Farmland Remains a Good Investment Despite Interest, Inflation

Do landowners need to worry about how inflation or recession pressures might impact their farming operations? University of Illinois Professor Bruce Sherrick says no. According to Sherrick, farmland returns are positively correlated with inflation due to the size and debt of the industry. But other factors are propping up still-high farmland values, like a steady supply of land sales and good demand.

Does that mean farmland is a lesser-quality investment right now? Sherrick, who personally says he’d still make a purchase, says no; farmland continues to be a sound financial investment. And 2024 looks no different. Sherrick says a crash is unexpected, but land values overall could soften.

Read more on farmland and its investment value here.