What an Acre of Indiana Land Is Worth in 2026

One acre of land in Indiana can be worth a few thousand dollars—or well into five figures—depending on what that acre can produce, where it sits, and what you can do with it. Recent survey data shows Indiana values remain elevated compared to national benchmarks, but prices still vary sharply by land quality, region, and intended use.

Indiana land values in 2025: the clearest statewide benchmarks

The most widely cited baseline for Indiana farmland pricing comes from Purdue’s annual survey work. In 2025, per-acre values continued to reflect big spreads by soil quality and use case:

• Top-quality farmland averaged $14,826 per acre in 2025 (a 3.0% increase from June 2024), according to the Purdue University Farmland Value and Cash Rents Survey 2025.
• Average-quality farmland averaged $12,359 per acre in 2025 (up 5.4% year over year), per the Purdue University Farmland Value and Cash Rents Survey 2025.
• Poor-quality farmland averaged $9,819 per acre in 2025 (a 7.6% increase), per the Purdue University Farmland Value and Cash Rents Survey 2025.
• Statewide recreational land values rose 18.0% from 2024 to $9,542 per acre in 2025, according to the Purdue University Farmland Value and Cash Rents Survey 2025.

These numbers help you estimate what an acre may be worth, but they’re starting points—not appraisals. Local supply/demand, parcel characteristics, and buildability can push real-world pricing well above or below statewide averages.

How Indiana compares to national land values

Indiana farmland often prices above U.S. averages, so it helps to anchor expectations using national statistics:

• U.S. farm real estate value averaged $4,350 per acre in 2025, up 4.3% (or $180 per acre) from 2024, according to the USDA National Agricultural Statistics Service Land Values 2025 Summary.
• U.S. cropland value averaged $5,830 per acre in 2025, an increase of $260 per acre (or 4.7%), per the USDA National Agricultural Statistics Service Land Values 2025 Summary.
• U.S. pastureland value reached $1,920 per acre in 2025, a 5% increase over 2024, according to the USDA National Agricultural Statistics Service Land Values 2025 Summary via American Farm Bureau Federation.

In practice, this gap means an “average” Indiana acre—especially cropland—may command a premium relative to many regions nationally, while still varying widely inside the state.

What drives the value of one acre in Indiana?

When you’re pricing (or buying) rural vacant land, hobby-farm acreage, recreational parcels, or investment farmland, the same core value drivers show up repeatedly:

• Land grade/soil quality: Higher productivity soils generally support higher yields, stronger rents, and higher resale value.
• Location: Proximity to strong local markets, services, and desirable school districts can raise per-acre pricing.
• Accessibility and frontage: Road access, highway proximity, and ease of entry matter for farming, homebuilding, and future subdivision potential.
• Development readiness: Electric, water, sewer/septic feasibility, and broadband availability can materially change “what an acre is worth.”
• Drainage and flood risk: Tile, ditches, and verified drainage performance protect usability and limit costly surprises.
• Parcel shape and usability: Square, efficient layouts typically outperform awkward tracts with unusable corners or easement constraints.
• Mineral and timber rights: Whether rights convey can affect both current income potential and buyer demand.
• Improvements: Clearing, fencing, lane installation, soil amendments, and maintained waterways can all add value.

If you’re selling or exploring a fast-close option for smaller acreage, understanding these levers helps you set a realistic price floor and ceiling before you compare offers for land parcels in Indiana.

Regional price differences: North vs. South (and Northeast vs. Southwest)

Indiana’s land market behaves more like several regional markets than one statewide market. Soil productivity, urban influence, and competing uses create meaningful spreads.

Northeast Indiana premiums

In 2025, top-quality farmland in Indiana’s Northeast region reached nearly $16,000 per acre, according to the Purdue University Farmland Value and Cash Rents Survey 2025. That figure aligns with the region’s reputation for strong soils and consistent demand.

