Australian farmland values have now recorded eleven years of unbroken growth according to Bendigo Bank’s 2025 Farmland Values report[i] with the national median price rising to a record level in 2024 and growth observed in median prices across five of the six states during 2024. 

The national median price per hectare increased by 6.9% to a record $10,231/ha with a total of 4.7 million hectares of land traded, representing an area larger in size than Denmark.

The number of farmland sales in Australia rose 5.8% to 7,154 with the combined value of transactions totalling $14.9 billion. 

Seven of the top 10 growth regions in 2024 were in Queensland or Western Australia with pace of growth remaining constrained, having plateaued since 2023, with many sellers maintaining high price expectations and consequently, properties sitting on the market for extended periods.

Bendigo Bank Agribusiness Senior Manager Industry Affairs, Neil Burgess said: “The past decade has seen the national median price for Australian farmland triple, rising by 201% at a compound annual growth rate (CAGR) of 11.6% with a 20-year CAGR of 8.6%.

“The underlying drivers of the Australian farmland market were more varied in 2024 with elevated interest rates a constant and with a greater mix of seasonal conditions. Favourable weather in NSW and Queensland has been in stark contrast to the significant lack of rain experienced in southern regions, which has been reflected in farmland prices.

“The sharp rebound in livestock prices across late 2023 and into 2024 drove a substantial improvement in buyer sentiment, particularly across New South Wales and Queensland, with demand for farmland in grazing regions surging after an underwhelming performance throughout 2023.

“Looking to the remainder of the year, anticipated interest rate cuts while supportive, are unlikely to drive widespread resurgence in demand. Farmland availability remains tight and mixed seasonal conditions across the country, combined with ongoing uncertainty in global trade and commodity markets are expected to limit the prospect of substantial growth in 2025, so our outlook is for continuing moderate growth in farmland values across 2025,” Mr Burgess concluded.

Fleurieu Peninsula among Australia’s most valuable farmland

The report also identified the regions with the highest farmland values across Australia’s mainland states. In Victoria, the South and West Gippsland region emerged as the most valuable, with land fetching $29,335 per hectare, significantly above the state median of $14,848 per hectare[i].

In Tasmania, the northwest region recorded a median farmland price of $27,019 per hectare, compared to the state-wide median of $23,202.

Farmland in the southwest of Western Australia commanded $17,236 per hectare, more than twice the state median of $6,799. Meanwhile, in Queensland, the southeast was the highest-value region, with a median of $15,376 per hectare.

South Australia’s Adelaide and Fleurieu region recorded a standout median farmland value of $22,488 per hectare, significantly higher than the state median of $7,825. According to Paul Clifford, Principal of Raine & Horne Rural SA, the Fleurieu Peninsula is especially attractive due to its proximity to Adelaide.

“Our region is only about an hour from the CBD, which makes it ideal for professionals and lifestyle changers seeking a rural retreat,” Paul said. “They can either commute on a daily basis or finish work at 4pm on a Friday and head straight to the farm.”

While demand for rural property in the Fleurieu region had plateaued in recent months, Paul said enquiry levels started to lift immediately after the federal election.

“The day after the election, the phone started ringing again—including interest from interstate buyers, who we haven’t heard from in a while.”

Although the region is still waiting for the seasonal rains to arrive, Paul believes it will be well positioned for a strong rebound once the opening rains start. 

“There’s pent-up demand, especially after an average 2024. With promising forecasts for meat exports in 2025, we expect decent listing momentum once the rain hits.”

If you’re considering buying or selling rural property in 2025, contact your local Raine & Horne Rural office for expert advice and more information.

 
[i] https://www.bendigobank.com.au/media/bendigo-bank-agribusiness-australian-farmland-values-hit-record-high/