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Here’s Where You’ll Find The Best Farmland In The United States

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When it comes to agriculture, the United States is a vast and diverse landscape with a range of climates, soils, and topographies.

From the fertile valleys of California to the expansive plains of the Midwest, different regions offer unique advantages for farming.

In this article, we'll explore some of the best states and places for farmland in the United States, considering factors such as soil quality, climate, and economic viability.

Visual Map

This visual map from Reddit shows the best farmland areas in the United States.

Best Farmland US

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Farmland Investing 101

Farmland has provided investors with consistent returns for decades, but gaining exposure to this alternative asset has been a challenge in the past.

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AcreTrader Investment

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This is a sponsored promotion for the AcreTrader platform. Farmland Riches, LLC and it's members may have investments in companies represented on the AcreTrader platform. This informational post is by no means a promotion, solicitation, or recommendation of any specific investment.

1. California's Great Central Valley

California's Great Central Valley stands out as one of the most productive agricultural regions globally, boasting Class 1 soil – considered the best for farming.

The combination of alluvial soils and a Mediterranean climate makes California a powerhouse for agricultural production.

With 25% of the state's total land dedicated to farming, California leads the nation in the production of fruits, vegetables, nuts, dairy, and even cannabis.

However, the golden state's farmland comes at a premium, with an average cost of $15,410 per acre.

While this may seem steep, California's farms yield the highest average per-farm income in the country.

The state's agricultural prowess is further emphasized by its role in producing two-thirds of the nation's fruit and over a third of its cannabis.

2. Wyoming

Wyoming stands out with the largest average farm size in the U.S. and the lowest cost per acre, at just $850.

With minimal property taxes and no state income tax, Wyoming presents an appealing environment for high return on investment in the agricultural sector.

3. Montana

Montana emerges as an attractive option for farmland investors, offering a low cost per acre ($1,160) – less than half the national average.

With a focus on wheat and beef production, ranching thrives in this state, making it an excellent opportunity for those seeking affordable yet productive farmland.

4. Oklahoma

Oklahoma offers one of the lowest costs per acre, coupled with a robust agricultural infrastructure.

Although farm income is relatively lower, the potential for growth and affordability make it an enticing option for farmland investors.

5. Texas

Texas, with its vast expanse of 130.2 million acres dedicated to farming, is an affordable option for farmland.

The state's diverse agricultural output, including cotton and beef, coupled with generous property tax exemptions, makes it an appealing choice for investors.

6. South Dakota

South Dakota ranks in the top five for high farm income, making it an attractive prospect for investors.

With a cost per acre below the national average and a focus on large-scale farming, the Mount Rushmore state provides substantial value for farmland investments.

7. Kansas

Known as the country's leader in grain production, Kansas boasts well-developed rural infrastructure.

While the cost per acre is higher than states like Montana, the state's increasing farm income, particularly in cropland values, makes it a compelling choice for farmland investment.

8. North Dakota

North Dakota, known for its fertile Red River Valley region, offers some of the highest farm income in the nation.

With even lower farmland prices compared to South Dakota, it presents an excellent opportunity for those looking for high returns on investment.

9. Iowa

Iowa stands out as a leading producer of corn and soybeans, but the high cost per acre reflects the state's lucrative farming opportunities.

Sustainable practices and a strong farm workforce make Iowa an excellent choice for those with significant capital for farmland investment.

10. Kentucky

Kentucky offers farmland at a slightly above-average cost, but its focus on tobacco, soybeans, and livestock presents profitable opportunities.

The resilience of tobacco plants and the demand for tobacco products contribute to the state's attractiveness for agricultural investment.

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Each parcel is divided into shares, and investors can purchase shares to earn cash distributions as well as benefit from the land value appreciation.

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