Sell Farmland: 2026 Values, Tenant Leases, and Options

To sell farmland, start with what it's worth: USDA puts the 2026 U.S. average at $6,020 an acre for cropland and $2,000 for pasture, with wide swings by state. Then check whether a tenant's lease will carry over to the buyer, because in many states farm leases renew automatically unless notice is given by a set date. Finally, pick how to sell: at auction, through a farm land broker, or directly to a cash buyer. Each trades price against time, cost and certainty differently, and the lease timing often decides which one works.

What is my farmland worth per acre in 2026?

USDA's National Agricultural Statistics Service released its 2026 land values on July 31, 2026. Nationally, farm real estate (land plus buildings) averaged $4,500 an acre, up 3.4 percent from 2025. Cropland averaged $6,020 an acre and pasture $2,000 (USDA NASS Land Values 2026 Summary).

State averages vary by more than 10 times. A few examples from the same report:

Your farm can be well above or below your state average. Soil productivity, drainage and tile, irrigation, road access, field size and shape, and distance to town all move the price. For a quick range on your acres, use our Land Value Estimator, which covers all 48 states USDA reports.

Who is selling farmland right now?

More owners than most people realize, and many of them don't farm. USDA's 2024 Tenure, Ownership, and Transition of Agricultural Land survey found that the average principal landlord is 69.2 years old, over 35 percent of principal landlords are 75 or older, and "over half (52%) have never farmed" (USDA NASS TOTAL briefing, March 2026).

The same survey expects 43 million acres, about 5 percent of all U.S. farmland, to change hands in the next five years, with 23 million of those acres sold to someone outside the family. Another 227 million acres are expected to pass through a will or trust.

If you inherited farmland, live far from it, or rent it to a tenant you've never met, you're in very good company. Those owners usually want a sale that doesn't require them to manage the farm from a distance.

Does a tenant lease stop me from selling farmland?

No, but it can control when the buyer gets the land, and buyers price that in. This is the step most farmland sellers miss.

In many states, a farm lease, including a handshake lease, renews automatically for another year unless someone gives written notice by a deadline. If you miss the deadline, the tenant may have the right to farm the next season, and your buyer takes the land with the lease.

Two examples:

• Iowa. Iowa State University Extension explains that Iowa farm tenancies "automatically renew for another year... unless either party provides written termination notice... on or before September 1." If you mail the notice, it has to go by certified mail. Regular mail doesn't count, "even if the other party admits that they received and read the notice" (Iowa State University Extension).
• Illinois. The University of Illinois farmdoc team notes that termination notice must be "given in writing not less than 4 months prior to the end of the year of letting." For a lease ending the last day of February, that means notice "on or before the last day of October" (farmdoc, University of Illinois).

Rules differ by state and change over time, so confirm yours with a local attorney or your state's extension service before you list. If you're thinking about selling next year, send notice this year. You can always offer the tenant a new lease, and the tenant may also be your best buyer.

Also settle the current crop year in the contract: who gets this year's rent or crop, and who pays this year's property taxes. Proration of rent and taxes at closing is normal, but it has to be written down.

Should I sell farmland at auction, through a broker, or for cash?

Auctions work best when several neighbors or investors want the same ground. A broker suits sellers who want time and full exposure. A direct cash sale fits owners who want it done, have land with problems (no access, back taxes, run-down buildings, heirs to coordinate), or simply don't want to manage a sale from another state.

What about farm programs on the land?

If any acres are enrolled in a USDA program, such as a Conservation Reserve Program (CRP) contract, check how a sale affects it before you sign. Program contracts have their own rules on transfer to a new owner and on ending early. Your county Farm Service Agency office can tell you what applies to your farm and what the buyer will need to do.

Do I pay taxes when I sell farmland?

Usually, if you sell for more than your cost basis. The IRS treats a gain on property held more than one year as a long-term capital gain (IRS Topic 409). Inherited farmland usually gets a new basis, which can shrink the taxable gain a lot.

If you plan to buy other real estate, a 1031 exchange can defer the tax. The IRS is clear that a 1031 exchange is "tax-deferred, but it is not tax-free." You have 45 days after the sale to identify replacement property and must finish the exchange "no later than 180 days after the sale." Don't take the sale money yourself first, because that "may disqualify the entire transaction" (IRS Fact Sheet 2008-18). Line up a qualified intermediary and a tax professional before closing, not after.

Selling farmland to All Land Buyers

All Land Buyers buys farmland, pasture, timber and mixed farms for cash, anywhere in the United States, including farms with a house, barns and outbuildings, and farms with a tenant in place.

1. Tell us about the farm on our property form: location, acres, the lease, utilities, taxes and your timeline.
2. We research it: parcel records, access, comparable sales and current USDA values for your state.
3. You get a written cash offer in 24 to 48 hours. No pressure, no obligation.
4. We close at a licensed title company on the date you pick. We pay the closing costs, and there are no commissions or fees.

Get a cash offer for your farmland. Or read our broader guide on how to sell land.

Common questions about selling farmland

How long does it take to sell farmland?

An auction sets the date in advance. A broker listing depends on your local market and season, and many buyers want the land after harvest. A direct cash sale is the quickest path: a written offer within days and a closing date you choose, limited mainly by the title company's work.

Can I sell farmland without a realtor?

Yes. You can sell to a neighbor or your tenant, hold your own auction with an auction company, or sell directly to a cash buyer. Use a written purchase agreement and a title company or real estate attorney to close, and settle the lease and crop year in writing.

Can I sell farmland that has a tenant on it?

Yes. The buyer generally takes the land subject to the lease. If the buyer wants possession, check your state's lease termination deadline and give written notice in time. Many states renew farm leases automatically if notice is missed.

How is farmland valued?

Mostly by comparable sales of similar farms nearby, adjusted for soil productivity, drainage, irrigation, access, field shape and buildings. USDA's state averages are a starting point for a rough range, not a price for a specific farm.