Experts expect farmland values to decline as agriculture enters the projected fourth year of lower farm incomes. Agricultural real estate business Farmers National Company says agricultural land values in most areas can be expected to continue to gradually decline over the next several years if commodity prices and farm incomes remain at current low levels. However, despite anticipated additional declines in land prices in most areas, there are positives on the horizon for land values. Those include potential improvements in farm and ranch incomes after bottoming out. Farmers National Company says that if the industry sees limited stress-sales of farmland and no other shocks to the markets, land values will move to stabilize over the next several years.
Source: NAFB News Service