Selling farmland is rarely just a real estate transaction. In our experience, it is often tied to decades of ownership, long-term stewardship, family considerations, and careful financial planning and is built upon discipline, transparency, and alignment with the landowner’s long-term objectives. From an Accredited Land Consultant’s perspective, successful farmland sales are not driven by price alone - they are driven by the collaborative and competitive process, precision, and alignment with the empowered landowner’s objectives.
As an Accredited Land Consultant (ALC), we follow a disciplined, research-based approach designed to protect value, reduce risk, and deliver certainty in an increasingly complex land market. Below is the seven-step framework we use when guiding farmland from initial consultation through a successful closing.
Step 1: Establishing Landowner Objectives
Every successful farmland sale begins with clarity. Before discussing valuation or marketing, we take time to understand the landowner’s goals and constraints.
This includes timing considerations, income needs, tax exposure, estate planning implications, and whether the sale is driven by reinvestment, transition planning, or generational change. In many cases, the best outcome is not simply achieving the highest price, but securing the most predictable, efficient result aligned with the landowner’s broader objectives. Establishing these priorities early on ensures every decision that follows is intentional.
Step 2: Comprehensive Property Due Diligence
Farmland value is built on details. Thorough due diligence is essential to identify both value drivers and potential risk factors before a property is exposed to the market.
This process includes reviewing soil and productivity data (soil fertility test and previous yield history), current FSA and CRP records, lease agreements, access and easements, water availability, improvements, zoning, utilities, and any environmental or title considerations. Proper due diligence strengthens marketing materials, increases buyer confidence, and significantly reduces issues later in the transaction.
Step 3: Market Analysis and Valuation Strategy
With accurate property data in hand, the next step is developing a defensible valuation strategy. This extends well beyond reviewing recent comparable sales.
Our analysis incorporates local and regional market trends, commodity pricing, interest rates, investor demand, and the property’s highest and best use. Just as importantly, we evaluate the most appropriate method of sale, whether private treaty, sealed bid, live auction, or a hybrid approach, based on market conditions and the landowner’s stated goals.
Step 4: Strategic Marketing and Positioning
Effective farmland marketing is a strategic and targeted approach, not just a one-size-fits-all approach. From an effective realtor's standpoint, the objective is not broad exposure alone, but reaching qualified buyers with a clear, concise, and compelling message.
This step involves positioning the property around its strongest attributes, whether it’s a century or heritage farm (owned for 100 and 150 years, respectively), agricultural income, recreational appeal, development potential, or long-term investment value. Professional photography, detailed mapping, digital marketing, broker-to-broker outreach, and direct engagement with buyer and investor networks all play a role. Strong positioning creates competition and helps buyers clearly understand the full market value of the farmland asset being sold.
Step 5: Buyer Engagement and Risk Management
As buyer interest develops, managing information and expectations becomes critical. Transparency and documentation are key components of maintaining deal momentum.
Buyer questions are addressed with verified data rather than assumptions, and potential concerns, such as water access, lease terms, or improvements, are clarified early. Proactively managing uncertainty reduces the likelihood of failed contracts or extended closing timelines.
Step 6: Negotiation, Contracting, and Closing Coordination
Negotiation in farmland transactions extends beyond price. Contract structure, contingencies, possession terms, and timing can all materially impact the overall outcome.
We collaborate closely with attorneys, lenders, surveyors, title companies, and tax advisors to ensure the transaction remains aligned with the landowner’s original objectives. Due diligence during this phase protects value and ensures a smooth transition from contract to closing.
Step 7: Post-Closing Review and Long-Term Advisory
From our perspective, the relationship does not end at closing. In most cases, it is just the beginning of the next phase.
Following the sale, we often assist clients with reinvestment strategies, 1031 exchanges, portfolio repositioning, or future land planning. A post-closing review ensures expectations were met with the landowners and reinforces our role as long-term consultants, not just transactional brokers.
Closing Thought
Farmland is a unique asset class and selling it successfully requires more than exposure - it requires expertise, discipline, and a well-defined, relationship-driven process. By following an innovative, structured, seven-step approach rooted in our Peoples Company standards, landowners gain clarity, confidence, and measurable results in a changing market.
