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Rent charged for cropland?

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Jim Joanie

01-15-2008 14:18:07

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Wondering what rent for cropland is going for now.
Last information I had for SW Wisconsin, Vernon County, ranged from 60 to as high as 100 per acre. Wondering was an average price would be for 'average' land. Average being mix of black dirt, clay, and some rock. Not high producing Illinois or Iowa land, but producable if that makes sense.

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Finn Md

01-16-2008 10:28:29

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Re: Rent charged for cropland? in reply to Jim Joanie, 01-15-2008 14:18:07

you should try calling the local Ag. Extension Agency and get an average acreage cost from them. It could vary by soil and crop types in your county. They should have that data. This can also give a more valid starting point if you will be negotiating with someone on local rent prices. I have in the past obtained average rental rates from the County Ag. Agency in order to "back-up" my proposed rates. Good luck.

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paul

01-16-2008 09:31:43

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Re: Rent charged for cropland? in reply to Jim Joanie, 01-15-2008 14:18:07

Southern MN, we had been on $90-120 an acre for some years. Now it is $150, with $180 needed to find 'new' land to rent. Ad in some papers is looking for land to rent, up to $230 an acre - for what that ad is worth.

Land had been selling for $2000 an acre, now it is typically arounf $4500.

Corn & beans, can get 200+bu an acre, can depend on 150.

--->Paul

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hobbyfarmerinwi

01-16-2008 06:42:09

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Re: Rent charged for cropland? in reply to Jim Joanie, 01-15-2008 14:18:07

In NW Wisconsin, I charged $75/acre for 30 acres last year. Farmer was allowed to plant whatever he cared to. 1/2 due when the planter hit the ground, 1/2 due when the combine showed up.

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Scott in SF

01-15-2008 22:09:23

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Re: Rent charged for cropland? in reply to Jim Joanie, 01-15-2008 14:18:07

Steven f/AZ nailed the cash rent in SW North Dakota, yields also. It goes from $24 to $35 with $28 being normal. That land will sell for $650 an acre or so, anyway it did last year. If wheat prices stay high I expect a bidding war in the next few years. There is always a couple of guys that want to farm the entire county. In case someone is interested Pasture land with water is $12 to $15 an acre. My summer pasture is 300 acres and it can take about 50 cow/calf pairs from late May to about Oct.

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pair-a-dice farm

01-15-2008 17:35:13

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Re: Rent charged for cropland? in reply to Jim Joanie, 01-15-2008 14:18:07

In Arkansas it is either 1/3 or 1/4 of yeild. The landlord is also responible for their share of fertilizer and chemicals.

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James22

01-15-2008 18:11:08

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Re: Rent charged for cropland? in reply to pair-a-dice farm, 01-15-2008 17:35:13

That just astounds me, that the landlord gives the farmer anywhere from 2/3 to 3/4 of his land, and in return the farmer plants and harvests his 1/3-1/4. If a landlord, I would either be learning how to farm or get into a government program

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1206SWMO

01-16-2008 13:46:56

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Re: Rent charged for cropland? in reply to James22, 01-15-2008 18:11:08

Here in SWMO and in SEKS share rent has been 1/3rds-2/3rds since the beginning of mankind.The farm owner pays 1/3rd of the fertilizer and chemical.50-50 rent does not fly in this area.

If the corn makes 120 bu an acre at $4.00 per bushel the land owner should make about $90 per acre clear after paying his share of the fertilizer,chemical,and crop insurance.

If you cash rent it out,you will get $70 per acre at best.At least 2-3 out of 10 years will be poor here due to bad weather.That tends to hold rents down.I've only grown 2 decent soybean crops in the past 10 years.In 2007 the wheat made 18 bpa because of a freeze,disease,and too much rain.

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pair-a-dice farm

01-15-2008 20:21:37

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Re: Rent charged for cropland? in reply to James22, 01-15-2008 18:11:08

I may not have explained very well. The farmer farms the land and gets either 2/3 or 3/4 of gross sales depending on the agreement. The landlord gets the rest. The cost of fertilizer is divided the same way.

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James22

01-16-2008 07:43:09

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Re: Rent charged for cropland? in reply to pair-a-dice farm, 01-15-2008 20:21:37

No you did an adequate job explaining. My position is that the landlord is getting the shaft not the farmer.

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paul

01-16-2008 09:26:17

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Re: Rent charged for cropland? in reply to James22, 01-16-2008 07:43:09

Here in MN back when they used to cropshare - don't know anyone doing that any more - it was 60% to farmer, 40% to landlord, chemical costs (not application costs) were usually split likewise.

Seems to come out about the same as cash rent, not sure why you think it's unfair? More risk to the land owner as they share the risk, but chance to make more than a cash rent as well. You do know what machinery, fuel, & seed costs add up to, that is borne by the rentor.

--->Paul

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James22

01-16-2008 10:46:01

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Re: Rent charged for cropland? in reply to paul, 01-16-2008 09:26:17

The issue is with only receiving 25% of the crop, not share cropping. Here share cropping is 50/50 with sharing of expenses except possibly burn down which the farmer pays because it replaces a tillage pass. Someone in the Dakotas has even a better deal. Posted on Agtalk that they charge the landlord for harvesting his share, smacks of having the cake and eating it too. Note to self: don't own land in the Dakotas unless you are farming it.