Southwest Indiana softening

Not every region moved up. In 2025, farmland prices in Indiana’s Southwest region declined by 4.6% to 11.3% depending on quality grade, per the Purdue University Farmland Value and Cash Rents Survey 2025. That matters for buyers looking for relative value—and for sellers who need hyper-local comps instead of statewide averages.

Income potential matters too: cash rent as a reality check

For investment-minded buyers, land value and income potential go hand in hand. Cash rent trends can help validate whether pricing is supported by farm economics.

In 2025, the statewide average cash rent for poor-quality farmland in Indiana increased 1.53% to $207 per acre, according to the Purdue University Farmland Value and Cash Rents Survey 2025. Even if you aren’t buying strictly for rental income, this type of metric helps you compare “price paid” versus “earning power.”

Recreational land and “one-acre” lifestyle demand

Recreational and hybrid-use land has become a bigger part of the conversation as buyers look for hunting ground, weekend retreats, and rural homesites with privacy. That demand shows up clearly in the statewide data: recreational land values increased 18.0% from 2024 to $9,542 per acre in 2025, per the Purdue University Farmland Value and Cash Rents Survey 2025.

Water frontage, trail access, timber quality, and nearby public land can all push recreational acres above the statewide recreational average—while landlocked or hard-to-access parcels may lag.

County-level opportunities: why local comps still win

County pricing can differ dramatically—even between neighboring counties—based on soil maps, zoning, parcel scarcity, and proximity to job centers. If you’re comparing markets or planning an exit strategy, review recent sales and local trend data alongside statewide reporting. For a broader view of market drivers and valuation patterns, see recent land valuations.

Key takeaways for Indiana land buyers

• Indiana per-acre values vary most by land quality, location, and intended use (farm, build, recreation, or investment).
• Statewide 2025 benchmarks show top-quality farmland at $14,826/acre, average-quality at $12,359/acre, and poor-quality at $9,819/acre per the Purdue University Farmland Value and Cash Rents Survey 2025.
• Regional differences are real: the Northeast reached nearly $16,000/acre for top-quality land, while the Southwest saw declines of 4.6% to 11.3% depending on grade, per the Purdue University Farmland Value and Cash Rents Survey 2025.
• Recreational land is not a side note—values jumped to $9,542/acre in 2025 (up 18.0%), according to the Purdue University Farmland Value and Cash Rents Survey 2025.
• National context helps: U.S. farm real estate averaged $4,350/acre, U.S. cropland $5,830/acre, and U.S. pastureland $1,920/acre in 2025, per the USDA National Agricultural Statistics Service Land Values 2025 Summary and the USDA National Agricultural Statistics Service Land Values 2025 Summary via American Farm Bureau Federation.

Frequently Asked Questions (FAQs)

What is the minimum size for a farm property purchase in Indiana?

Many farm purchases start around 20 acres, but minimums vary by county zoning and by your intended use. Some agricultural programs and exemptions may use 10-acre thresholds. Confirm rules with the county planning office.

What utility access should I verify is available onsite when assessing land?

Verify potable water (well or rural water), electric availability and cost to extend service, broadband options, and sewer/septic feasibility. If you plan livestock or irrigation, confirm adequate flow and permitted use.

What factors can pull a parcel’s value below area averages?

Chronic drainage issues, documented flooding, no legal access, difficult parcel geometry, environmental contamination, or excessive clearing needs commonly reduce value and shrink the buyer pool.

What transaction costs should I budget for an Indiana land purchase?

Plan for closing and due diligence costs such as title work, recording fees, surveys, inspections, and attorney fees. Total costs often scale with complexity and purchase price.

Can I finance vacant land purchases as a non-Indiana resident?

Yes. Many lenders finance raw land for out-of-state buyers, but down payments and underwriting standards are typically stricter than for primary residences.

What disease or pest risks should I evaluate on prospective rural land buys?

Watch for oak wilt, emerald ash borer damage, invasive plants (including poison ivy and multiflora rose), and other regional threats. A site walk and a consult with local extension resources can prevent expensive surprises.