I would describe the current land market as stable with some local volatility. The following data suggests as much.
Land Auctions picked up the last month of quarter 3 with a good amount of land coming up for auction. September tested with market with more land being auctioned than any month in 2017. The quarter 3 data indicates a very stable market. The data suggests that quarter 3 is down slightly from quarter 2 by -0.4% on 85% tillable farms. The data suggests the market has gotten stronger throughout the year and even with more land being auctioned, the market appears to be very strong.
I have one word to describe the current land market in Iowa - STRONG. This contradicts everything you hear from the news media. No, the news media is not reporting “fake news”. The news media is reporting: lower commodity prices, lower farm net income & lower cash rents than in 2016. All true. What is not being reported is the ultra-low supply of farmland for sale and the amount of pent up demand to buy farmland by farmers and investors. Demand to buy farmland is still very strong in 2017.