Leasing farm land

[Rookie]

If you were to lease out land for farming, how much is typical?

 

[CampingJosh]

Need to know more. Where? Is it irrigated? Do you have soil samples or yield history?

I'm not up on the market, but I know that it can range pretty broadly based on those factors (and probably some others)

 

[Rookie]

Kokomo
No
Not yet
No

I'm just looking for general prices

 

[jasonh31]

I rent what I farm on a 50/50 share, however that is getting more rare. Father in law gets 200/acre about an hour north of Kokomo, non irrigated.

 

[rhinoabe]

My friend in Ripley Co. gets $200 a acre and he pays for 1/2 of the lime.

 

[Rookie]

$200/acre per month? Year?

 

[jasonh31]

Year

 

[BigMatt]

Do research on Google. Purdue has great resources that are Indiana specific.

 

[Rookie]

Nah, I'm not that curious just yet. My daughter and her husband are looking at a house that has four acres currently being used as farm land. I was wondering if it would be worth it to continue leasing it. Personally, it wouldn't be worth it, but it would be their choice.

 

[SMiller]

Nah, I'm not that curious just yet. My daughter and her husband are looking at a house that has four acres currently being used as farm land. I was wondering if it would be worth it to continue leasing it. Personally, it wouldn't be worth it, but it would be their choice.

Good luck finding someone willing to screw around with 4 acres...

 

[snorko]

https://ag.purdue.edu/agecon/Pages/Purdue-Agricultural-Economics-Report.aspx

Google the 2017 and/or 2016 Purdue Agricultural Economics report. Also maybe contact local farm credit services office.

 

[Rookie]

Good luck finding someone willing to screw around with 4 acres...

It's right on the edge of 80+ acres. It's been farmed for quite a while.

 

[gregr]

I`m old enough to remember when a guy got permission to hunt a farm by knocking on doors. I know, I know...the world has changed. I`m not a fan of the leasing agents, because it seems they price the ordinary guy out of hunting, unless you have a friend or family with ground. Just my opinion though...

 

[SMiller]

It's right on the edge of 80+ acres. It's been farmed for quite a while.

You keep leaving details out, whoever farms the 80 is going to be farming your ground, guessing it has had the same soil program so it should be good to go. I would see what they are getting for the 80 acres and knock $40 a acres off that price and you both should be happy.

 

[Ballistix]

FIL was getting $250/acre plus 20% of crop on 56 acres.
He has since passed and MIL sold off a lot of property. Now she has a guy farming the remainder for free.
She regrets that decision every time she pays property taxes.

 

[Rookie]

You keep leaving details out, whoever farms the 80 is going to be farming your ground, guessing it has had the same soil program so it should be good to go. I would see what they are getting for the 80 acres and knock $40 a acres off that price and you both should be happy.

Lol, I don't know what details to add. I've never thought about leasing farm land.

 

[Gary119]

IANAL......But you might want to look very closely before you rent that. DEPENDING, most people sign contracts to rent. Carefully read the contract. SOME might say something like if the farmer puts down lime or nitrogen he gets to farm that property for "X" amount of years (3-5??), NO matter what, you can't evict him. He may have a contract with the people now that will have to be honored.

 

[hoosierdoc]

What about leasing an outbuilding to grow tilapia?

 

[Rookie]

There's a few there.

 

[jblomenberg16]

Sound advice so far. Good chance before you even get to ask, the guy farming it now will approach you about it anyway, and will probably mention his current lease. If you get a good relationship built there now you'll have better times in the future when the lease price needs to keep up with inflation, etc.

Many farmers are willing to pay for all the input costs to work the land, just can't afford to actually buy it outright, so an annual lease helps them out. You won't get rich off a 4 acre lease, but you'll make enough to cover the property taxes + some extra.