How much does an acre of land go for in your area?

[foggy1111]

With the high crop prices currently.....the good ag land around here is renting between $200 and $350 an acre (and going up?) these days. Quality farm land is selling for $6000 to $8500 (and more) per acre in large tracts. No price is out of the question anymore.

An acre size lot on one of our more premium lake settings could cost $500,000.

One thing for sure.....dollars are not going up in value.

 

[deere755]

I just don't see how a farmer can pay that kind of money to rent land and then makeany kind of profit at all. I just can't see it! In these parts, farm land rents for $20-$30 per acre and only a big farmer can make it farming at those ratess. How can $700 an acre in rent possibly pay off.

I agree with you. I can't get it to pencil out. We have 3 big operators that moved into this area in the last few years. They come from several miles away with all new equipment. One of them had 10 combines going. Plus all the semis and tractors. I think if I had that kind of money I would just retire. I know for a fact that one of my friends bid $400 an acre and was out bid by one of these mega farmers. One of them farms 40,000 plus acres.

 

[Duffster]

I just don't see how a farmer can pay that kind of money to rent land and then makeany kind of profit at all. I just can't see it! In these parts, farm land rents for $20-$30 per acre and only a big farmer can make it farming at those ratess. How can $700 an acre in rent possibly pay off.

The top rents always seem to boggle the mind but obviously these guys know their numbers. We are talking extremely high end ground here. Probably hasn't seen below 200 bushels to the acre for years.

Figure corn was looking like it would be in the $7.50 range for next year and this ground would probably grow 250 bushels so that is almost $1900 an acre gross.

Now what I can't see is how the ground in your parts could be so poor that it is only worth $30 an acre. I think rent was that much here in the 50's.

 

[JamesHW]

We purchased our 89.5 acres in Saratoga County NY for $11.00 an acre and that included a house, barn and all contents (actually my Great Uncle brought the property in 1905).

I've been tracking what acreage goes for in the area and it looks like around $7,000 an acre is the going rate for wooded lots, not in a water district or zonned commercial, at least based on current asking prices.

 

[herd]

The top rents always seem to boggle the mind but obviously these guys know their numbers. We are talking extremely high end ground here. Probably hasn't seen below 200 bushels to the acre for years.

Figure corn was looking like it would be in the $7.50 range for next year and this ground would probably grow 250 bushels so that is almost $1900 an acre gross.

Now what I can't see is how the ground in your parts could be so poor that it is only worth $30 an acre. I think rent was that much here in the 50's.

The ground here is not poor at all, in fact, it's all black dirt with good sandy sub soil excellent for drainage. Irrigated corn can make upwards of 150-175 bushels/acre although ''no till'' yields a good bit less. Soys beans, corn, cotton, and peanuts are bountiful here, although very little corn has been planted in recent years due to the droughts that have been very bad in May and June, prime corn growing months.

I agree $20acre is dirt low (pun intended) but it is an old going back family to family thing but probably top dollar is $40/acre farming and $25/acre hunting rights. Up until recent years, maybe the last five, corn in these partsonly brought $2/bushel and I was told by my neighbor mega farmer friend that his breakeven was $1.80/bushel (this was in '04).

I guess it's all about quantity as you say, and at $7.50 I guess it could work out pretty decent profit if the volume is there.