How to Invest in Farmland Without Owning Land

 

A four-panel comic showing a person thinking about investing in farmland, learning about options like farmland REITs, crowdfunding platforms, and agriculture ETFs, using a laptop to track investments, and smiling while holding a money bag labeled “earn returns.”

How to Invest in Farmland Without Owning Land

Farmland investing has long been a staple for institutional investors and billionaires like Bill Gates.

But today, thanks to digital platforms and financial innovation, everyday investors can access this asset class without ever stepping foot on a farm.

This guide will walk you through practical, diversified, and passive ways to invest in farmland—no tractor required.

Table of Contents

Why Invest in Farmland?

Farmland is a historically stable, inflation-resistant asset class.

It offers a hedge against market volatility and provides passive income through rental agreements or crop yields.

According to U.S. News, farmland has delivered consistent returns over the past decades, making it an attractive option for portfolio diversification.

1. Farmland REITs

Real Estate Investment Trusts (REITs) allow you to invest in farmland without owning physical land.

These publicly traded companies own and manage farmland properties, distributing income to shareholders.

Examples include Farmland Partners Inc. (FPI) and Gladstone Land Corporation (LAND).

REITs offer liquidity and require minimal capital, making them accessible to most investors.

However, returns are subject to market fluctuations and management performance.

Learn More about Farmland REITs

2. Crowdfunded Farmland Platforms

Platforms like AcreTrader and FarmTogether enable fractional ownership of farmland.

Investors can buy shares in specific farms, earning returns from rental income and land appreciation.

These platforms handle all management aspects, offering a hands-off investment experience.

Minimum investments vary, and some platforms require accreditation.

Explore AcreTrader Explore FarmTogether

3. Agriculture ETFs & Mutual Funds

Exchange-Traded Funds (ETFs) and mutual funds offer diversified exposure to the agriculture sector.

Funds like the VanEck Agribusiness ETF (MOO) and Invesco DB Agriculture Fund (DBA) invest in a range of agribusiness companies and commodities.

These funds provide liquidity and diversification but come with management fees and market risks.

Learn More about Agriculture ETFs

4. Agriculture Stocks

Investing in individual agriculture-related companies is another avenue.

Companies like Deere & Co. (DE), Archer Daniels Midland (ADM), and Mosaic Company (MOS) are integral to the agriculture supply chain.

While offering potential high returns, individual stocks carry higher risk and require thorough research.

Explore Agriculture Stocks

5. Agricultural Commodities

Direct investment in agricultural commodities like corn, soybeans, and wheat is possible through futures contracts or commodity ETFs.

These investments can hedge against inflation but are highly volatile and complex, suitable for experienced investors.

Learn More about Commodity Investments

6. Farm Debt & Lending

Investing in farm debt involves providing loans to farmers for operations or equipment.

Platforms like Harvest Returns offer opportunities to invest in agricultural debt instruments.

This approach can yield steady income but carries the risk of borrower default.

Explore Harvest Returns

Conclusion

Investing in farmland without owning land is more accessible than ever.

Whether through REITs, crowdfunding platforms, ETFs, stocks, commodities, or lending, there are options to suit various risk appetites and investment goals.

As always, conduct thorough research and consider consulting a financial advisor to align investments with your financial objectives.

Keywords: farmland investing, REITs, agriculture ETFs, farm crowdfunding, agricultural commodities