By Jamie Martin
A recent survey by the U.S. Department of Agriculture highlights the growing role of rented farmland in American agriculture. The Tenure, Ownership, and Transition of Agricultural Land survey provides new insights into farmland ownership, rental activity, and future land transfers.
According to the survey, more than two million landowners rent out farmland across the country. In total, about 348 million acres of agricultural land are currently rented to farmers and ranchers for production activities.
One of the key findings shows that most rented farmland is owned by people who do not actively farm. About 79% of rented farmland is controlled by non-operating landlords. These landowners include individuals, family partnerships, trusts, and other entities that lease land to producers.
Among this group, private landowners, trusts, and family entities account for more than 251 million acres of rented farmland. This arrangement allows farmers to operate land without owning it while giving landowners an opportunity to earn income.
The survey also shows the financial importance of farmland rentals. In 2024, rented farmland and the structures located on these properties were valued at more than $1.6 trillion. Landowners received approximately $34.1 billion in rental income during the year while reporting around $12 billion in operating costs.
“About 5% of the nearly 900 million U.S. farmland acres, or about 43 million acres, is slated for ownership transfer in the next five years, not including farmland that is in or is expected to be put into wills or trusts,” said Joseph L. Parsons, NASS Administrator.
Another important finding relates to future land ownership changes. About 43 million acres of farmland may transfer to new owners during the next five years. This represents roughly 5% of total farmland in the United States.
However, only part of this land will likely be available for open market purchases. Approximately 23 million acres are expected to be sold to non-relatives, while about 20 million acres could be transferred to family members or given as gifts.
The survey also reveals demographic trends among farmland owners. The average age of principal landlords is about 69 years, while the average farmer age is around 58 years. In addition, more than half of the landlords have never farmed themselves.
Officials say the survey provides valuable information that helps policymakers, researchers, and agricultural leaders better understand farmland ownership trends and plans for the future of agriculture.
Photo Credit: istock-alenamozhjer
Categories: National