How to Sell Minnesota Land Held in a Trust in 2026

Minnesota landowners have always understood the value of the state’s farms, woods, wetlands, and buildable acreage—but today’s market requires sharper planning, especially when property is held in a trust. As of February 2024, Minnesota had 67,400 farms covering 25.5 million acres, according to the U.S. Department of Agriculture’s National Agricultural Statistics Service. That same report puts the average Minnesota farm at 378 acres in 2024, reinforcing how common large, multi-parcel holdings are across the state (U.S. Department of Agriculture’s National Agricultural Statistics Service).

If you’re selling Minnesota land owned by a trust—whether it’s farmland, hunting land, recreational acreage, or a vacant parcel—you must align the transaction with the trust document, state law, and beneficiary interests. The steps below walk you through a modern, practical process that helps trustees reduce risk, avoid delays, and close with confidence.

Why timing matters in today’s Minnesota land market

Many Minnesota land decisions are happening against a backdrop of tighter farm finances and shifting land values. In 2024, the median net farm income for Minnesota farms dropped to $21,964, according to the University of Minnesota Center for Farm Financial Management. The same dataset shows median net farm income for Minnesota crop farms fell to $2,371 in 2024 (University of Minnesota Center for Farm Financial Management), and 41 percent of Minnesota farms reported financial losses in 2024 (University of Minnesota Center for Farm Financial Management).

Liquidity pressure is also real: average working capital for Minnesota farms decreased by nearly $87,000 in 2024, per the University of Minnesota Center for Farm Financial Management. At the statewide level, Minnesota farm income reached $2.7 billion in 2024—its lowest level since 2019—according to the Rural and Agricultural Finance Program, University of Missouri.

At the same time, values have held up in many areas. Minnesota farmland values increased 5.3% from 2024 levels as of early 2025, according to Farm Progress. And not every segment experienced declines—median net farm income for Minnesota dairy farms rose to $126,897 in 2024, per the University of Minnesota Center for Farm Financial Management. In short: some owners sell to simplify an estate plan, reduce risk, or unlock capital, while others sell to reposition assets while demand remains resilient.

Understanding land held in a trust (Minnesota perspective)

A trust holds title to property for the benefit of one or more beneficiaries. The trustee manages the asset and can sell it only within the authority granted by the trust document (and any court orders, if applicable). In practice, selling trust-owned land can involve extra documentation, more signatures, and stricter decision rules than a standard sale.

Trust ownership is common in Minnesota for:

• Estate planning (succession and distribution control)
• Asset protection and liability separation
• Privacy in ownership records and management
• Conservation or long-term land goals

How to sell Minnesota land in a trust: step-by-step

1) Review the trust document before you talk price

Start with the trust agreement (and amendments). Your goal is to confirm exactly what the trustee can do and what conditions apply. Look for:

• Authority to sell (explicit power to convey real estate)
• Consent requirements (beneficiaries, co-trustees, protectors, or court approval)
• Distribution instructions (who receives proceeds, timing, and reinvestment rules)
• Restrictions (right of first refusal, conservation intent, or retained use rights)

If anything is unclear, get guidance from a Minnesota attorney who works with trusts and real estate. It’s faster to prevent a title/authority issue than to fix one at closing.

2) Determine value using land-specific pricing tools

Land value can move differently than home values, and trust sales demand defensible pricing. Use a combination of:

• Land appraisal by a licensed appraiser familiar with Minnesota rural and agricultural comps
• Comparable sales (recent nearby land transfers with similar soil, access, and zoning)
• Income and use factors (rent potential, tillable ratio, timber value, development upside)

Current farm financial conditions can influence buyer behavior and financing. For example, the University of Minnesota Center for Farm Financial Management reports median net farm income fell to $21,964 in 2024 and that 41% of farms posted losses, which can reduce some buyers’ risk tolerance. Still, values can rise even during income stress—Farm Progress reports Minnesota farmland values increased 5.3% from 2024 levels as of early 2025—so you should price based on parcel-specific fundamentals, not headlines.

3) Prepare the property and paperwork to reduce buyer objections

Even “vacant” land sells better when it’s easy to understand and easy to insure. Prepare:

• Survey and legal description (confirm boundaries, access, encroachments)
• Zoning and allowed uses (ag, residential, recreational, commercial)
• Soil and productivity info (especially for farmland)
• Easements and restrictions (utility, driveway, conservation, wetland)
• Environmental context when relevant (past uses, storage sites, or known issues)
• Trust authority documents often requested by title/closing (certificate of trust, trustee affidavits)

4) Choose the best selling strategy for a trust-owned parcel

Your strategy should match the trust’s timeline, risk tolerance, and beneficiary goals.

