The latest real estate figures show an increase in farm sales, but at lower prices.
Sixty seven more farms were sold in the three-months to April, than for the period ending in March.
The median price per hectare fell by more than 9% for that period, but was 8% up on the median price a year ago.
The Real Estate Institute says grazing properties accounted for the largest number of sales, almost half.
But Federated Farmers says that was driven by the sale of smaller grazing blocks.
It says 42 of the farms sold were grazing blocks with a median size of 65 hectares.
President Bruce Wills says with housing space becoming a big issue, Federated Farmers will be watching both the number of farms being sold around the major centres, as well as the number of lifestyle blocks being sold.
The federation wants to see cities grow upwards rather than outwards onto productive farmland.