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paul

01-16-2008 18:01:15

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Re: Rent charged for cropland? in reply to James22, 01-16-2008 10:46:01

Missed that one, haven't heard of charging for harvesting the landlord's share either! :)

--->Paul

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adrian

01-17-2008 15:19:55

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Re: Rent charged for cropland? in reply to paul, 01-16-2008 18:01:15

Paul, I have 15 acres of alfalfa, 2nd yr going on third yr. I was offered 150 an acre for three crops, and 180 for 4 crops with the last off by Sept15. What should I ask for details, as far as fertilizer? Who pays what? Is this a good deal? Thanks Adrian

Untitled URL Link

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Rick(IA)

01-15-2008 17:15:38

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Re: Rent charged for cropland? in reply to Jim Joanie, 01-15-2008 14:18:07

Here in Eastern Iowa it's in the $185-225 dollar range, depending somewhat on whether it's in corn or beans. The average cost per acre is over $4000 for good land and I've heard of one sale 15 miles from here that went $5000/a for 150 acres. We have our farms leased under a base+bonus system that yielded $185-195 this year and one of my tenants has forwarded contracted enough of his 2008 crop to promise me over $200 this year.

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1206SWMO

01-15-2008 17:02:59

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Re: Rent charged for cropland? in reply to Jim Joanie, 01-15-2008 14:18:07

Land here is selling in the $1500-2000 per acre price range.An average yield per acre here is 110-120 corn,45 wheat,30-35 early beans,and 20-25 late beans.

Cash rent runs from $60-80 per acre and is slowly going up..Some ground is still share rented on 1/3rds-2/3rds shares with the landlord paying 1/3rd of the fertilizer and chemical.

Prime 180-200 bu corn ground in Illinois is going for $300 an acre plus as 6-7 large operators in that state are bidding that and more.

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BC in TN

01-15-2008 17:01:14

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Re: Rent charged for cropland? in reply to Jim Joanie, 01-15-2008 14:18:07

I'd say a good average is $100.00 for row crop land in TN. Likely to have corn, soybeans or cotton it. I know of one farmer who rents hay ground for $100.00 an acre and is looking for a little more in West TN.
I've noticed these renters want generally cleared land w/o many tree limbs, etc. around the field edges.

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Steven f/AZ

01-15-2008 16:41:42

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Re: Rent charged for cropland? in reply to Jim Joanie, 01-15-2008 14:18:07

Somewhere in North Dakota land is rented for about $28 per acre that produces up to 40 bushels/acre wheat, average is probably like 25 bushels/acre...

Some people are paying $45 per acre for similar land.

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KRUSS1

01-16-2008 06:42:02

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Re: Rent charged for cropland? in reply to Steven f/AZ, 01-15-2008 16:41:42

In SW Manitoba (barley, peas, wheat, canola :
as a typical rotation with AVERAGE yields of 70,45,45,35 bu/acre is renting for $35/acre so far. I'm sure I'll hear of higher offers by spring. This is land you could buy for $550 to $600/acre. Crop share is 1/4 no inputs by landowner or 1/3 with landowner paying share of fert,pest. and herbicide. Native pasture with good water and fair fence about $13/acre.

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Goose

01-15-2008 16:02:29

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Re: Rent charged for cropland? in reply to Jim Joanie, 01-15-2008 14:18:07

I just re-negotiated ours at $115 per acre in eastern Nebraska. It's dryland, but it's decent bottom ground.

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landlord7012

01-15-2008 15:33:35

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Re: Rent charged for cropland? in reply to Jim Joanie, 01-15-2008 14:18:07

We rent out 8 acres tillable for $500 which is $62.50/acre. Guy renting is also responsible for soil nutrients at his discretion. Dad always said "get enough to cover taxes".

landlord7012

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ejr-IA

01-15-2008 15:29:22

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Re: Rent charged for cropland? in reply to Jim Joanie, 01-15-2008 14:18:07

That would be cheap compared to ours since the price of corn and beans have went to these levels.Most of ours have hit the 200 and above.Land prices in our area have gone crazy in the last year or so, like 75.oo dollars per CSR.

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01-15-2008 16:06:20

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Re: Rent charged for cropland? in reply to ejr-IA, 01-15-2008 15:29:22

Ours here runs from 0-$50, our average this year is $38. We have to pick rocks here though. Highest rent in the province (that I know of) is over $300 for corn/sugar beet rotation.

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Ray

01-15-2008 16:44:35

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Re: Rent charged for cropland? in reply to dk, 01-15-2008 16:06:20

I get $150 per acre for mine in ohio.

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James22

01-15-2008 18:38:26

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Re: Rent charged for cropland? in reply to Ray, 01-15-2008 16:44:35

That would be a more expected cash rent in these parts for last year. A BTO offered over $400/acre for some University of Illinois farms, and over $300/acre is not uncommon this year. With crop prices in the stratosphere, cash rent should be higher, but I agree $300-$400 is pushing the envelope.

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