US Farm Real Estate Value Sees 7% Surge in 2023, says USDA Report

The U.S. Department of Agriculture (USDA) reports that farm real estate value in the country has seen a 7.4% surge in 2023, rising to an average of over $4,000 per acre. The recent increase in farm real estate – encompassing all land and buildings on farms – is highlighted in the USDA’s latest Land Values Survey released on Friday.

The report shows that farm real estate averaged at $4,080 per acre in 2023, up from $3,800 per acre the previous year. More specifically, the value of cropland has seen an 8.1% increase, while the average value of pastureland has grown by 6.7%.

There are regional variations in this trend. The Northeast region, encompassing states like Connecticut, New York, and Massachusetts, saw a 3.9% year-on-year improvement, reaching $6,740 per acre. The Lake States, including Michigan, Minnesota, and Wisconsin, experienced a significant jump of 8.2% from 2022, reaching $6,450 per acre.

In the Corn Belt region, comprising Illinois, Indiana, Iowa, Missouri, and Ohio, the farm real estate average value increased by 7.1% to $8,100 per acre. The Northern Plains region, which includes Kansas, Nebraska, North Dakota, and South Dakota, observed a notable 13.7% year-on-year increase, with the 2023 average value being $3,160 an acre.

The Southeast and Delta regions saw increases of 5.7% and 1.8% respectively. In the Mountain region, the farm real estate average value improved by 4.3% to $1,450 per acre, while the Pacific region recorded a 3.3% increase, hitting $7,270 an acre.

These figures indicate a robust growth in farm real estate value across the U.S., despite varying levels of increase from region to region.