Northeast and Mid-Atlantic regions were not included in the report

OMAHA, Neb. — The U.S. agricultural land market is shifting after years of steady growth. Although land values are still high historically, current signs indicate a more complex situation driven by local and regional factors rather than nationwide trends.

That’s the conclusion of Colton Lacina, senior vice president of real estate operations at Farmers National Company. “This isn’t a sign of collapse but a recalibration that reflects current commodity prices, input costs and regional production conditions.”

Farmland demand now varies widely by location. Areas with high crop yields, diversified farms, and dependable groundwater continue to attract buyers and maintain steady values. Regions facing commodity price pressure, lower yields, or limited alternative income sources are seeing lower demand.

“Farmland values are increasingly determined locally, sometimes down to the township,” Lacina said. “Buyers are carefully assessing soil quality, the percentage of tillable acres, water access, and how a parcel fits into their current operations. Those details matter more than ever.”

Despite mixed signals, market conditions remain favorable for many sellers. Farmland remains a resilient, long-term asset, and well-priced properties are attracting strong interest.

Farmers National Company anticipates stable U.S. farmland values overall, with ongoing divergence driven by local conditions.

Regional land values report:

• Land markets in Kansas, Missouri, and south-central Nebraska continue to show resilience, supported by strong agricultural communities and a solid base of productive farmland.
• Land values across Indiana, Ohio, Michigan and Kentucky have shown “remarkable resilience and strength” in the latter part of 2025. A strong mix of investor buyers and active farmers has driven competition and kept sale prices for high-quality farmland at record levels.
• Land values in Illinois and Wisconsin remain generally stable, with some softening in late 2025, and recent sales have sent mixed signals across the marketplace. Brokers are noting lower sale prices on high-quality tracts where strong competition previously seemed automatic. The market has also seen multiple auctions end in no-sale or be sold afterward, indicating that farmer buyers — traditionally the main force behind Midwest bidding — are showing noticeably more caution than in previous years.

Farm Credit Services reported the first decline in Illinois farmland values since 2018, with a 4.41% drop. This was determined through a study of 22 benchmark farms monitored across central and southern Illinois.

• Land values in the Dakotas and western Minnesota remain strong but auction results have varied. Strong results in less active areas; softer results in high-activity areas. 
• Land values in western and central Nebraska, northwestern Kansas and northeastern Colorado continue to show mixed results. Auction outcomes have been inconsistent across the region, with some properties drawing strong buyer interest while others struggle to gain momentum. Local economic strength is the main reason.
• Land values in eastern Nebraska and western Iowa are being supported by tax-deferred exchange (1031) funds and those viewing land as a long-term investment. These buyers have helped stabilize farmland prices for high-quality tracts or those with development potential. Conversely, properties with lower production capabilities are feeling the impact of depressed commodity prices over the past few years.
• Land values in Texas, Oklahoma and Arkansas remain strong but is “clearly divided,” according to Philip Leabo, area sales manager for Farmers National Company. Land values for farms with marginal soils, questionable water supplies, and larger non-tillable areas are also seeing weaker demand. Overall, the southeastern land market remains resilient. Landowners remain optimistic about future demand trends and potential upside.”
• In Iowa and western Minnesota, headlines highlighted the $32,000-per-acre sale in northwestern Iowa, while little attention was given to the numerous no-sales and expired listings. Meanwhile, sustained low commodity prices have drained working capital for another year, heightening pressure on profitability and income expectations.

 Employee-owned Farmers National Company is the nation’s leading landowner services provider managing nearly 5000 farms and ranches in 30 states comprising more than 2 million acres.