land rent

Does anyone rent land for farming? If so, what are you getting/paying per acre and what state are you in?


Thanks

Here in NW Iowa the very bottom is $180/A. Top rent is $425 to $500. A lot of land is renting for $400. All dryland. Jim

Here a neighbour is paying as low as 12ish an acre down the road a bit and the land across from us is renting at $45.

In western MO it runs from $60-125 per acre...Normal year is 125 corn and 30 beans...This year neither will make a crop..

North Central Iowa, some top quality land at $400.00 per acre, I have heard.

I have hilly, rocky land in mid Mn. $800 for 20 acres.

'Dryland' is an odd word here in southern MN - I see a few pivots 30 miles from me on sand ground, but local to me is rolling yellow clay soil that never dries out.....

Anyhow, you hear of $180 rent, and you hear of $400 rent, but most is going to be in the $200-250 range these days. You'll have to bid $300 or more to pick up new ground, rent it away from someone else....

--->Paul

what are they growing? at 400.00/acre thats 64,000 rent for one quarter. with the input costs and fuel arn't they in the hole?

25 per acre

It depends. On where you're at, what kind of soil and if you grew up there.
I kepp hearing that in the mid-west rents are above $200-400 here in Virginia I hear of folks paying $20 to nothing when the owner bouned the farmer on their laps as babies. The average in the county is around $65 but this year I'm getting rumors of $130. I discount the rumors pretty heavily. Our county average corn yield has been running 120 bu without irrigation. The last couple of years that is inching up. For me this will be the telling year, it's been pretty good with decent rain but high temperatures, if the variety yields up to expectations (150+ bu) then higher rents are possible.
Something I've been thinking about is rent on a sliding scale. A basic rent, say $40-50, tied to a base yield, say 80 bu, with the rent adjusting for higher yields. Say additional $15 if yield is 120 bu, additional %30 if yield is 150 bu ans so on. Negoiable of course. That way when we get a year like we had last and and Texas is having this year the landowner bares some of the pain also.
Another thought is what does the landowner contribute when the rent goes up? Around here when you rent it you are responsible for everything including soil condition. Three years ago I had some ground rented, put in an entrance and applied lime and fertilizer only to have the landowner try to back out. I got to farm it one year but of course lost money since all of that was for a long term payback.
Sorry for the long response.

But if he has a contrac for 6.00 a bux200 he could net 1200 per A

but what is he growing? sure cant be wheat or canola. maybe electric lettuce, happy hay???

Rented mine 6 yrs. ago for$32, three yr contract. Next contract he raised it to $36, This year a third of it under water, still paid $36. But he gets preventative planted payment.And I don't know how much that is.

Here in southern middle Tenn. Its anywhere from $30-$145/acre that I know of. for row crops. For just running cattle on is around $30/acre.

Their making money. Think about it. $6/bu x 200 bu/ac=$1200 Rent-$400/ac No till seeding $25 combine $40/ac fertilizer-400lb/ac=$120@$600/ton Spray(app and chemical) 2 applications 16+20=$36/acre Let's assume it comes off dry figure $30/ac for trucking. All costs are approximate, not sure on some costs and trying to over do it. No idea what the midwest takes for fertilizer etc but at those costs it's 651/ac for inputs + interest at 8% equals about $700 inputs or $500 profit.

In south west ND it is $38-50 for farmland, renter gets the program payments. Pasture is $13-15 or some animal units per day formula.