Under the background of the expanding scale of farmland transfer and frequent farmland transfer among small farmers, it is difficult to explain the phenomenon through the research conclusion that farmland welfare security restrains farmland transfer. Its reason lies in that the farmland welfare security works combining with institutional security and community security, and displays functional transformation owing to the increase in rural mobility. This paper employs the survey data collected from 2 704 households in nine provinces to analyze the impacts of farmland welfare security on farmland transfer, as well as the differences in the role of farmland welfare security in farmland transfer under different institutional security and community security. It comes to the results as follows: firstly, farmland welfare security restrains farmland transfer, and its inhibitory role is enhanced by formal security, showing the long-term retention of farmland welfare security resulting from weak state of formal security; secondly, the existence of community security weakens the inhibitory role of farmland welfare security in farmland transfer, showing the transformation of informal social security caused by farmland transfer among acquaintances. Based on the theoretical proposition of institutional correlation, in order to reduce the negative feedback between farmland welfare security and factor allocation, it is necessary to promote the rural-urban equalization of social services and the function exertion of rural mutual aid networks from the perspectives of the perfection of rural social security and the inductiveness of self-implementation of community security.