Is North Dakota Land Still a Smart Investment in 2026?

North Dakota’s wide-open prairies aren’t just scenic—they’ve become a serious conversation in land investing. With agriculture, energy, and long-term land appreciation all in play, the real question is whether North Dakota land fits your goals, timeline, and risk tolerance.

The Current North Dakota Land Market: What the Data Says (2022–2025)

Recent pricing momentum is hard to ignore. North Dakota cropland values rose from $2,519 per acre in 2022 to $3,534 per acre in 2025, a nearly 40% increase over four years, according to North Dakota State University Extension. In 2025 alone, cropland values increased 10.55%, marking the fourth consecutive year of double-digit gains, based on the North Dakota Department of Trust Lands Annual Land Survey.

Growth hasn’t been limited to a single pocket of the state. All nine NDSU Extension regions posted cropland value increases from 2024 to 2025, with the North Central region recording the smallest gain at 3.3%, according to North Dakota State University Extension. At the high end, the North Red River Valley delivered the strongest regional jump, with cropland values up 22.1% from 2024 to 2025, per North Dakota State University Extension.

For broader context, USDA reporting also showed continued strength in the Northern Plains. Cropland values increased 4.2% in 2025, with cropland valued at $2,710 per acre in the Northern Plains region, according to USDA. Pastureland has also accelerated: North Dakota pastureland values rose 8.6% in 2025, the highest increase among Northern Plains states, according to USDA.

Where Prices Are Highest: County and Regional Signals

Not all acres price the same—and location can matter as much as soil. In Q1 2025, Cass County posted the highest farmland value at $6,337.26 per acre, followed by Traill County at $5,540.46 per acre, according to the Growers Edge Farmland Value Index. These figures help illustrate why investors often compare county-level benchmarks when underwriting deals or evaluating appreciation potential.

Income Matters: Rents, Returns, and What’s Changed

Land investing is often a blend of income (rent/lease) and appreciation. On the income side, statewide cropland cash rental rates increased 4.25% in 2025, and the North Red River Valley led again with the highest rent increase at 10.4%, according to North Dakota State University Extension.

However, higher land prices can compress yield. The rent-to-value ratio for North Dakota cropland in 2025 is 2.34%, down from 9–10% thirty-five years ago and 3.8% in 2012, according to North Dakota State University Extension. In practical terms, today’s buyers often rely more heavily on long-term appreciation, operational improvements, or strategic acquisition pricing to meet return targets.

Why North Dakota Land Can Be a Strong Long-Term Investment

Agriculture remains a durable demand driver

North Dakota’s economy is deeply tied to production agriculture, which supports persistent demand for quality cropland and pasture. The multi-year climb in cropland values—from $2,519 per acre in 2022 to $3,534 per acre in 2025—reflects that durability, according to North Dakota State University Extension.

Pasture strength is rising with the cattle cycle

Recreational and grazing land can follow different fundamentals than row-crop ground. As of late 2025, North Dakota pasture benchmark values improved 16.2% over the past 12 months, driven by strong cattle prices, according to AgCountry. That tailwind can matter for investors targeting pasture, mixed-use tracts, or operations tied to livestock economics.

Regional upside is still real—if you buy selectively

Even in a rising market, the best results often come from choosing the right region. The North Red River Valley’s 22.1% cropland value increase from 2024 to 2025 underscores how quickly certain submarkets can outpace the state average, according to North Dakota State University Extension.

Risks and Reality Checks Before You Buy

Prices can move fast—and not always up

North Dakota has posted strong recent gains, including a 10.55% cropland value increase in 2025 and four straight years of double-digit growth, according to the North Dakota Department of Trust Lands Annual Land Survey. That momentum is attractive, but it also raises the stakes: commodity shifts, interest rates, and local buyer demand can all change the tone of the market.

Liquidity is limited compared to stocks or homes

Vacant land often takes longer to sell than residential real estate, and the buyer pool can be narrower—especially for rural parcels. Plan for longer hold periods, and avoid tying up capital you may need quickly.

Due diligence is non-negotiable

Before you close, verify access, zoning, drainage, soil capability, and any easements. If the property’s value depends on farming income, confirm local rent benchmarks and whether the current rent level aligns with today’s lower yield environment—such as the 2.34% rent-to-value ratio reported for 2025, according to North Dakota State University Extension. If you’re evaluating mineral potential, confirm mineral rights ownership and lease terms in writing.

Practical Investment Strategies for North Dakota Land

1. Lease cropland for cash rent. This strategy targets predictable income and simpler management. Rising rents—up 4.25% statewide in 2025—can support returns, according to North Dakota State University Extension.
2. Focus on high-performing regions. Investors often prioritize areas showing outsized demand, such as the North Red River Valley, which saw cropland values rise 22.1% from 2024 to 2025, per North Dakota State University Extension.
3. Consider pasture and mixed-use tracts. With pastureland values up 8.6% in 2025 (the highest among Northern Plains states) according to USDA, and pasture benchmarks up 16.2% over 12 months as of late 2025 according to AgCountry, pasture-focused strategies may benefit from livestock-driven fundamentals.
4. Use county benchmarks to avoid overpaying. County-level pricing—like $6,337.26 per acre in Cass County and $5,540.46 in Traill County—can help you sanity-check valuations and negotiate intelligently, according to the Growers Edge Farmland Value Index.

Final Take: Is North Dakota Land a Good Investment?

North Dakota land can be a strong investment when you match the asset to your strategy. The state has delivered meaningful appreciation—cropland values climbed from $2,519 per acre in 2022 to $3,534 per acre in 2025, nearly 40% in four years, according to North Dakota State University Extension. At the same time, yields have compressed, with a 2.34% rent-to-value ratio in 2025, according to North Dakota State University Extension, so disciplined underwriting matters more than ever.

If you want long-term appreciation potential, a hedge against inflation, and exposure to productive farmland and pasture markets, North Dakota deserves a close look. Just go in prepared: study the region, validate the numbers, and buy with a clear plan for cash flow, holding period, and exit.