Missouri Non-Irrigated Cropland Values Jump 14%

For 2021, all types of land in Missouri increased in value. That's according to the latest Missouri Farmland Value Opinion Survey. Non-irrigated cropland values hit $6,326 per acre, which is up $771 or 14% from last year. The average statewide value reported for irrigated cropland was $7,132, up $797 from 2020.

The state’s good pastureland had an average value of $3,781 per acre, up $407 from 2020. Timberland was up $509 to $3,070 per acre. Hunting/recreation land was up $581 to $3,162 per acre.

Overall, here are the highlights for Missouri land type:

• Good cropland: up 14% from 2020
• Good pastureland: up 12% from 2020
• Hunting/recreational land: up 20% from 2020

Cropland value changes varied widely from a drop of 3% to an increase of 36%, depending on the district. 

Survey respondents shared 55% of farmland buyers were planning to farm the land themselves, 29% were planning to rent out the land and 15% were planning to use it for non-farming purposes. This result shows a continuing increase in land purchases for non-agricultural purposes.

What Took Farmland Values Higher?

Exceptional farm income in the last two years was a big driver in farmland values, according to the survey. Respondents also mentioned urban sprawl and outside money (non-farm/rural resident) affecting timber and recreation land.

Low interest rates continue to be considered a factor in increasing land values. Several survey respondents mentioned larger farms with equity purchasing more land. Other respondents mentioned land being subdivided into smaller tracts for use as homesteads or for recreation.

Location was again mentioned as important. Land value within short driving distances of urban areas is increasing at a much faster rate than the remainder of land in the state.

In 2020, respondents forecasted prices to increase 2% for all types of land, which is much below this year’s increase of 14%.

Survey respondents forecasted that over the next year:

• Cropland will increase 5%
• Pastureland will increase 3%
• Non-farmland will increase 4%

These estimates are higher than in previous years but indicates that the substantial increase seen in 2021 will likely not continue. 

The Missouri farmland value data was generated through a web-based survey that was conducted in September 2021. Participants included ag lenders, rural appraisers and farmers received the survey.