KANSAS CITY, MO (RFD NEWS) — Farmland values across the Midwest and Plains held steady in 2025 even as farm income, credit conditions, and repayment trends softened through the year, according to Federal Reserve agricultural credit surveys.
Francisco Scott and Ty Kreitman report cropland values were unchanged or slightly higher across participating Federal Reserve Districts, supported by resilient land demand and ad hoc government assistance despite tightening farm finances. Financial stress remained limited overall through late 2025.
Farm-Level Takeaway: Strong land values continue masking tighter farm finances.
Tony St. James, RFD NEWS Markets Specialist
Farm income weakened gradually in the fourth quarter, though declines slowed in some regions. Credit conditions also softened but at a slower pace, with fewer lenders reporting year-over-year deterioration in repayment rates across several Districts. Farm loan interest rates declined modestly from 2023 peaks to about 7.5 percent on average — still above long-term norms.
Regional farmland trends varied. Nonirrigated cropland values rose by more than 5 percent in northern Indiana, Kansas, and Texas but fell by about 4 percent in South Dakota, highlighting localized supply, income, and weather dynamics.
Heavier weights and strong late-year slaughter supported December production, but lower annual totals highlight ongoing supply tightness heading into 2026.
January 26, 2026 11:19 AM
·
Strong production and rising stocks may pressure ethanol margins unless demand or exports continue to improve.
January 26, 2026 10:00 AM
·
Placements and marketings beat expectations, but declining on-feed totals and feeder constraints keep the supply story supportive for cattle prices into 2026. Dr. Derrell Peel, with Oklahoma State University, joined us to break down cattle-on-feed numbers and provide his broader market outlook.
January 23, 2026 04:40 PM
·
USDA Rural Development Director for Kentucky, Travis Burton, joined us to discuss the Princeton facility (formerly Porter Road Meats), now backed by the USDA, and its role in expanding domestic meat processing capacity.
January 23, 2026 03:39 PM
·
Rural population growth and stabilizing economic indicators point to post-pandemic recovery, but uneven income, shifting industries, and regional divides remain key challenges for rural communities.
January 23, 2026 08:00 AM
·
Large-scale land purchases signal rising competition for ranchland, reinforcing its value while reshaping long-term access and control in rural agriculture.
January 23, 2026 07:00 AM
·
