since 1978, the Department of Agricultural Economics, UNL, has conducted a state-wide survey and analysis of agricultural land markets. Considerable change has occurred during that time span, not only from decade to decade, but from year to year—reflecting a dynamic market pattern. The most recent year is certainly no exception. The February 2012 survey collected market information from a panel of some 130 reporters scattered across the state. Reporters are closely affiliated with the agricultural land markets in their areas, as agricultural real estate appraisers, professional farm managers, agricultural lenders, etc. In addition, the vast majority of panel …

Nebraska Farm Real Estate Market Highlights 2010-2011, Bruce B. Johnson, Sara Van Newkirk, Tyler Rosener

Nebraska Farm Real Estate Reports

The Department of Agricultural Economics, UNL has conducted a state-wide study of agricultural land markets each year for the past 33 years. The state is richly endowed with productive agricultural land, which results in Nebraska ranking among the top five states in agricultural production. A primary aspect of the UNL land market series is an annual land market panel survey conducted February 1 of each year. In the 2011 survey, some 130 panel reporters from across the state provided their professional insight into the dynamics of the agricultural land markets in their areas of the state. These individuals are closely …

Nebraska Farm Real Estate Market Highlights 2009-2010, Bruce B. Johnson, Ryan Lukassen, Tyler Rosener

Nebraska Farm Real Estate Reports

NOTE: Due to UNL budget constraints, the following is an abbreviated version of the historical annual report series. It essentially maintains the key data sets and briefly highlights the recent findings. It is available as a down

Nebraska Farm Real Estate Market Developments 2008-2009, Bruce B. Johnson, Ryan Lukassen

Nebraska Farm Real Estate Reports

Following strong value advances over the past several years, Nebraska farmland values throttled down and stabilized across most of the state during the 12-month period ending February 1, 2009. According the 2009 UNL Nebraska Farm Real Estate Survey, the average all-land value rose just over 1% for the year. Some modest decreases in value were reported for some classes of land, but relative to recent trends for residential and commercial property across the U.S., stable values for agricultural land speaks to its relative strength in the current recession.

Regional differences in value shifts were rather significant over the time period. …

Land Values And Cash Rents: 2008 Summary

Nebraska Farm Real Estate Reports

Farm real estate values, a measurement of the value of all land and buildings on farms, averaged $2,350 per acre on January 1, 2008, up 8.8 percent from 2007. The $2,350 per acre is a record high and $190 more than a year earlier.

Both cropland and pasture values for 2008 are record highs. Cropland values rose by 10 percent to $2,970 per acre, up from the previous high of $2,690 in 2007. Pasture value rose by 6 percent to $1,230 per acre.

While commercial and residential development has slowed in many regions, farm real estate values continue to increase. …

Nebraska Farm Real Estate Market Developments 2007-2008, Bruce Johnson, Ben Blomendahl, Ryan Lukassen

Nebraska Farm Real Estate Reports

In this, the 30th year of the UNL Farm Real Estate Market Developments Survey and report series, some of the most dramatic changes ever in the market have occurred. During the year ending February 1st 2008, the average value of Nebraska farmland rose 23%, the largest annual increase in the series. Virtually every region of the state experienced strong cropland value increases. Cash rental rates experienced record advances as well, with 2008 levels for the cropland classes being 17% to 24% higher than 2007 levels. Clearly, the agricultural real estate market has responded to crop commodity prices which have shot …

Nebraska Farm Real Estate Market Developments 2006-2007, Bruce B. Johnson

Nebraska Farm Real Estate Reports

Nebraska agricultural land values rose sharply during the year ending February 1st, 2007 according to the UNL Nebraska Farm Real Estate Survey. The all-land value increase was 14.0 %, the largest annual percentage increase in 19 years. Sharply higher crop commodity prices towards the end of 2006, the result of a rapidly-expanding ethanol industry in the state, appeared to contribute greatly to the run-up in land values. In addition, potential for further irrigation development in some areas of the state led to spirited bidding for such land; while regions experiencing water restrictions had more muted value changes for the year. …

Nebraska Farm Real Estate Market Developments 2005-2006, Bruce B. Johnson, Ben Blomendahl, Kyle Overturf

Nebraska Farm Real Estate Reports

Nebraska’s agricultural land values rose an average of 9.6 percent during the year ending February 1, 2006. This brought the state’s average all-land value to over $1,000 per acre and the total worth of agricultural real estate to more than $45 billion.

