June 20, 2012
Farmland Values – Will the Boom Turn Bust?
Table of Contents
- What is a Bubble?
- Farmland Values and Fundamentals
- A Historical Perspective on Nominal and Real Gains
- Increasing Value‐to‐Rent Multiples
- A Historical Perspective on Sector Returns and Asset Values
- Falling Interest Rates
- Returns and Values: The Case of Indiana
- Are the High Multiples Sustainable?
- The Role of Expectations
- What Do Farmland Investors Say?
- Attitudes toward Valuation
- Someone Else will Pay More
- Value‐to‐Rent Relationship
- Future Values and Incomes
- Where to in the Future? Multiples
- The Link between Commodity Price Expectations and Values
- Summarizing the Survey Results
- Conclusions
- References
Read and download the PDF of the full paper prepared for the 2012 Agricultural Symposium.
*Download the slides from Dr. Gloy’s presentation at the 2013 Top Producer Seminar on this article.
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Join educators from across the Midwest to build skills for communicating soil health concepts on Nov. 4-5, 2026. In the field, we’ll evaluate the relationship between soil health and water management focusing on irrigation and edge of field practices. The in-service will have both classroom and on farm demonstrations.
The Land of Opportunity: A Conference for Farmland Owners will be held at two locations on October 5 and October 6, providing farmland owners with valuable information and resources to help them make informed decisions about their land. The conference will feature keynote presentations, educational breakout sessions, and networking opportunities designed specifically for those who own, manage, or have an interest in farmland.