Arizona's Farmland Values Increase Slightly Amidst Fall In National Average
A new report from the U.S. Department of Agriculture shows how crop and farmland value across the country changed in 2016.
Arizona’s overall farm real estate values are up slightly this year, while cropland values are down. Cropland values only count the actual land and fields the crops are grown on, and does not include structures like barns or silos.
The small changes reflect less demand for exported goods, which in Arizona are mostly cotton and wheat.
In the last 14 years, average farmland value has doubled, and University of Arizona agriculture economist George Frisvold said in Arizona’s case, the value for ag land is trending higher than other farming states because of growing development.
“There’s a lot more potential for buying up farmland for real estate development in Arizona and Pacific states than there is in some place like South Dakota,” Frisvold said.
The national average of farmland value fell for the first time since 2009.
(Graph courtesy USDA - Land Values 2016 Summary)