Continuing with the Iowa Farmland Values blog series, we will use the 2020 Farmland Value Survey to highlight average farmland characteristics and production costs in Grundy and Marshall County. If you are interested in acquiring similar information, contact your local extension office or land grant institution within your state.

1 2019 ISU Land Value Survey conducted by the Center for Agricultural and Rural Development (CARD)
2 Iowa State University Extension and Outreach File C2-10 in Ames, Iowa

Successful Sales in Grundy County:

Of the 320,800 total acres in Grundy County, the average Corn Suitability Rating 2 (CSR2) for the 308,030 acres of farmland within the county is 86.9 with an average 2020 farmland value of $9,247 per acre, which is a 3.4% increase from $8,997 since 2019. To determine the CSR2 price per point average, divide the average farmland value ($9,247) by the Grundy County CSR2 average (86.9), which equals $106.41 per CSR2 point.

The average cash rent per tillable acre across Grundy County is $272 ($242-$300). The 2015-2019 average corn and soybean yield was 210 and 61 bushels per acre, respectively. The average rent per bushel of crop yield is calculated by cash rent divided by the average crop yield expected, which is $1.30 for corn and $4.46 for soybeans. 

The cap rate for Grundy County farmland is around 2.94%, or an expected return on investment just shy of three percent.

1 2019 ISU Land Value Survey conducted by the Center for Agricultural and Rural Development (CARD)
2 Iowa State University Extension and Outreach File C2-10 in Ames, Iowa

Successful Sales in Marshall County:

Of the 366,700 total acres in Marshall County, the average Corn Suitability Rating 2 (CSR2) for the 316,451 acres of farmland within the county is 75.7 with an average 2020 farmland value of $8,146 per acre, which is a 3.6% increase from $7,863 since 2019. To determine the CSR2 price per point average, divide the average farmland value ($8,146) by the Marshall County CSR2 average (75.7), which equals $107.61 per CSR2 point.

The average cash rent per tillable acre across Marshall County is $231 ($192-$268). The 2015-2019 average corn and soybean yield was 215 and 61 bushels per acre, respectively. The average rent per bushel of crop yield is calculated by cash rent divided by the average crop yield expected, which is $1.07 for corn and $3.73 for soybeans. 

The cap rate for Marshall County farmland is around 2.84% or an expected return on investment of just over two and three-quarters percent.

To get in contact with someone about your Grundy County or Marshall County farm in Iowa, please contact Doug Bear (515.745.3192; Doug.Bear@PeoplesCompany.com) or Matt Adams (515.423.9235; Matt@PeoplesCompany.com).

Tillable Acres Link for all the counties can be found HERE.

DOWNLOAD Grundy County Details
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