Iowa farmland values surged 7.8% in the past six months as rising farm incomes and low interest rates triggered more bidding from farmers and investors, according to the Iowa Realtors Land Institute (RLI) spring land value survey last week. 

The jump follows a period of 12 months that featured virtually no change in farmland values across the state.

“The amount of optimism in the market has been a complete (change) from late last summer. Commodity prices are at six-or seven-year highs, so...