farm land lease prices?

[Gun guru]

I have a buddy at work that owns 25 tillable acres and a farmer is renting it every year for $300 per year in Lapeer county Mich.
This farmer plants soy, corn, winter wheat.

Question....? Is my buddy getting ripped off?
I think he is....What is the going rate for leasing this land?
This farmer has been doing the $300/year for 3 years now.

 

[John (C-IL)]

reasonable rents in our area run from $150 to $200 per acre. The real high buck guys are going $300 to $340 per acre.

The only down side is that a 25 acre piece is not very efficient to farm size wise, but unless there are fertility, topography or soil type problems I'd say rents should start at $100 an go up from there given current crop and input prices.

 

[Nebraska Cowman]

That sounds cheap but whether he is being "ripped off" I don't know. Depends some on the condition of the land, accessibility, drainage, stuff like that. It may be all it's worth.

 

[Anonymous-0]

Just go to your farm service agent and ask him. He should know what the rent is going for in your area

 

[Anonymous-0]

That's $12/acre !! What are the taxes? He can put it in CRP for more than that. Of course if he asks for more from his "renter" he will be a no good S*B. Rent it from him/get land lease power of attorney call USDA office sign up for one of their programs, collect check and let it lay fallow.

 

[shawnspeed3]

I lease ground in lapeer Co. ......My farmer pays 45.00 an ac., and don't push him on price too hard cause he is just starting out.....other neighbors are leasing at 50-75 an ac. depending on crop. I haven't heard or seen any 100+ $ an ac. leases in our county, the yeild per ac. is just not there.....12 seems a little lite. Shawn

 

[Rick Kr]

I am getting $70 acre for 20 acres. this is connected to other land so it is easy to farm.

Most rates around Genesee County I have heard are from $45-75. I do my lease year to year.

A friend gets $30/acre in Sanilac County right where it touches NE Lapeer county. He thinks that is low, but the farmer keeps an eye on his buildings, favors etc. Works out for both of them.

I get jealous of these people saying they are getting $150-$300 acre. Is anyone in Michigan getting these kind of rates??

Rick

 

[Spook]

I have a friend of mine that gets $10 dollars a acre for his 30 acres. He tried to get more, but there aren't that many farmers left in this area. Little competition.

 

[Steven f/AZ]

I think the highest we pay in SW ND is around $35 per acre, some of it is around $25 per acre. Can't make a living with wheat with much higher rents than that... although the big farmers are paying up to $50 per acre just so they can get bigger.

 

[JT]

Is that 300 per year for 25 acres or 300 per acre? Around central IL, 300.00 plus per acre is not uncommon. He needs to go to local ASCS office, ask there, they know what land rents for in your area.
JIm

 

[Anonymous-0]

Land behind me rents for $100.00 per acre. Thats been the price for the last couple of years. I'm sure that will go up next year. Some rent for a 60-40 split or 70-30 depending on who pays for what. Farmer gets the larger amount. $160-PA. is the most I've ever heard of around here. Farm program [Set aside] averages about $80.00 PA.

 

[Hobbyfarmer71]

I have 45 acres tillable that I lease out for 1/3 of the crops, which are corn and soybeans rotated.

 

[Hobbyfarmer71]

I need to add, this land is in the Linwood area of Bay County, in MI.

 

[Anonymous-0]

Unless the 30 acres was located in Death Valley without any irrigation prospects or somewhere with a similar climate, I would let it lay fallow rather than accept $10/acre. In this situation I would investigate a share cropping arrangement.

 

[Anonymous-0]

I assume "set aside" means CRP. If true, than $80/acre is pretty low. The first year I received a base pay of $183/acre and have been told it will be increased for this second year. It is a fifteen year agreement, with a first year signing incentive and maintainance incentive in addition to the base pay. FSA also payed for 80% of the prairie grass seed cost and all of the establishment costs. Pheasants Forever also contributed to the seed cost. This isn't quite the crop rental rate, but close enough to warrent some inclusion. If $80 was all they would pay, I'd farm it.