Tennessee Farm Values Are Surging Faster Than Any Other State

Farmland values continue to rise, with agricultural real estate values surging nearly 6% in one state last year, according to a new report from the U.S. Department of Agriculture.Across the country, median farmland prices hit $6,020 per acre this year, a 3.4% increase from 2025, according to the July 2026 Land Values report. Every state surveyed saw an increase in farmland value, but Tennessee saw the largest percentage increase over the past year. Farmland rose from $6,150 per acre in 2025 to $6,500 in 2026—a 5.7% increase overall.That follows a similar increase in the state between 2024 and 2025, when the value of Tennessee farmland rose a healthy 7.7%.Farmland is priced higher per acre in other states—including Rhode Island, which had the highest average price per acre at $23,600, and Iowa, where the average price for an acre was $10,100. But Tennessee saw the greatest year-over-year price increases.The report assesses a variety of agricultural land types, including farm real estate value, which is the value at which all land and buildings used for agricultural production could be sold under current market conditions.It also breaks down the value of land used for pastures or gra...