Farm Credit Canada

Farmland Values Report: Fall 2012

J.P. Gervais explains the changes in price of farmland across Canada. Low interest rates and strong crop receipts have been the two driving factors behind the recent increases in value of farmland. This can be challenging for farmers looking to expand, but it can also improve equity, depending on how much land a producer owns.

Key Points

• Farmland value has increased in most provinces in 2012.
• Ontario farmland value increased the most at 16.3 per cent.
• The future of farmland value is based on future earnings.
• The rate of the increase will likely slow in 2013.
• Low financing costs have allowed farmers to take a more aggressive approach to expansions.
• Consolidation of farms is a growing trend.

Learn More

• Read the complete Fall 2012 FCC Farmland Values Report..

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