This paper presents short-term wind farm power forecasting method using multivariate analysis and time series. Based on factor analysis, the proposed method makes new independent variables which newly composed by raw independent variables such as wind speed, ramp rate, wind power. Newly created variables are used in the time series model for forecasting wind farm power. To demonstrate the improved accuracy, the proposed method is compared with persistence model commonly used as reference in wind power forecasting using data from Jeju Island. The results of case studies are presented to show the effectiveness of the proposed forecasting method.