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Nebraska ag land values decline

By John Nixon

07/21/2025

Planting Corn

(KLZA)--The University of Nebraska-Lincoln's annual Farm Real Estate Market Survey indicates the states average agricultural land value declined in 2025 for the first time in six years, falling 2% to $3,935 an acre.

The decline comes as Nebraska crop producers face growing financial pressures. Following years of rising farm income, the land market is beginning to reflect recent realities like lower crop revenues, elevated production costs and higher interest rates, according to Jim Jansen, an agricultural economist with Nebraska Extension who coordinates the annual report.

Cash rental rates for cropland trended lower across the state, down between 1% and 7% compared to last year. The productivity of rented cropland — including the type of soil, expected rainfall and local market — contributed to regional cash rental rates, according to survey panel members.

Pasture rental rates declined 1% in the central region but saw modest gains across the rest of the state, increasing between 1% and 5% over the prior year.

The financial pressures for many landowners and tenants from rising crop input expenses, combined with higher borrowing costs, are putting increased emphasis on risk management and lease flexibility.

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