Survey Shows Steady Values and Modest Changes in Land Markets
Prices being paid for Illinois farmland appear to have reached a plateau, according to contributors to the 2026 Illinois Land Values and Lease Trends Report.
The report was released during the annual Land Values Conference hosted by the Illinois Society of Professional Farm Managers and Rural Appraisers (ISPFMRA) in March.
Survey respondents, researchers, and market experts noted that farmland prices have softened slightly following several strong years.
Survey responses “indicate that farmland prices have reached a plateau. About 61 percent of respondents expect farmland prices to decline in 2026. Still, most of the respondents expect farmland prices to increase in the next five years,” say Gary Schnitkey, Ph.D., of the University of Illinois, and Juo-Han Tsay, Ph.D., assistant director of the TIAA Center for Farmland Research.
They added, “According to the survey, 61 percent of the respondents expect farmland prices to decline in 2026. In total, 50 percent of the respondents expect farmland prices to decline between 0 and 5 percent, while 11 percent expect prices to decline between 5 and 10 percent. Of the remaining respondents, 25 percent expect farmland prices to remain the same while 14 percent expect an increase.”
These expectations align with 2025 land sale data. Excellent Quality farmland saw an average price drop of 3.17 percent to $15,846 per acre and a median decline of 3.18 percent to $15,984 per acre.
Average Quality land showed a slight 0.60 percent decrease to $9,933 per acre, while median prices fell 4.01 percent to $9,436. These figures mirror the overall cooling trend in the market.
Luke Worrell, AFM, ALC, general chairman of the Farmland Values Survey & Conference, noted ongoing uncertainty. He shared, “As you will read [in the Report] there was a lot of activity in Illinois agricultural in 2025… continued movement in a downward direction from the euphoric highs and crazy markets of 2021-2023… Markets shift on a dime these days for the Illinois farmer.”
Rent trends also remained steady. According to Schnitkey and Tsay, “Incomes were about the same for rented farmland in 2025 as in 2026. Cash rents increased slightly going into 2026 and are not expected to decline into 2027.” Excellent Quality farmland averaged $250 per acre under Traditional Crop Share, $300 per acre in cash rent, and $375 per acre under custom farming.
The report also highlights broader economic expectations:
- 81 percent expect the agricultural economy to contract modestly.
- 60 percent expect interest rates to decrease in 2026.
- 72 percent expect corn prices between $4.00 and $4.50 per bushel.
- 69 percent expect production costs to rise in 2026.
More than 60 percent of land purchases involved debt financing, covering about 54 percent of purchase prices.
Farmers made up 58 percent of buyers, followed by individual investors at 34 percent, and institutions at 8 percent.
The full 2026 Farmland Values and Lease Trends Report is available as a free downloadable PDF at www.ispfmra.org, with printed copies also available for purchase.
Photo Credit: istock-alenamozhjer