This study examined farm numbers and marketing strategies as influenced by residential development between 1990 and 1997 in an urbanizing county. Information was collected through farmer focus group interviews. A positive correlation (r=0.45, P<0.10) was found between housing starts and net change in farm numbers per township. There was a shift toward agricultural products and services for the retail market. In most developed townships, farmers viewed new rural residents as potential customers. This study found that farming and residential development are not necessarily incompatible. Under some circumstances, residential development may spark an increase in the number of farms.