Canadian Farms Buck Housing Market Trend as Prices Keep Rising
- Farmland cost in Canada saw biggest annual gain since 2014
- Prices in Ontario rose 19% despite higher interest rates
A farmer harvests corn on a farm in Chesterville, Ontario last November.
Photographer: Christinne Muschi/BloombergThis article is for subscribers only.
There’s an outlier in Canadian real estate that has yet to see a pinch from rising interest rates: farmland.
The average cost of farmland in Canada rose nearly 13% in 2022, the biggest increase since 2014, according to a new report from government-owned agricultural lender Farm Credit Canada. While higher interest rates and pricier fertilizer costs for farmers were expected to hamper land prices and sales, demand was “robust,” the report said.