After years of unprecedented gains, the value of farm land in Illinois fell through the first half of 2009.

But the losses that have slammed much of the real estate market appear to have not carried over to local farm land.

Statewide, the value of farm land declined about 2 percent in the second quarter of 2009 compared to the same period of 2008, according to the August AgLetter report issued by the Federal Reserve Bank of Chicago.

Those numbers largely reflect the observations of appraisers and others that monitor the farm land market in La Salle County.

"Values here have been pretty stable," said Dale McConville, owner of McConville Appraisal Service in Ottawa. "It"s down a little bit, but it hasn"t been too bad, I think.

"It certainly hasn"t been anywhere close to as bad as the residential (real estate market.)"

Overall, McConville estimated farm land values in the county in the first two quarters of 2009 were down 2 to 3 percent compared to 2008.

He and Wayne Fry, owner of KF Agri-Management Services in Streator, both estimated local good farm land to be worth $7,000 to $7,500 an acre.

Fry attributed the decline largely to the decline in grain prices seen in 2009, as the price farmers could have obtained for their corn and soybeans have slipped from the highs seen in 2008.

"Grain prices are down, so the land is going to be down in value, compared to the last couple of years," Fry said.

Roger Hayworth, an area sales manager for Farmers National Company who specializes in agricultural real estate in Illinois and several nearby states, said the market in La Salle County and elsewhere is difficult to gauge at this point.

While land values appear to be holding steady locally, he said the true state of the market will likely not be known until the national economy rebounds, spurring more sales activity.

In the first half of 2009, farm land sales activity dropped significantly in La Salle County, according to figures compiled by Farmers National. In 2008, the county recorded about 180 farm land sales. From January through August of this year, however, the county had logged just 60 such transactions.

Based on those sales, he said, the value of land used for farming appears to have held largely steady.

"But when the market picks up, that"s when we"ll really know where the value numbers are," Hayworth said.

Hayworth said the market has shown signs of life in recent weeks, as the number of inquiries from interested sellers and buyers have jumped sharply.

He said he expects land values will likely hold steady in coming months, but upward pressure could begin to be applied again should market activity continue to increase.

The value of land for development, however, will likely be a big exception, Hayworth said.

"That land has not been involved for quite some time," he said.

For now, though, Fry said activity for all kinds of farm land remains sluggish.

"Right now, I would not want to be buying," he said.