Ranchland Values Surge While Crop Credit Pressure Persists in the Plains

Cattle markets continue supporting rural land values, but lenders say repayment rates and carryover debt are becoming a larger focus.

KANSAS CITY, MO (RFD NEWS) — Ranchland values climbed sharply in the Tenth Federal Reserve District as strong cattle prices continued to support parts of the farm economy.

The Kansas City Federal Reserve says ranchland values rose nearly 11 percent from a year ago, reaching new record highs in early 2026.

Cropland values also improved modestly after recent weakness. Non-irrigated cropland rose about 2.5 percent, while irrigated cropland increased about 4 percent and remained near historic highs.

The farm economy remains split.

The Kansas City Federal Reserve says cattle revenues, government payments, and strong land values are supporting balance sheets, while crop producers still face narrow margins, fertilizer uncertainty, and fuel cost concerns.

Credit conditions continue to show gradual stress. Loan demand increased steadily, repayment rates weakened modestly, and lenders reported that about 20 percent of borrowers had more carryover debt than last year.

Even so, loan denials remained low, and strong farmland values helped keep leverage steady.

Farm-Level Takeaway: Strong cattle markets are lifting ranchland values, but crop-sector margins and carryover debt still point to financial pressure.
Tony St. James, RFD News Markets Specialist
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Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

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