In the wake of a series of generally favorable income years for most of the state’s agricultural sector, land values have advanced rather sharply over the past three years – particularly in the eastern third of the state. The three eastern districts have experienced value increases of 40 percent or more since February 2003.

In contrast to these …

Nebraska Farm Real Estate Market Developments 2004-2005, Bruce B. Johnson, Aaron C. Raymond

Nebraska Farm Real Estate Reports

During a period of record-level farm incomes, Nebraska farmland values rose an average of 11.9 % for the year ending February 1, 2005, the largest annual percentage increase of the past 16 years. The increase followed the sizable advances of the previous year, in contrast to several recent years of fairly stable to moderate value increases. While increases were reported by UNL survey respondents across the entire state, there was considerable variability in magnitude of percentage gains. Largest gains were recorded in southeast and eastern Nebraska, with changes of 18.8 % and 13.5 % respectively. Much smaller annual gains were …

Nebraska Farm Real Estate Market Developments 2003-2004, Bruce B. Johnson, Raymond J. Supalla, Aaron Raymond

Nebraska Farm Real Estate Reports

Nebraska’s agricultural land values moved sharply upward across the state during 2003 and into 2004, recording an average gain of 9.2 percent for the 12 months ending February 1, 2004. This average increase was the largest annual percentage gain in 14 years. And it followed on several years of fairly stable land values. Virtually all land classes showed gains, and in all areas of the state–even in areas of serious multi-year drought, where previous-year value declines had occurred. The highest-priced land in the state is now center pivot irrigated cropland in Eastern Nebraska as the market preference for this irrigated …

Nebraska Farm Real Estate Market Developments 2000-01, Bruce B. Johnson, Peter Brummels, Lance Kuenning

Nebraska Farm Real Estate Reports

Despite turbulent economic conditions in the state's agricultural sector, Nebraska's agricultural land values and cash rent levels remain on a generally stable course. In the February 2001 UNL Nebraska Farm Real Estate Developments Survey, the all-land average of $709 per acre was up 1.5 percent from year-earlier levels. Together with all-land average changes of the previous two years, the 2001 level is essentially unchanged from early 1998 value levels.

While the overall value level has been steady, the "choppiness of economic waters" is reflected in modest value movements in both directions across various land types and regions of the state. …

Nebraska Farm Real Estate Market Developments 1997-98, Bruce B. Johnson

Nebraska Farm Real Estate Reports

Nebraska's 47 million acres of agricultural real estate is currently valued at nearly $35 billion, averaging more than $700 per acre. Only four other states have a higher-valued farm real estate base.

The value of agricultural land in Nebraska rose an average of 8.6 percent during the year ending February 1, 1998. Based upon the annual UNL Farm Real Estate Market Survey series, this represented the 11th consecutive year of value increases for the state's all-land average.

The three districts which comprise the eastern third of the state experienced the largest percentage gains in all land values, approaching 10 percent …

Nebraska Farm Real Estate Market Developments 1996-97, Bruce B. Johnson, Bart Miller

Nebraska Farm Real Estate Reports

Agricultural real estate values in Nebraska rose an average of 7.6 percent during the year ending February 1, 1997, with the all-land average value climbing to $654 per acre. This represented the tenth consecutive year of value increases, but the percentage increase was the largest for the all-state average since 1988. The basis of these findings is the UNL Farm Real Estate Market Survey now in its 20th year.

