Farmland values and cash rent

Throughout the year, many individuals ask what the “going rate” is for farmland rental prices.

That is a difficult question to answer. The rate fluctuates and is highly dependent on the individual farm ground being discussed. That is why when asked, Purdue Extension provides a range of values based on the annual Purdue Farmland Value Survey and stresses the importance of not simply utilizing the values given. Instead, landlords and tenants are told the final rental amount will need to be adjusted based on numerous items including the size of the field, drainage, soil fertility, ease of access for farm equipment, and much more.   

The 2025 Purdue Farmland Value Survey found the average value of bare Indiana cropland increased. The average value of bare Indiana cropland ranged from $9,761 per acre for poor quality land (a 7.6% increase from 2024) to $14,826 per acre for top quality land (a 3% increase from 2024). The average corn yield for poor quality land was 170 bushels per acre and 230 bushels per acre for top quality land. 

The 2025 survey average for Indiana cash rent saw some changes. On average, cash rents ranged between $207 per acre for poor quality land and $318 per acre for top quality land. Cash rents increased by 1.53% for poor quality land and by 1.74% for top quality land since June of 2024. 
For individuals in our area, it is probably of more importance to look at the results for the West Central Region. The West Central Region (consisting of Benton, Carroll, Fountain, Montgomery, Parke, Putnam, Tippecanoe, Vermillion, Warren, and White Counties), had cropland values that ranged from $10,135 per acre for poor quality land and $14,388 per acre for top quality land. Cash rents for the West Central Region varied from $239 per acre for poor quality land to $358 per acre for top quality land (average quality land was $299 per acre). For the West Central Region, cash rents increased by 3.59% for poor quality land, by 5.04% for average quality land and 5.64% for top quality land since June of 2024. The average corn yield for poor quality land was 180 bushels per acre, 210 bushels per acre for average quality land, and 240 bushels per acre for top quality land in this region.

Producers may also want to look at values for the Southwest Region due to the similarities in topography and soil productivity. The Southwest Region (consisting of Clay, Daviess, Dubois, Gibson, Greene, Knox, Martin, Owen, Pike, Posey, Spencer, Sullivan, Vanderburgh, Vigo, and Warrick Counties), had cropland values that ranged from $7,288 per acre for poor quality land and $14,000 per acre for top quality land. Average cash rents for the Southwest Region varied from $173 per acre for poor quality land to $286 per acre for top quality land (average quality land was $229 per acre). For the Southwest Region, cash rent values decreased from 2024 to 2025. The average corn yield for poor quality land was 155 bushels per acre, 189 bushels per acre for average quality land, and 229 bushels per acre for top quality land in this region.

To obtain your own copy of the 2025 Purdue Farmland Value Survey Results, contact your local Extension Office or go to: <https://ag.purdue.edu/commercialag/home/wp-content/uploads/2025/08/PAER_202508-Farmland-Values.pdf>.

As a reminder, the values and information found within the survey should be adjusted for your individual situation when determining your rental agreement. 

For those interested in learning about farmland leases, especially flexible leases, please consider signing up for the Flexible Lease Workshop. This program will help you understand current farmland values and cash rents. We will present details and give examples from case farms to help you decide if a flexible lease is right for you and your farm. Additionally, we will share tools and resources that you can use to make your own decision.

This online program will be offered twice, so pick the time that works best for you.  The program will be held on September 16 from 7-9 pm or Sept. 23rd from 9-11 am. Cost is $25/household/farm.  We ask that you register by Sept. 12th at <https://cvent.me/xeaWL3>.

Visit our homepage at www.extension.purdue.edu/putnam or you can contact the local Purdue Extension Office by calling 765.653.8411 for more information regarding this week’s column topic or to RSVP for upcoming events. It is always best to call first to assure items are ready when you arrive and to RSVP for programs. While many publications are free, some do have a fee. Purdue University is an equal access/equal opportunity institution.

All times listed are Eastern Time.
Upcoming Events:            
Aug. 29 – My Record of Achievements due to Extension Office 
Aug. 29 – Junior Leader Manuals due to Extension Office 
Sept. 2 – A Matter of Balance, 5-7 pm (every Tuesday for 8 weeks, Putnam Co. Library, register at 812-448-9041
Sept. 16 – Flexible Lease Workshop, 7-9 pm, Virtual, $25/household, register at https://cvent.me/xeaWL3 
Sept. 20 – Field-Ready Meals to Farm Families, 10 am – 1 pm, $20, Register at https://bit.ly/Field-Ready
Sept. 23 – Flexible Lease Workshop, 9-11 am, Virtual, $25/household, register at https://cvent.me/xeaWL3