AgLetter: August 2003
Slightly higher rates of increase in the value of “good” agricultural
land for the Seventh Federal Reserve District were
supported by continued pressure from development and
interest from nonfarm investors. Based on a survey of 282
agricultural bankers as of July 1, 2003, the quarterly increase
in farmland values rose to 2 percent, on average, for the
entire District. For the twelve months ending June 31, the
increase was 7 percent, exceeding the year-over-year increase
posted for the quarter last year. More respondents
expected farmland values to go up and less expected farmland
values to decline in the next three months.