Land value increases occurred across the entire state, although largest gains were associated with cropland in the predominantly cash-grain areas. A combination offavorable crop prices, good yields in 1996, and transition …

Nebraska Farm Real Estate Market Developments 1995-96, Bruce B. Johnson, Bart Miller

Nebraska Farm Real Estate Reports

Nebraska's agricultural land values generally moved upward during the year ending February 1, 1996; although variation was rather pronounced. For the state as a whole, the increase averaged 4.5 percent and represented the ninth straight year of value increases.

Cropland values were higher throughout the state as crop commodity prices pushed to 20-year highs by the end of 1995. Dryland cropland values generally rose 5 to 6 percent, with gains of 9 percent recorded in the East District of the state. Gravity irrigated land rose an average of 5 percent while center pivot irrigated land values rose over 7 percent …

Nebraska Farm Real Estate Market Developments 1991-92, Bruce B. Johnson

Nebraska Farm Real Estate Reports

Nebraska's agricultural land values moved slightly upward during 1991 as the market operated in a mode of relative stability. The 15th annual UNL farm real estate market survey recorded an overall state average increase of 3.7 percent for the 12-month period ending February 1, 1992. This rate of change matched the u.s. rate of inflation during 1991, so in real (purchasing power) terms, there was essentially no change in average value.

Most market observers saw no apparent change in volume of market activity during 1991 from the previous year. Estate settlement and retirement constitute the primary reasons for agricultural real …

Nebraska Farm Real Estate Market Developments 1990-91, Bruce B. Johnson

Nebraska Farm Real Estate Reports

Agricultural land values rose 4 percent during 1990, although the pattern varied widely across the state. The annual increase represented the fourth straight year of increase according to the University of Nebraska annual Farm Real Estate Market Survey series; yet the 1991 average value remained at about two-thirds of the peak value recorded 10 years earlier.

Largest percentage gains in value were reported in the Central Crop Reporting District where the all-land average rose 10 percent. In contrast, the Southeast District recorded a slight decline in the all-land average.

By type of land, grazing land values usually showed the largest …

Nebraska Farm Real Estate Market Developments 1989-90, Bruce B. Johnson, Timothy Schroeder

Nebraska Farm Real Estate Reports

In Nebraska, 1989 was another year of active market activity and increasing agricultural land values. These were two of the findings evident from the 1990 Nebraska Farm Real Estate Market Survey reports. The 1990 survey revealed a smaller average rate of increase of 9 percent during the 12-month period ending February 1, 1990 than reported for the year earlier. This smaller increase is a reflection of previous increases in farmland values and some decrease in net farm income during 1989.

The crop reporting districts showing the highest average land value change for the 12-month period were the North and Central …

Nebraska Farm Real Estate Market Developments 1988-89, Bruce B. Johnson, Terry Akeson

Nebraska Farm Real Estate Reports

The year, 1988, was one of considerable real estate market activity and rising agricultural land values. These trends were evident across the state according to 1989 Nebraska Farm Real Estate Market Survey reports. The survey revealed an average rate of increase of 25 percent during the 12-month period ending February 1, 1989. This increase, however, represents a percentage change from a base value that reflects several years of declines. In fact, even with the 1988 advances, 1989 land values remain considerably below peak levels of the early 1980s.

A succession of high income years for production agriculture, in large part …

Nebraska Farm Real Estate Market Developments 1987-88, Bruce B. Johnson, Joel Young

Nebraska Farm Real Estate Reports

Agricultural land values turned upward during 1987, after registering six successive years of decline. The University of Nebraska-Lincoln 1988 Farm

Real Estate Market Survey reported a 13 percent gain for the 12-month period

ending February 1, 1988. Increases were evident for virtually all types of agricultural land and in all areas of the state, although there was variation in magnitude among the substate regions.

