In recent years, farm real estate (land and structures) has typically accounted for about four-fifths of the total value of U.S. farm assets. Farmland values have stabilized since 2014, following a long trend of appreciation since the 1980s. However, there is regional variation in both farmland value levels and growth trends.

U.S. farmland value remained high in 2019, averaging $3,160 per acre (a modest increase of 0.2% over 2018). Farm income was forecast to increase nationwide in 2019 (see Farm Income and Wealth Statistics for details). This increase, combined with historically low interest rates, contributes to the ability of the farm sector to support higher farmland values. The figure below shows nominal and real (inflation-adjusted) national average farmland real estate values since 1969. While nominal farmland values have increased modestly since 2016, real farmland values have remained flat since 2014.

Regional Farmland Values

Regional farmland real estate values vary widely because of differences in general economic conditions, local farm economic conditions, government policy, and local geographic conditions that affect returns to farming. For example, in the Corn Belt, farm real estate values are nearly twice the national average, while farmland real estate values in the Mountain region are less than half the national average.

Farm real estate growth trends also vary by region. Between 2018 and 2019, farm real estate values fell in the Corn Belt (down 1.9% to $6,100 per acre), Lake States (down 1.5% to $4,900 per acre) and the Southeast (down 0.8% to $4,090 per acre) in inflation-adjusted terms.

U.S. farmland value remained high in 2019, averaging $3,160 per acre (a modest increase of 0.2% over 2018). Farm income was forecast to increase nationwide in 2019 (see Farm Income and Wealth Statistics for details). This increase, combined with historically low interest rates, contributes to the ability of the farm sector to support higher farmland values. The figure below shows nominal and real (inflation-adjusted) national average farmland real estate values since 1969. While nominal farmland values have increased modestly since 2016, real farmland values have remained flat since 2014.

Regional Farmland Values

Regional farmland real estate values vary widely because of differences in general economic conditions, local farm economic conditions, government policy, and local geographic conditions that affect returns to farming. For example, in the Corn Belt, farm real estate values are nearly twice the national average, while farmland real estate values in the Mountain region are less than half the national average.

Farm real estate growth trends also vary by region. Between 2018 and 2019, farm real estate values fell in the Corn Belt (down 1.9% to $6,100 per acre), Lake States (down 1.5% to $4,900 per acre) and the Southeast (down 0.8% to $4,090 per acre) in inflation-adjusted terms.