No surge in land or equipment prices likely, experts say

WEST FARGO, N.D. — There’s only one direction for land prices, and that is up, predicted a panel of agricultural land and equipment sellers.
A panel comprised of Lindsey Brown, of Peoples Company; Devin Deile, of Ulmer Auctions; Dennis Biliske, of Resource Auction; Ryan Thompson, of Big Iron Auctions; and Don Aberle, Titan Machinery used equipment sales manager, discussed questions about land and used machinery sales in the Agweek 360 Building at the Big Iron Farm and Construction Show on Tuesday, Sept. 15.
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“I don’t think land prices will drop, especially with an increase in farm prices,” Brown said.
Land is a non-renewable resource, which makes it more precious than gold, Biliske said.
But the value of land is not always commensurate with the price it fetches.
“When good land is high, poor land is really, really high,” he said.
While purchases of land by outside investors has been as much as a 70% rate, compared to 30% farmer purchases in the 37 states where Peoples Company does business, the ratio is nearer to 50-50 “up here," Brown said.
But Aberle said the majority of his customers are more likely to sell their farmland to a neighbor than to an outside investor.
Biliske noted outside investors, such as Bill Gates, have purchased land in North Dakota, but that 80% of the sales are to farmers.
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“That neighbor farmer is going to be your best buyer," Biliske said.
A new twist in land sales is investors who buy land aligning with producers to farm the land, Thompson said.
Just as demand for land is constant, so is demand for farm equipment, the panelists said.
In Biliske's 42 years in the farm auction business, there has never been a time when there was not demand because farmers need to replace equipment.
However, there are times when farmers can’t afford to buy equipment.
“The ability to buy the equipment is the thing that affects the market,” not demand, Biliske said.
During a “buyer’s market,” equipment purchases are more of a need than a want,” Deile said.
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“I need to update," he said.
Essential pieces of equipment that farmers need to buy are planters, tractors and combines.
Combines rapidly increase in price, making them a good piece of equipment for resale, Biliske said.
“If there’s something that people should be paying attention to, it is combines. It will pay dividends for you — big, big dividends,” he said.
Equipment that has precision agriculture technology also adds value, Aberle said.
Precision agriculture also makes farmers’ land more valuable because they can use the technology to maximize production.
Neither land or machinery prices likely will see a surge in the next two years, the panelists predicted.
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Equipment prices will rise slowly in 2027 and be stronger in 2028, Aberle said.
Thompson expects equipment prices to be steady and slightly stronger in the near future.
Biliske doesn't expect there to be any big uptick or downturn in land prices.

* Lindsey Brown, Peoples Company, discussed land and used machinery sales.
* The discussion occurred at the Agweek 360 Building on Tuesday, September 15.
* Land prices are predicted to go up.
* Land is considered a non-renewable resource.
* The value of land is not always equal to its price.
* In North Dakota, outside investor land purchases were as much as 70% compared to 30% farmer purchases in the 37 states where Peoples Company operates.
* Majority customers for equipment sales are more likely to sell farmland to a neighbor than an outside investor.
* Bill Gates purchased land in North Dakota; 80% of such sales were to farmers.
* Demand for farm equipment is constant due to necessary replacements.
* The ability to buy equipment affects the market, not just demand.
* Combines are increasing in price and offer good resale value.
* Precision agriculture technology adds value to land by maximizing production.
* Equipment prices are predicted to rise slowly in 2027 and strengthen in 2028.
* Biliske does not expect significant upticks or downturns in land prices.

Panelists discussed land and equipment sales at the Agweek 360 Building on September 15. Land prices are predicted to continue rising, particularly with increased farm prices. One panelist noted that the value of land depends on its quality; poor land can be highly valued if good land is scarce. Outside investor purchases of land compared to farmer purchases varied, with one panelist stating the ratio was closer to 50-50 in the region. Farmers are more likely to sell land to neighbors than outside investors, although some outside investors, like Bill Gates, have purchased land in North Dakota. Demand for farm equipment is constant due to the need for replacements, but the ability of farmers to afford equipment affects the market. Combines are noted as an item that will pay dividends due to rising prices and increased resale value. The panelists generally predicted no major surge or downturn in land or machinery prices over the next two years, though equipment prices are expected to rise slowly in 2027 and strengthen in 2028.

The narrative frames land as an inherently precious, non-renewable asset, suggesting value is tied to scarcity, a perspective that mirrors gold. The discussion shifts the focus from simple price increases to the complex interplay between land quality and market access—specifically highlighting that the perceived worth of poor land can be artificially inflated when prime assets are highly valued. The tension arises between the abstract concept of demand (which is constant for equipment) and the concrete constraint of affordability (the ability to purchase equipment). This suggests a structural friction point where supply dynamics meet financial capacity, which is more powerful than pure market sentiment. Furthermore, the emphasis on combines as dividend-bearing assets reflects how specific innovations can create wealth, implying that value creation often resides in the technology enabling production rather than just the raw physical asset. The expectation of slow future price changes, despite underlying trends, hints at a resistance to sudden shifts, which is typical when large physical assets are involved. This suggests an underlying pattern where volatility is suppressed by entrenched practical realities (like equipment replacement cycles) and established social behavior (selling to neighbors), meaning perceived market movement may mask deeper, slower structural adjustments in agricultural economics.

No surge in land or equipment prices likely, experts say

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No surge in land or equipment prices likely, experts say

Facts Only

Executive Summary

Full Take