By Farm Credit Canada
To The Haldimand Press
Canadian cultivated farmland values rose by an average of 6% in the first half of 2025, according to the mid-year farmland values review by Farm Credit Canada (FCC).
This marks a modest acceleration compared to the first half of 2024, which saw a 5.5% increase. Over the 12 months from July 2024 to June 2025, there was a 10.4% increase, representing a slight increase compared to the previous 12-month period (January to December 2024) with a 9.3% increase.
This growth reflects a complex mix of market forces and regional dynamics, with some provinces surging ahead while others remain flat.
Manitoba led the country with an 11.2% increase, followed by New Brunswick (9.4%) and Alberta (6.6%). Saskatchewan matched the national average at 6%, while Quebec (2.6%), Prince Edward Island (2.3%), and Nova Scotia (1%) posted modest gains.
Ontario and British Columbia recorded no change, highlighting the uneven nature of the market.
“Demand for farmland remained strong in the first half of the year regardless of lower commodity prices,” said JP Gervais, FCC’s Chief Economist. “Buyers continued to invest, driven by long-term confidence in the agriculture sector and the limited supply of available land. While growth is uneven across provinces, the overall trend points to promising growth opportunities in agriculture.”
Despite notable gains in certain regions, over the past six months the overall range of sale prices per acre has increased only modestly.
Provinces that experienced strong growth in recent years are now seeing a softening in farmland prices, while regions with previously more modest increases continue to see solid gains. Overall, the market appears to be stabilizing.
Gervais noted that farm cash receipts fell 1.6% in 2024, mainly due to a drop in grain and oilseed revenue, while livestock receipts rose.
In early 2025, grain and oilseed receipts increased slightly, though results vary by crop and region. Looking forward, receipts for grains and oilseeds are expected to decline overall in 2025 by 6%.
Easing interest rates and healthy farm balance sheets should provide underlying support to farmland values. Yet the farm economy may reflect a more cautious environment in the second half of 2025 and into 2026 when it comes to the demand for farmland.
“The interplay between interest rates, farm revenues and expenses, and constrained land availability will continue to shape the trajectory of farmland values,” Gervais added.
About FCC
FCC provides flexible financing and capital solutions, while creating value through data, knowledge, relationships, and expertise. As a commercial Crown corporation, FCC is a stable partner that reinvests profits back into the industry and communities it serves.
For more information, visit fcc.ca.
