With fewer acres going to market, the price being paid for land diverted to uses other than agriculture in 2017 jumped 41 percent over 2016 numbers, according to the Wisconsin Department of Agriculture, Trade, and Consumer Protection’s recently released assessment of agricultural land sales and values for 2017.
In 2016, the average price paid for land being diverted to uses other than agriculture rose less than 1 percent from the year before to $7,085 per acre. That price jumped to $10,007 in 2017, while the total number of agricultural land sales in Wisconsin decreased 2 percent and the total acreage sold decreased 10 percent.
The average value of all agricultural land sold rose 4 percent to $5,759 per acre. The average value of land continuing in agricultural use fell 1 percent to $5,445 per acre.
The total number of transactions fell to 1,527 in 2017. The number of transactions where the land continued in agricultural fell by 85 while the number of transactions where the land was diverted to other uses rose by 51. The total number of acres sold dropped 10 percent to 90,872.
The average value of forest land sales in 2017 was down 15 percent to $1,943 per acre. Land continuing in forest land averaged $1,885 per acre, while land being diverted to other uses was $2,364 per acre. There were 245 more sales in 2017 than in 2016 with 46,826 more acres sold.
Land sales figures in this report include only averages of arm’s length transactions reported to and reviewed by the Wisconsin Department of Revenue’s Bureau of Equalization. Sales made under other than normal market conditions (such as family sales or foreclosures) are not included in this report.
With each sale of a parcel of land, the buyer is required to file a Wisconsin Real Estate Transfer Return, documenting the parcel size, sale price, present use and intended use of the property. State appraisers inspect the site and verify the transfer return.
The sales data in this report are a summary of the Wisconsin Real Estate Transfer Returns. Specifics on land sales transactions within a certain county can be obtained by contacting the Department of Revenue or visiting http://www.revenue.wi.gov/retr.
The report was compiled by DATCP in cooperation with the Wisconsin Department of Revenue’s Bureau of Equalization. The report is available at http://www.nass.usda.gov/wi.