The Chicago Fed survey of eastern Corn Belt states showed that the value of good farmland increased 1% from the first to second quarters of 2012, the smallest quarterly increase in two years. The Kansas City Fed survey, which covers the western Corn Belt, showed that values rose less than 3% in the second quarter, roughly half the rate of the first quarter.

Meanwhile, the Illinois farm manager survey showed that farmland values increased 5% during the first half of 2012, less than double-digit increases for the period seen in recent years. The similar Iowa survey showed an average 7.7% gain for the six months ending in September, also down from double-digit increases in recent six-month surveys.

Although farmland prices appear to have cooled down so far this year, a recent USDA report showed that farmland value increases continued to gain steam from 2011 to 2012. That’s especially true in the western Corn Belt, where values climbed 24 to 35% for the 12 months ending in June, compared to gains of less than 20% in the rest of the Corn Belt.