July 2026 Wallace’s Farmer MarketPlace Extra

The Iowa farmland market came into the 2026 growing season with stable legs.  For many months now, a limited supply of farms for sale has helped to maintain land prices on those farms that have been offered to the market.  So, as we look forward through the summer, what factors may impact the direction of the farmland market in the second half of the year?  I see 4 primary topics to watch.

First, the success or struggle in the current growing season will play a direct and significant role in the land market for the remainder of the year. Farmers in Iowa still buy 70-75% of row-crop farms offered to the market, so whether they feel happy or nervous about crop prospects impacts their aggressiveness in buying additional land. For the past 2 years, Iowa (& Midwest) farmers have “outbusheled” the commodity price weakness. Will it happen again this year? From what we’re seeing at Hertz Farm Management, producer sentiment remains closely tied to in-season yield expectations and margins.

Variables two and three are both geopolitical, and they carry the names of China and Iran. China has been a demand driver in world commodity markets, especially soybeans, for many years. President Trump made a historic state visit to Beijing in mid-May, and it is believed that one of his objectives was to influence China’s purchase of U.S. agricultural products. If they more fully re-engage to purchase U.S. products, they can swing the commodity markets – and influence farm level profitability. Similarly, our early 2026 conflict in Iran, has influenced worldwide oil, fuel, and fertilizer prices, among other things. At the farm level, this has caused an even greater cost-price squeeze for agricultural producers. Many had their diesel and fertilizer booked for 2026 production; but how will things stack up going into late summer and fall?

Finally, the United States Senate recently confirmed Kevin Warsh as the new Chairman for the Federal Reserve System.  Mr. Warsh was nominated by President Trump, and he came into the position with a perceived bent towards lowering short-term interest rates. However, with the Iran conflict seemingly re-lighting the fuse on inflation in our economy, higher short-term rates seem more likely than lower rates. And, we’ve already seen the bond market spike higher for long-term treasury’s, which directly impact long-term mortgage rates. Higher interest rates are not generally positive for asset values.

All this to say, the world is not boring! The factors mentioned above are those to watch as summer arrives and matures. Fortunately for Iowa farmland owners, amidst all the motion, the sales below reflect the stability I mentioned in my open.

NORTHWEST

Sioux County:

Located southeast of Rock Valley, 84 +/- acres recently sold at public auction for $26,600 per acre. The farm consisted of 84 +/- tillable acres with a CSR2 (Corn Suitability Rating index) of 91.3, and equaled $291 per CSR2 point on the tillable acres.

NORTH CENTRAL

Floyd County:

Located west of Floyd, 116 +/- acres recently sold at public auction for $11,075 per acre. The farm consisted of 115 +/- tillable acres with a CSR2 of 85.0, and equaled $131 per CSR2 point on the tillable acres.

NORTHEAST

Fayette County:

Located southwest of Westgate, 40 +/- acres recently sold at public auction for $14,400 per acre. The farm consisted of 36 +/- tillable acres with a CSR2 of 88.9, and equaled $180 per CSR2 point on the tillable acres.

WEST CENTRAL

Harrison County:

Located south of Logan, 177 +/- acres recently sold at public auction for $9,700 per acre. The farm consisted of 169 +/- tillable acres with a CSR2 of 63.1, and equaled $161 per CSR2 point on the tillable acres.

CENTRAL

Story County:

Located east of Slater, 93 +/- acres recently sold at public auction for $18,000 per acre. The farm consisted of 88 +/- cropland acres with a CSR2 of 88.0, and equaled $216 per CSR2 point on the cropland acres.

EAST CENTRAL

Cedar County:

Located south of Clarence, 73 +/- acres recently sold for $16,350 per acre. The farm consisted of 72 +/- tillable acres with a CSR2 of 87.7, and equaled $189 per CSR2 point on the tillable acres.

SOUTHWEST

Fremont County:

Located southeast of Tabor, 197 +/- acres recently sold at public auction for $10,000 per acre. The farm consisted of 181 +/- tillable acres with an average CSR2 of 71.6, and equaled $152 per CSR2 point on the tillable acres.  

SOUTH CENTRAL

Marion County:

Located off the northeast corner of Knoxville, 92 +/- acres recently sold for $13,043 per acre. The farm consisted of 82 +/- tillable acres with an average CSR2 of 75.6, and equaled $193 per CSR2 point on the tillable acres. 

SOUTHEAST

Lee County:

Located west of Denmark, 34 +/- acres recently sold at public auction for $9,500 per acre. The farm consisted of 28 +/- tillable acres with a CSR2 of 48.2, and equaled $239 per CSR2 point on the tillable acres.

Doug Hensley is President of Hertz Real Estate Services at Hertz Farm Management, a leading farmland brokerage and management firm serving landowners across the Midwest. The company specializes in farmland sales, farm management, and agricultural appraisals. Call us at 800-593-5263  or visit hertz.ag.

Related Articles