By Scout Nelson
In 2024, Nebraska witnessed a notable increase in farm real estate values, rising by 6.8% to an average of $4,080 per acre, according to a recent USDA-National Agricultural Statistics Service report. This increment is part of a broader trend seen across the United States, with states like Florida and Tennessee experiencing even higher growth rates.
Nebraska's cropland values saw a 6.3% rise, reaching an average of $6,540 per acre. This increase reflects steady demand for agricultural land, although influenced by moderating commodity prices and higher production costs due to sustained high-interest rates aimed at controlling inflation.
Additionally, pastureland in Nebraska appreciated more significantly than cropland, with a 7.7% increase to $1,400 per acre, largely driven by rising cattle prices and lower feed costs from good forage production. This favorable scenario for livestock producers, however, is tempered by concerns about adequate rainfall for pastures, which could impact future economic outcomes.
The USDA-NASS also provided detailed county-level cash rent estimates for 2024, covering non-irrigated and irrigated cropland and pasture. These estimates vary widely across Nebraska, influenced by factors such as soil type, rainfall, and local market conditions. For irrigated land, the reported rental rates are based on a weighted calculation that includes different types of irrigation practices, assuming the landlord owns the irrigation system.
Pastureland rental rates are similarly variable, depending on factors like stocking rates and productivity, and are adjusted seasonally to reflect changes in forage quality and other conditions.
This comprehensive report not only offers valuable insights into current land value trends and rental rates in Nebraska but also underscores the dynamic nature of agricultural economics, influenced by a myriad of environmental and market factors. The data serves as a crucial resource for farmers, investors, and policymakers looking to navigate the complexities of the agricultural landscape in Nebraska.
Photo Credits:usda
Categories: Nebraska, Livestock, Dairy Cattle