• List with a land-focused agent for maximum market exposure and negotiation support.
• Sell directly to a land buyer/investor when speed, simplicity, or certainty matters. This can work well for inherited land, remote parcels, or properties needing cleanup.
• Auction for unique properties or when competitive bidding is likely.
• FSBO (For Sale By Owner) if the trustee can manage marketing, showings, contracts, and disclosures.

5) Market the property with buyer-intent details

Modern land buyers expect clear information upfront. Strong listings typically include:

• Maps (parcel boundaries, aerials, topography, floodplain/wetland context)
• Access details (road frontage, easements, turnarounds)
• Utility availability (electric, well/septic suitability, broadband notes when known)
• Use cases (farming, hunting, cabin site, development potential)
• Photos and video (seasonal images matter in Minnesota)

6) Evaluate offers through a trust-and-closing lens

When you receive offers, compare more than price. Focus on:

• Proof of funds or financing strength (land loans can be stricter than home loans)
• Inspection and due diligence periods (shorter timelines reduce uncertainty)
• Contingencies (zoning, access verification, appraisal, sale of buyer’s property)
• Closing timeline (important if the trust needs liquidity)

Vacant land often takes longer to sell than residential property, especially if it’s rural, irregularly shaped, or has access limitations. Build time into your plan—particularly if beneficiary approvals or trustee documentation will add steps.

7) Meet legal and title requirements for a clean transfer

After you accept an offer, the transaction moves into execution. Typical steps include:

• Purchase agreement that clearly identifies the trust as seller and the trustee’s signing authority
• Title search to uncover liens, judgments, unpaid taxes, or easement issues
• Trust-related documents (certificate of trust, trustee affidavits, potentially beneficiary consents)
• Closing coordination with a title company or attorney to handle deed prep, payoffs, prorations, and wire transfers

8) Handle proceeds exactly as the trust requires

The trustee must follow the trust’s instructions for proceeds. That usually includes:

• Distributions to beneficiaries (timing and amounts per the trust)
• Reinvestment if the trust requires it
• Tax planning with qualified professionals (basis, capital gains, and trust reporting)

Common challenges when selling trust-owned land in Minnesota

• Pricing in a mixed market: Income stress can affect buyer financing and sentiment. The Rural and Agricultural Finance Program, University of Missouri reports Minnesota farm income hit $2.7 billion in 2024 (lowest since 2019), while Farm Progress reports values increased 5.3% from 2024 levels as of early 2025.
• Liquidity and buyer pool shifts: With median net farm income at $21,964 and 41% of farms reporting losses in 2024, some operator-buyers may hesitate or negotiate harder (University of Minnesota Center for Farm Financial Management).
• Property-type differences: Crop farms saw median net farm income of $2,371 in 2024, while dairy farms saw median net farm income of $126,897—different sectors, different appetites for expansion (University of Minnesota Center for Farm Financial Management).
• Trust friction: Missing amendments, unclear authority, or beneficiary disputes can delay closing.
• Working capital pressure: Average working capital decreased by nearly $87,000 in 2024, which can influence how quickly farms can act on expansion opportunities (University of Minnesota Center for Farm Financial Management).

A faster option: selling directly to a land buyer

If you want a simpler path—especially when the trust needs speed, beneficiaries prefer certainty, or the land is hard to finance traditionally—you can sell directly to a land-buying company.

For example, Land Boss buys Minnesota land directly from owners for cash, which can reduce marketing time, showings, and prolonged negotiations. This route often trades some top-of-market upside for convenience and a clearer closing path—benefits that can matter when you’re coordinating trustee duties and beneficiary expectations.

Final thoughts

Minnesota is a land-rich state—67,400 farms spanning 25.5 million acres, with an average farm size of 378 acres in 2024—so trust-owned land sales are common and important (U.S. Department of Agriculture’s National Agricultural Statistics Service). But the right approach depends on your trust terms, your property’s best use, and current market realities.

If you want a deeper look at related land-sale planning, see Selling Minnesota land. And regardless of how you sell, involve Minnesota professionals early (legal, tax, and real estate). When you align the sale with the trust document and price the land with strong support, you protect beneficiaries, reduce delays, and close the transaction cleanly.