The reversal of the long-term decline in agricultural land values stems primarily from improved farm income levels. Also, the preceding devaluation has positioned agricultural land values such that earnings have become more competitive with alternative investment …

Nebraska Farm Real Estate Market Developments 1986-87, Bruce B. Johnson

Nebraska Farm Real Estate Reports

The market value for Nebraska farmland continued to fall during 1986 but generally at a more moderate rate of decline than that of previous years. Results of the 1987 Nebraska farm real estate market survey indicate that afarmland values fell 9.7 percent for the 12 month period ending February 1, 1987. this current rate of decline is considerably less than the 23.5 percent decrease reported last year (1986) and 24.7 percent decline during 1985.

Farmland values have declined the past six consecutive years across the state. By 1987, the average value for Nebraska farmland had dropped 59 percent from its …

Nebraska Farm Real Estate Market Developments 1985-86, Bruce B. Johnson, Ronald J. Hanson

Nebraska Farm Real Estate Reports

Results of the 1986 Nebraska farm real estate market survey indicate that farmland values continued to fall sharply during the past year as the current farm financial crisis persists. For the state, the average percentage decline from February 1, 1985 to February 1, 1986 was 24.7 percent. This drop in Nebraska land values of nearly 25 percent was even larger than the 23.5 percent decline reported a year ago. These percentage declines of the past two years now represent the largest decreases ever recorded in USDA's statistical series for Nebraska which dates back to 1912.

This downward trend in Nebraska …

Nebraska Farm Real Estate Market Developments 1984-85, Bruce B. Johnson, Ronald J. Hanson

Nebraska Farm Real Estate Reports

The market for farm real estate is complex and ever-changing. In addition to the uniqueness for each parcel of land, countless factors influence the nature of market participation between buyers and sellers, negotiated selling price, means of financing purchases, rate of ownership transfers, etc. Also, in the current economic environment these dynamic elements are even more pronounced.

The implications of these current trends are substantial. The level of returns to agricultural assets, the distribution of wealth and land ownership, the degree of farm financial stress and even economic survival -- all are woven into the market fabric for agricultural land. …

Nebraska Farm Real Estate Market Developments In 1983-84, Bruce B. Johnson, Ronald J. Hanson

Nebraska Farm Real Estate Reports

Farm real estate values across Nebraska continued to decline even further during 1983 and into 1984. Nebraska farmland values have now trended downward for more than three and one-half consecutive years. For the year ending February 1, 1984, farmland values decreased more than 8 percent. Moreover, a special mid-year survey for 1984 indicates that the average land values have declined another 8 percent since February 1. Continued financial problems in the farming sector have forced many owners to put their land on the market. Coupled with little demand among potential buyers, this increased number of land tracts offered for sale …

A Cross Sectional Analysis Of Agricultural Land Prices In Nebraska 1978-1982, Gordon L. Carriker, Charles E. Curtis, Bruce B. Johnson

Nebraska Farm Real Estate Reports

Land Value expectations are important to land owners, agricultural producers, lenders, governmental agencies, and other parties. Greater understanding of land values and the factors involved in their determination is therefore beneficial to the decision-making process.

The analysis of farmland values has been a major focus on the agricultural economics profession for several decades. Early research focused primarily on the measurement of the relationship of income levels to land values. In more recent years, econometric models have attempted to uncover additional economic factors which influence the value of farmland.

Econometric models have used many quantification techniques ranging from single-equation ordinary least …

Nebraska Farm Real Estate Market Developments In 1982-83, Bruce B. Johnson, Ronald J. Hanson

Nebraska Farm Real Estate Reports

Farmland values in Nebraska continued to decline during 1982 On the average, values as of February 1, 1983 were about 11 percent below year-earlier levels. The continuation of a recession plagued farm economy and stiff monetary efforts to combat inflation definitely contributed to this land market weakness.

In nominal terms, current land values are comparable to 1979 levels. However, after adjusting for inflation, current values in real (purchasing power) dollar terms are basically equivalent to those of .the mid-1970's.

For most areas of the State and most types of land, land values "peaked" by 1981 after nearly a decade of …