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Tractor Talk Discussion Board

Re: Land rent and BTO versa the little guy.


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Posted by JDseller on April 14, 2012 at 06:44:14 from (208.126.196.144):

In Reply to: Land rent and BTO versa the little guy. posted by northeast puller 1 on April 14, 2012 at 02:56:21:

If I understand right you are getting no rent on the ground??? If that is right then you are getting taken for a ride. It makes no difference who the farmer is.

You need to find out what the common rental rates are in your area. Let just say $100 per acre. If you want to give the smaller guy a break then just ask for $75 dollars an acre.

Another way that would be a break for the smaller guy is a crop share deal. We used to give 25% of the corn crop and 33% of a bean crop. That was just for the ground. The land owner provided any lime all the other inputs where the growers. So if you want to give the little guy a break then just asked for 20% of either crop.

Why would the rest of the family want a non performing investment?? The land has value so it is money invested for everyone involved. Even if the sentimental value is high it needs to make some return or the other family members will be more likely to want to sell it. Your not doing yourself or your family any favors just giving away income to a stranger. If the farmer can't pay just a little rent then he is not going to make it anyway. Plus with crop prices what they are now then he has to be making money on the ground. If he is not then he is not a serious farmer just a hobby guy. If this is the case then let him pay for his own hobby.

You are lucky that some of your siblings have not really pushed the issue. You are only a 1/6th owner. No court in the land would let you stop the others from selling unless the land is in a trust. It could be easily be sold and you would get your 1/6 th share and they would walk away.

Around here that 100 acres would bring $8000-10000 per acre. That is $800k-$1m. Split that six ways and we are talking some serious money. If you keep pushing for the no rent deal I am willing to bet that you will be out voted real soon. I am amazed that they have not done it already. I know my siblings would not have let me put that for long.


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