Unlocking the Value of Nebraska Farmland: A Comprehensive Guide to Current Land Prices and Expert Insights - November 2023 Report
Welcome to Our Monthly Nebraska Farmland Value Report
In this monthly report, Jason Smith, Nebraska Land Broker and Auctioneer dives into Nebraska farmland values, helping you understand the factors that determine what your farm is potentially worth. Our goal as auctioneers and farmland real estate agents is to provide you with up-to-date information, recent sales data, expert insights, and tips for maximizing the potential value of your farmland sale. Let us answer the questions you have about selling farmland in Nebraska. Contact us today for a free consultation. You can reach us by phone at 402-739-8696.
Jason J Smith, Auctioneer
515-537-6633
Jason is an experienced farmland broker and auctioneer with extensive experience in farmland sales across this Midwest. Jason has worked with hundreds of clients to create advantageous outcomes. If you are selling land schedule a consultation with Jason by calling or using the calendar.
Understanding Nebraska Farmland Values:
Factors Influencing Farmland Values in Nebraska
Nebraska’s agricultural landscape is influenced by a multitude of factors. In this blog, we will explore how commodity prices, interest rates, government policies, and regional conditions impact the current market values.
According to Creighton University Rural Mainstreet Index (RMI) Survey Nebraska’s RMI for November fell to 39.7 from 44.3 in October. In the agriculture sector, the region’s farmland prices are expirencing solid growth, rising to 64.1 from October’s 54.3 on Creighton’s index. “Creighton’s survey continues to point to solid, but slowing, growth in farmland prices as farm commodity prices weakened,” said Ernie Goss, PhD, Jack A. MacAllister Chair in Regional Economics at Creighton University’s Heider College of Business.
Recent Farmland Sales Data
Let’s dive into the latest sales data, including county location, land size by acre amount, soil productivity ratings, and sale prices per acre and total price in the table below. By analyzing this data, you can get a clearer picture of how your property may be valued in the current market.
Average Price of Farmland in Nebraska
In the month of November, a total of 6,445.65 acres were sold in Nebraska from auction sales data. The current average per acre price for land in Nebraska according to these November sales is $9,495 per acre. The highest selling farm in Nebraska in the month of November 2023 sold on November 9th in Wayne County for $4,112,500 or $11,750 per acre for 320 acres, with an NCCPI of 66.1. The farm with the highest selling price per acre sold on November 2nd in Washington County for $18,800 per acre for 126.2 acres, with an NCCPI of 79.5
Is Now A Good Time to Sell Farmland in Nebraska?
The Nebraska farmland market has remained strong through the year and is especially strong in eastern Nebraska along the Missouri River and through the Platte River Corridor. Sales across the state have met and exceeded sellers expectations in most cases. Dryland sales have kept pace over the course of the last 11 months while irrigated farmland seems to have made some gains over the same period of time. Ranch land and hunting land sales have remained steady with many successful sales across the state, and notably in North Central and Western Nebraska. Access to water remains an important issue in Nebraska land sales and prices reflect that.
