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Farmland values still gaining strength in central Illinois

The farmland market remains strong in parts of the Corn Belt.

Compeer Financial certified real estate appraiser Rob Brines says premium ground in central Illinois was selling for $18,000 to $19,000 an acre during the spring and summer.

“Then this fall, we got our first $20,000 an acre-plus sales in McLean and Woodford counties.”

Strong commodity prices and low interest rates have driven values.

He tells Brownfield it’s surprising the land market seems to be gaining more strength despite recent rate hikes by the Federal Reserve and thinning margins on the farm.

“Inputs have come up, interest rates are up. So there’s a lot of things that tell us the values shouldn’t be rising, but still they have been. So I guess there’s a factor out there that I’m not aware of.”

Brines says the gap between highly productive and less productive land does seem to be widening.