@article{Haugen:303713,
      recid = {303713},
      author = {Haugen, Ronald},
      title = {Results of the North Dakota Land Valuation Model for the  2020 Agricultural Real Estate Assessment},
      address = {2020-05-29},
      number = {1186-2020-571},
      series = {Agribusiness and Applied Economics Report No. 797},
      pages = {22},
      month = {May},
      year = {2020},
      abstract = {This report summarizes the 2020 results of the North  Dakota Land Valuation Model. The model is used annually to  estimate average land values by county, based on the value  of production from cropland and non-cropland. The county  land values developed from this procedure form the basis  for the 2020 valuation of agricultural land for real estate  tax assessment. The average value for all agricultural land  in a county from this analysis is multiplied by the total  acres of agricultural land on the county abstract to  determine each county’s total agricultural land value for  taxation purposes. The State Board of Equalization compares  this value with the total value assessed to agricultural  property in each county. The average value per acre of all  agricultural land in North Dakota increased by 3.04 percent  from 2019 to 2020 based on the value of production. The  formula cost of production index value used in the 2020  analysis was 214.46. The formula capitalization rate was  4.36 percent. The capitalization rate had a larger effect  on higher valuations compared to recent years. Cropland  value increased, on average, 3.34 percent. Across  individual counties, the cropland valuation ranged from a  decrease of 1.04 percent to an increase of 10,23 percent.  County values had increases and decreases depending on crop  mix and cropland to non-cropland percentages. Non-cropland  values increased 5.37 percent. Generally, valuations for  counties with a higher percentage of livestock increased  partly due higher returns for the newest year entering the  data set as compared to the oldest year of the data set  that was replaced. Changes in market value are included for  comparison. Market value data are from the annual County  Rents and Prices survey conducted by the North Dakota  Department of Trust Lands.},
      url = {http://ageconsearch.umn.edu/record/303713},
      doi = {https://doi.org/10.22004/ag.econ.303713},
}