Farmland values in Oregon and Washington fail to keep pace with inflation

Farm real estate value estimates for Oregon and Washington did not keep pace with inflation in 2026, according to an analysis by Oregon State University Extension Service economist Dan Bigelow. While nominal figures showed modest increases, inflation-adjusted values for cropland in the Pacific Northwest and California declined, with non-irrigated acreage experiencing steeper drops than irrigated properties.

In Oregon, farm real estate reached $3,880 per acre, a 2.6% nominal increase but a 0.3% decline when adjusted for inflation. This marks the first time since 1997 that Oregon has seen two consecutive years of real value declines.

In contrast, Idaho saw slight gains in value, supported by strong pasture estimates. Across the United States, overall farm real estate and cropland values remained flat in inflation-adjusted terms, while pasture values gained. Bigelow attributed the strength in pasture to rising returns for livestock producers and demand for lifestyle ranches. Water supply issues and recurring droughts were identified as factors impacting the market for irrigated cropland.