Published On: Wed, Feb 15th, 2012

Assessed values on farmland going up

HARTINGTON — Owners of farmland will be seeing an increase in their 2012 assessed valuations.
The selling price for farm land in Cedar County has soared during the past year with
sales reaching over $8,000 an acre.
Cedar County Assessor Don Hoesing said the assessed valuation for tax purposes has to reflect the selling price of the land according to the statute.
Farmland property owners could be seeing an increase of around 25 percent on their
valuations this year.

“It has to be based on the market value,” Hoesing said. “Over-all, everything will raise
around 25 percent this year – although grassland will not be going up quite that much. We will be in the range we need to be at but it won’t be on the high end. Values are going up in other counties also – some more than 25 percent.”
Sales from the past three years are used to set the values for Ag land and commercial
properties. Sales from the two previous years are used to place the valuation on residential properties.
Review work is being completed in Coleridge, Randolph, Belden and Fordyce for the 2012 valuations.
The Assessor’s Offi ce is using figures and data from approximately 65 Ag sales to
determine the 2012 valuations.
“June 30 of 2011 was the cut off date for the sales that we are looking at to set values. We aren’t even using the latest sales which are coming in even higher,” Hoesing said. “It looks like valuations will have to be raised again next year.”
The Assessor’s Office has divided Cedar County into two market areas in order to reflect the market value on farm land.
Ag land in the northern part of Cedar County carries a lower value per acre than farm ground in the southeast part of the county.
Market area one includes Precincts One through Fourteen plus Precinct Eighteen. Market area two, which carries higher per acre valuations, includes Precincts 15,16,17,19,20 and 21.
Each time property sells and a deed is recorded at the County Clerk’s Office at the
Courthouse a Real Estate Transfer Statement – form 521 is required to be placed on file.
The Transfer Statement includes the legal description, names of seller and purchaser
along with the selling price and the assessed value of the property.
The information on these forms is used to set a sales ratio in each county across the
Currently the statute requires residential and commercial properties must be valued
between 92 to 100 percent of sales while the range for Ag land is at 69 to 75 percent of
the market.
In 2011, Ag land in Cedar County was valued at 73 percent of the market while
residential property was at 96 percent and commercial property was at 95 percent of
the market.
Notices on any valuation changes will be mailed out before June 1, 2012.