After several years of lower commodity prices and higher input costs, it’s been fair to wonder if, or when, those pressures would catch up to farmland values.

To learn about the state of the farmland market in 2026, we recently reached out to Dale Weston of Farmers National Company, Kevin Pifer of Pifer’s Auctions & Realty, and Lindsey Brown of Peoples Company, to learn what they’re seeing on the ground, and where they think things could go from here.

After the first few months of 2026, how would you characterize the farmland market?

DW: The farmland market appears to be surprisingly resilient to the lower commodity prices we have seen the past 2-3 years. There is a "feel" that everything is softening, but then you see a sale that is at near-record levels, so it appears there is still a desire for purchasing land. It appears that the market is variable in different areas. I think we have seen less demand in the Prairie Pothole Region, especially on parcels with blemishes such as potholes, saline soils or irregular field boundaries.

KP: Late 2025 and early 2026 land auctions at Pifer's have approached near all-time highs in nearly every market. The trend and prospect of lower interest rates, continued federal crop insurance, and robust cattle prices continue to move the needle upward.

Is the amount of land coming to market higher or lower than in the past few years?

LB: From our perspective as of the beginning of 2026, there does not appear to be as much farmland inventory on the public market as what we have seen in the past 2 or 3 years. Farmland owners are waiting to see if there's a change in both commodity prices and tariffs, which may spark some optimism in the ag sector that would relate to improved prices on farmland sales.

DW: The amount of land coming to the market is consistent with what we’ve seen over the past 2-3 years. We saw large amounts of land being sold in 2021 and 2022, when land prices soared along with commodity prices. 2023 through 2025 has been consistent with the amount of land we are seeing brought to the market.

I believe the land market follows commodity prices. As commodity prices and incomes increase, we typically see more land brought to the market.

Who’s selling, and why?

DW: Most of the sellers we deal with are next-generation people, who have inherited land from their parents and often own the land with other siblings and look at selling instead of owning jointly with other people. This eases their minds for estate planning purposes, instead of having the next generation deal with even more undivided interest owners.

LB: Estates and third and fourth generations that have inherited the land who are not going to farm the land and have no sentimental attachment. Some farmer-operators who may need to pay down carryover debt.

Who’s buying, and why?

KP: Farmers and ranchers represent 75-80 percent of all buyers at Pifer's auctions. Investors are showing more interest in recent years with the prospect of lower interest rates.

LB: Investors who are looking for a hedge against inflation and the stable annual cashflow and appreciation that farmland provides. We are also seeing farmer-operators with enough liquidity or borrowing capacity that are wanting to expand or maintain their operation's footprint.

DW: For us, it is still a good mixture of active farmers and investor-buyers. When I say investor-buyer, I mean people who most likely grew up in the area where the land is being sold. They moved away, had success in a different occupation and have a desire to own farmland in their portfolio. Maybe it is a sentimental purchase. Sometimes they have a sibling or relative that can be the farmer on the land and it makes them feel good to own an asset back home.

Is this a good time to buy land?

DW: It really varies from buyer to buyer. Circumstances and opportunities are typically different for everyone. Being in the ag land services industry for over 30 years, I am always optimistic about the opportunity to purchase land. It is an asset that can bring additional income for a farm operation for many years. I think sometimes we look at buying and selling land in too short of a time period and have to realize that ownership on land is typically for decades.

LB: Yes, this is a good time to buy farmland. There has been a dip in prices, but there are still opportunities available to buy quality land. Strong land prices bring quality farmland to the market, which may not have been on the market when prices were lower.

Is this a good time to sell land?

KP: From a pure investment and return perspective, it is a good time to consider selling land, particularly with alternative investments experiencing strong returns along with favorable tax advantages for sellers.

LB: Yes, because there is not a lot of land inventory on the market in certain areas. If the amount of farmland on the public market rises, the land prices may decrease due to the supply.

What factors will contribute to a decline in values?

LB: If low/lower commodity prices continue and there are farms that need to restructure or pay down debt to make the operation cashflow, the increased supply of farmland on the market may decrease the farmland values.

KP: If there are strong 2026 yields in major commodities, and if trade policies cause downward commodity pricing, it may negatively affect land values in the short term.

DW: Lower commodity prices and higher input costs are going to put pressure on active producers’ interest in purchasing land. If we see a decline in active bidders, then typically we see a decline in values. However, this can really change from different geographical areas.

There’s a ton of money on the sidelines looking for good investment opportunities, such as private equity or family offices. Are these interests starting to look at farmland as a good investment?

LB: Yes, those types of investors are starting to realize that farmland provides a number of benefits they like in their investments. 1) Farmland is a long-term hold. They are not looking to flip real estate. 2) They like farmland as a hedge against inflation. 3) They like the stable return and annual appreciation farmland provides. 4) They like the potential for tax benefits (depreciation on improvements such as drain tile or pivots). The number and type of investors interested in farmland is growing.

KP: The investor-buyer is certainly a strong player in the farmland market and has incredible wealth that likely will continue to shift into the market, but at a modest pace.

Is the strong livestock market affecting land prices?

KP: Yes, cattle prices have driven pastureland upward to levels never seen before anywhere in this country. This is likely to continue well into 2028.

LB: In the areas where livestock and ranching are prevalent, the values of pastureland and cropland have increased and remained strong. The strong livestock prices are allowing those operations to rebuild liquidity and prepare for future changes in the livestock market, if there is a slowdown.

Dale Weston is a farmland appraiser and real estate broker for Farmers National Company. Dale has been in the agricultural land services industry for 32 years, starting as a farm manager for First National Bank North Dakota in 1994.

Kevin Pifer is the founder and co-CEO of Pifer’s Auction & Realty and Pifer’s Land Management. Kevin is a former North Dakota deputy commissioner of agriculture, and also served as deputy director of intergovernmental affairs at the U.S. Department of Agriculture in Washington, D.C.

Lindsey Brown is a land agent with Peoples Company, bringing more than 15 years of real estate experience to his clients. Since joining the firm in 2020, he has focused on land transactions involving cropland, pastureland, and recreational property.

This article appeared in the Q1 2026 issue of our AgViews newsletter.