High production costs and lower commodity prices have sunken farm income over the summer months. However, farmland values don’t seem to mind. Land values rose by 7.2% in the northern Plains, according to ag bankers in a quarterly survey by the Minneapolis Federal Reserve Bank.

The Minneapolis Fed says more than a third of lenders expect loan demand to increase despite higher interest rates. Even more than non-irrigated cropland, irrigated farmland values climbed a whopping 12.8%. Ranch and pastureland rose 2.1%, with growing pressure stemming from more hunters seeking recreational land and investor purchases.

Read more on farmland values here.