Midwest Farmland Values Actually Up in Third Quarter
The Chicago Federal Reserve released their latest report on farmland values
The Chicago Federal Reserve releases a quarterly report reviewing the changes in farmland values. The latest report was just released.
The District includes the following states:
Illinois
Indiana
Iowa
Michigan
Wisconsin
On average farmland values increased 3% in the district during the third quarter of 2025, however, for the full year ended September 30, 2025, farmland values were flat.
The largest increase was in Illinois at 2% and up 4% for the year. Wisconsin actually saw a 7% drop in values during the quarter, however for the full year values were up 4%.
Iowa was flat and down 1% for the year. Indiana was also flat but up the most year-over-year at 6%.
Michigan did not have enough responses to provide any details.
Credit conditions continue to soften and here is a good chart that shows the trends over the last 25 years:
In the chart you can see the repayment rates spike during very good times and the drop when prices are lower. Conversely you can see that repayment rates were very low during 2014-2019, spiked in 2020-2022 and now are almost back to the rates seen during 2015-2019.
If the recent rally in grain prices continues, we may see this trend start to reverse. We will keep you posted.