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.
Ethanol output softened, but underlying supply-and-demand trends indicate stable longer-term use despite short-term volatility in blending and exports.
December 12, 2025 11:47 AM
·
Strong Farm Credit finances help cushion producers, but prolonged low crop margins could strain renewals in 2026.
December 12, 2025 11:42 AM
·
USDA data confirms that U.S. agriculture remains overwhelmingly family-run despite structural shifts in scale and production, according to a new analystis by Farm Flavor.
December 11, 2025 06:00 PM
·
The specific provision in the CO₂ storage law allowed the North Dakota Industrial Commission (NDIC) to authorize carbon storage projects to proceed even if they lacked unanimous consent from all affected landowners.
December 11, 2025 04:15 PM
·
Stronger sorghum genetics could enhance the resilience of bioenergy crops and broaden production options for growers in harsher climates.
December 11, 2025 03:38 PM
·
American Farm Bureau Federation (AFBF) economist Danny Munch joined us on Thursday’s Market Day Report to break down the scope of the U.S. Christmas Tree industry and what growers are up against.
December 11, 2025 01:53 PM
·
