Canadian Farmland Values Report 2024

Canadian farmland prices have been rising steadily for decades.

This trend continued in 2024. According to the FCC 2024 Farmland Values Report that analyzes land price trends on an annual basis, farmland values across Canada increased by an average of 9,3% in 2024, lower than the increase of 11,5% reported for 2023.

The highest increases were reported for Saskatchewan 13,1%, followed by British Columbia at 11,3% and New Brunswick at 9,0 %.

Source: Farmland Credit Canada (FCC)

Development of Farmland Prices in Ontario

Price increases for farmland in Ontario have slowed down to 3,1%, after stunning increases during the last 3 years of respectively 22,2%, 19,4% and 10,7%. In 2024, buyers’ valuations for farmland seemed to have approached their maximum, resulting in farmland value ranges tightening in some regions of the province.

Another way to look at the performance of farmland investments is to evaluate the value appreciation over a longer period. In fact, over the last 10 years, the appreciation of agricultural land showed an impressive annual average of 11%.

As far as organic farmland is concerned,  premiums are often paid up to 20%  over traditionally cultivated land.

Trends in Southwest Ontario

The real-estate appraisal consultancy Valco tracks also prices for agricultural land in Southwest Ontario.

Source: Valco Consultants

According to Valco’s statistics, the average price/acre for farmland has slightly decreased to $ 26,530, while FCC’s and FIAN’s internal observations of the market report average prices between $ 33,700 and $ 32,000.

The statistics by FCC provide the price ranges for the individual regions in Ontario.  The large price differences, such as an average $4,900 price/acre in Northern Ontario compared with an average price of $33,700 in South-West Ontario.  They can be explained mainly by the quality of the soil in the specific region and the distance to urban centers (and resulting transportation costs).

Source: Farmland Credit Canada (FCC)

Foreign Investments in Canadian Agricultural Land

Why Ontario, and why the South-West? Unlike other Canadian provinces, Ontario allows foreign investors to acquire agriculture and timberland.

As a fact, South-West Ontario is known across Canada for its fertile soils and is located close to important urban centers. That’s why FIAN recommends foreign investors often to acquire farmland in this region. Over the years, FIAN has established a solid network of farmers interested in leasing back land from international investors less interested in running the local operations.

Reports on Canadian and Ontario Farmland Values 2024, as well as the Historic Farmland Report – also published by FCC – covering the period of 1986 to 2024 can be found in our Resources Section.

If you are interested in acquiring agricultural and timberland, please contact us to obtain the comprehensive  “How-to” Guide on Foreign Investments in Canada.