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bendigo bank farmland prices hit record but growth slows

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AI insight

AI-generated

The report indicates a cooling Australian farmland market after a boom, with regional divergence. Livestock sector supports prices, but rising input costs and dry outlook pressure margins. Impact is Australia-specific, affecting agricultural producers and farmland investors. Direct commercial mechanism: farmland as an asset class shows slowing appreciation, affecting agricultural investment returns and bank lending exposure.

Signals our AI researcher identified

Extracted by our AI model from this article and related public sources β€” not direct quotes from the publisher.

  • Australian farmland median price reached record $10,516 per hectare in 2025.
  • Price growth slowed to 2.8%, the lowest in 12 years.
  • South Australia saw over 20% growth; Victoria declined 0.4% due to dry conditions.
  • Livestock industry supports property prices amid rising input costs.
  • Farmers face dry seasonal outlook and increasing operational costs.
Sector verdictAGRICULTURE_FOODDownmagnitude 2/3 Β· confidence 2/5

Mid-term margin pressure from rising input costs and slowing land appreciation; therefore, AGRICULTURE_FOOD is affected down. Key risk: if farmers adapt through crop switching or government assistance, income declines may be less severe.

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bendigo bank farmland prices hit record but growth slows | farmweekly.com.au β€” News Analysis