How Much Is Land Per Acre in Wisconsin?

The value of land in Wisconsin varies significantly from one parcel to another. Understanding these variations is essential for anyone considering a land transaction, whether buying or selling. Factors like location, intended use, economic conditions, and physical characteristics all play a role in determining per-acre pricing. This article explores the elements that influence land values across Wisconsin.

Statewide Overview of Land Values

Across Wisconsin, a broad average price per acre for land offers a general starting point, but is not reflective of any specific property’s true market value. For agricultural land, the average price for bare land sold between January and December 2024 was approximately $6,363 per acre. Farm real estate, which includes both land and buildings, averaged $6,120 per acre in 2024. These statewide averages consolidate diverse land types and locations, meaning individual parcel values can deviate widely.

Key Factors Influencing Land Price

Several fundamental elements drive the per-acre price of land. Location is a primary determinant, with proximity to urban centers, major transportation routes, and essential amenities boosting value. Land near cities or growing population centers often commands higher prices due to development potential and increased demand.

Zoning regulations dictate land use, directly impacting its value. A parcel zoned for commercial or residential development generally holds a higher per-acre value than one restricted to agricultural or conservation uses. Accessibility also plays a role; properties with direct road frontage or established easements are typically more valuable than landlocked parcels.

The availability of utilities, such as water, sewer, electricity, and high-speed internet, enhances land appeal and price. Developing land without existing utility connections can incur substantial costs for new infrastructure, reflected in a lower initial purchase price.

The physical characteristics of the land, including topography, soil quality, and drainage, influence its suitability for various uses and its market value. Productive, fertile soils are sought for agriculture, while flat, easily developable terrain is preferred for construction. Market dynamics, specifically the balance between supply and demand, also influence pricing. Periods of high demand and limited inventory drive prices upward, while abundant land leads to more competitive pricing.

Regional Differences in Land Value

The impact of these factors manifests differently across Wisconsin’s regions, leading to distinct land value trends. Southeastern Wisconsin, characterized by higher population density and economic activity, typically sees higher land values, particularly for residential and commercial development. Urban sprawl from metropolitan areas contributes to elevated prices in these surrounding regions.

In contrast, central and western Wisconsin are predominantly agricultural, and land values in these areas are heavily influenced by soil productivity and agricultural market conditions. Northern Wisconsin, with its shorter growing season and greater proportion of forestland, often features lower agricultural values but stronger demand for recreational properties.

This regional variation highlights how location-specific economic drivers and natural features shape the market. Certain northern counties, for example, show high turnover for recreational and vacation properties, indicating strong demand in those specific niches.

Valuing Specific Land Types

The intended use of land influences its per-acre valuation, beyond general location and physical attributes. Agricultural land is primarily valued based on its productivity, which includes soil quality, drainage, and access to irrigation. In 2024, Wisconsin cropland averaged $6,800 per acre, while pastureland was valued at $3,200 per acre. This type of land’s worth is tied to its capacity to generate income from crops or livestock.

Residential development land, intended for housing, derives much of its value from its location within desirable school districts, proximity to community amenities, and suitability for construction. This land type can command higher prices, especially near urban or suburban centers. Recreational land, used for activities like hunting, timber harvesting, or cabin sites, is valued based on features such as timber quality, access to water bodies, privacy, and wildlife habitat. Rural recreational and hunting land typically ranges from $2,000 to $5,000 per acre.

Commercial and industrial land, designated for businesses, factories, or retail, often has the highest per-acre values. Its worth is driven by factors like traffic visibility, access to transportation networks, utility infrastructure, and zoning that permits intensive commercial activity. Land parcels with commercial development potential near urban centers can exceed $100,000 per acre, with urban metro areas averaging $182,772 per acre.

Methods for Estimating Land Value

Estimating the value of a specific piece of land involves research and professional insight. A common method is to analyze recent comparable sales, often referred to as “comps,” in the immediate area. This involves examining properties similar in size, type, and features that have recently sold, providing a market-based benchmark. Online real estate platforms and county assessor’s office databases are valuable resources for this initial research, offering public records of past transactions and property assessments.

Consulting with local real estate agents specializing in land sales provides access to more detailed market data, including properties listed on Multiple Listing Services (MLS). These professionals possess localized expertise and interpret market trends relevant to a specific parcel. For a formal and precise valuation, particularly for significant transactions or financing, a professional land appraisal is often recommended. Appraisers use various methodologies, including the sales comparison approach, income approach, and cost approach, to provide a comprehensive and unbiased estimate of value. For agricultural land, state regulations often outline specific methodologies for assessment, sometimes based on the land’s income-generating potential.