What Price - Soil?

I have fond memories as a Tender Young Iowa Farm Boy and listening to my Dad talk about how much He and My Mom pay for their 80 acre farm near Ceres in Clayton County Iowa. They purchased this Farm in 1941 when I was one year old and World War II had not yet started because I also recall that they moved in the Winter of 1941 prior to my Sister being born.

The 80 acres cost $9,000.00 which included all the buildings to commence farming operations. At the time of the purchase my Dad farmed with one team of horses. The cost of his farm works out to $112.50 per acre and the note with the Federal Land Bank was at 1% interest. I also recall that My Mother's Parents had to co-sign for them to get the Federal Land Bank Loan.

I also recall the Summer of 1946 or 1947 when I watched my Dad and Mom's Dad walk a tract of timber which was for sale for $800.00 for twenty acres. I also recall my Mom crying that this was too much to pay for timber. My Dad did buy the property and used the wood products to build a new corn crib, a new machine shed and in 1952 a new house for the Family of Six Children.

But, I use this Blog Post to let everyone know how the price of Land in Iowa has changed in 69 years. Recently my Sister-In-Law in Clayton County Iowa sent me a link to the Des Moines Register which contained an article that land in Iowa has recently sold for $8100,00 per acre.

Wow!!!, just a bit less than the $9,000.00 My Parents spend to buy a whole Farm in 1941. My how times have changed.

The Des Moines Register cited several reasons for the high price of land. One was that they are not making any more Soil and another reason is Soil, rich Iowa Soil is a better investment than the Stock Market.

The high price for Soil/Land in Iowa may see a change. The possible revisions to the Future Farm Bill may see a reducation in Ethonal subsities which may cause the price of Corn to decrease.

In the mean time those with Funds and Good Credit are acquiring Soil in Iowa. As an Iowa Farm Boy I was always proud of the fact that Iowa contained 25% of the Grade A Farm Land of the United States of America.