Farmland Auction Results in Nebraska November 2023
| County | Total Acres | $/Acre | NCCPI | Total Price | Date Sold |
|---|---|---|---|---|---|
| Thurston | 119.7 | $9,075 | 66.2 | $1,086,005 | 11/1/23 |
| Thurston | 39.9 | $8,900 | 67.6 | $354,932 | 11/1/23 |
| Thurston | 39.9 | $8,900 | 72 | $354,932 | 11/1/23 |
| Thurston | 58 | $8,500 | 77.3 | $492,830 | 11/1/23 |
| Thurston | 111.4 | $8,075 | 73.3 | $899,232 | 11/1/23 |
| Washington | 126.2 | $18,800 | 79.5 | $2,372,748 | 11/2/23 |
| Butler | 160 | $12,050 | 64.2 | $1,928,000 | 11/2/23 |
| Gage | 80 | $8,100 | 61.6 | $648,000 | 11/2/23 |
| Gage | 80 | $7,800 | 55.9 | $624,000 | 11/2/23 |
| Boyd | 167.3 | $10,100 | 56.4 | $1,690,235 | 11/8/23 |
| Boyd | 141.2 | $10,000 | 59.8 | $1,411,600 | 11/8/23 |
| Dodge | 73.2 | $17,500 | 71.5 | $1,281,000 | 11/9/23 |
| Wayne | 320 | $11,750 | 66.1 | $3,760,000 | 11/9/23 |
| Howard | 160 | $8,400 | 46.4 | $1,344,000 | 11/9/23 |
| Howard | 160 | $8,250 | 31.2 | $1,320,000 | 11/9/23 |
| Howard | 160 | $7,350 | 41.1 | $1,176,000 | 11/9/23 |
| Howard | 151.4 | $7,050 | 34.7 | $1,067,158 | 11/9/23 |
| Howard | 160 | $5,800 | 49.8 | $928,000 | 11/9/23 |
| Boone | 150 | $9,550 | 64.8 | $1,432,500 | 11/10/23 |
| Holt | 97.1 | $9,400 | 32.8 | $913,022 | 11/10/23 |
| Stanton | 160 | $11,000 | 66 | $1,760,000 | 11/14/23 |
| Washington | 276.2 | $6,550 | 70 | $1,809,110 | 11/14/23 |
| Washington | 142.3 | $4,750 | 60.5 | $675,925 | 11/14/23 |
| Cass | 80 | $16,150 | 59.5 | $1,292,000 | 11/17/23 |
| Lancaster | 151.6 | $8,150 | 69 | $1,235,458 | 11/17/23 |
| Lancaster | 118.1 | $7,500 | 64 | $886,050 | 11/17/23 |
| Richardson | 75.47 | $16,000 | 76.8 | $1,207,520 | 11/20/23 |
| Richardson | 156.26 | $7,000 | 62 | $1,093,820 | 11/20/23 |
| Richardson | 156 | $6,100 | 61.8 | $951,600 | 11/20/23 |
| Seward | 132.94 | $13,050 | 62.1 | $1,734,867 | 11/21/23 |
| Polk | 240 | $12,700 | 66.8 | $3,048,000 | 11/21/23 |
| Seward | 170 | $11,950 | 62.1 | $2,031,500 | 11/21/23 |
| Polk | 65.78 | $11,950 | 67.9 | $786,071 | 11/21/23 |
| Morrill | 622.6 | $1,300 | 37 | $809,393 | 11/21/23 |
| Clay | 160.24 | $9,600 | 67 | $1,538,304 | 11/28/23 |
| Clay | 160.11 | $9,150 | 66.3 | $1,465,007 | 11/28/23 |
| Clay | 76.34 | $8,150 | 61.3 | $622,171 | 11/28/23 |
| Clay | 76.11 | $7,800 | 64.5 | $593,658 | 11/28/23 |
| Seward | 397.7 | $7,700 | 65.1 | $3,062,290 | 11/28/23 |
| Polk | 160.3 | $4,450 | 41 | $713,335 | 11/28/23 |
| Custer | 159.4 | $11,000 | 52.2 | $1,752,960 | 11/29/23 |
| Lancaster | 74 | $10,950 | 65.6 | $810,628 | 11/30/23 |
| Lancaster | 78.9 | $10,000 | 62.3 | $789,100 | 11/30/23 |
| Statewide Average | 149.898837 | $9,495 | 60.5348837 | $1,296,580 | |
| Statewide Totals | 6445.65 | $55,752,961 |
Call us about selling your Nebraska land at 402-739-8696 We can help you safely transition your land ownership using a private sale, public auction or even a private land auction.
Market Trends and Future Projections:
Nebraska Land Market Trends
Each month we like discuss current trends in Nebraska farmland sales, highlighting patterns, emerging opportunities, and potential challenges.
Every year the Center for Agricultural Profitability, which is based in the Department of Agricultural Economics at the University of Nebraska-Lincoln, conducts the Nebraska Farm Real Estate Market Survey. Results from the survey are divided by land class and agricultural statistic district and was released in February 2023. As you can see, the average price per acre of sold farms in the month of October exceeds the highest average price per acre statewide.
You can view each regions’ average value categorized by land type in our comprehensive blog about this survey here.
According to the USDA-National Agricultural Statistics Services (USDA-NASS) survey, in 2023, Nebraska’s farm real estate value experienced a substantial 13.1% increase, averaging $4,240 per acre—an annual growth of $490/acre. The state ranked fifth in the nation for the highest percentage increase in farm real estate. Additionally, Nebraska’s cropland values reported the third-highest surge in the country, rising by 13.8% to reach an average of $6,830 per acre. These statistics highlight the robust growth and market dynamics within Nebraska’s agricultural real estate landscape in 2023.
Assessing Your Farm’s Worth:
Nebraska Land Market Analysis Appraisal Technique
Curious what your farm could sell for? We prepare market analysis for each of our farmland sellers to help you discover and learn what your farm is worth from our market based research and expertise. Fill out our form here to request a market analysis of your Nebraska farmland or call us at 402-739-8696
Future Predictions for Farmland Values
Here you will gain insights into the future of Nebraska’s farmland market with our expert forecasts. Understand what to expect in the coming months and years. Here’s what we are predicting:
Yield and production prospects recover modestly in 2023 but not enough to offset lower commodity prices, reducing 2023 crop receipts by nearly 14%, back to a level on par with 2021. Higher interest rates, lower crop prices, high input costs, and trade barriers are challenging the farming economy and land prices in the coming months. We are starting to see farmland prices plateau and we do not expect to see a sharp increase or decrease in prices in the next few months. We know where the market is today, and now is still a good time to sell farmland.
Several factors could contribute to this scenario:
Market Conditions: Lower commodity prices could be influenced by factors such as oversupply in the market, decreased demand, or changes in global economic conditions.
Weather and Climate: Weather patterns and climate conditions play a crucial role in agriculture. Adverse weather events like droughts, floods, or extreme temperatures can impact crop yields.
Input Costs: The cost of inputs, such as fertilizers, pesticides, and fuel, can affect overall profitability for farmers. If input costs are high, they can offset gains from increased production.
Trade Dynamics: International trade and geopolitical factors can influence commodity prices. Trade disputes, tariffs, and global economic conditions can impact the demand and prices for agricultural products.
Policy Changes: Government policies related to agriculture, subsidies, and trade agreements can also have a significant impact on the overall economic outlook for farmers.
It’s essential to consider a combination of these factors when analyzing the prospects for agriculture in a given year. The interplay of market forces, environmental conditions, and policy decisions can have complex effects on crop production and receipts.
Navigating the Selling Process:
Tips for Selling Your Farm in Nebraska
Explore a set of practical tips for successfully selling your farmland by downloading our free eBooks here. Schedule a non obligatory consultation with us today and we will cover everything from when is the best time to sell, a customized marketing plan, sales methods, how we can help you find the right buyer, and answer your questions.
Farm Real Estate Experts in Nebraska
Meet our team of Nebraska farm real estate and auction experts who can provide you with valuable guidance and personalized assistance throughout the selling process. If you’re looking to uncover the true value of your Nebraska farm or are considering selling, don’t hesitate to reach out to our experienced team. We’re here to provide you with a customized plan to meet your goals. Contact us today to get started.
Alyssa Bromm
Nebraska Farm and Ranch Agent
Alyssa graduated from the University of Nebraska-Lincoln, where she received her Bachelor’s in Business Administration with a focus on Management and a minor in Economics. She is a Nebraska Native, originally from a small town in the northeast part of the state. One of the most appreciated aspects of her job is getting to know each owner individually; the sense of community in this industry drives her dedication to maximizing your potential.
Alyssa is excited for the opportunity to earn your business. If you are curious about selling or would like to talk about your options, please reach out to her at (402) 870-2975 or [email protected].