how much is water worth?

[bdog]

Thanks for the advice. They are not selling the land anytime soon. I have already tried to buy it, but they won't sell. They have it in a 7 yr CRP contract which pays them X dollars per year. We already have a handshake agreement that if they ever decide to sell I get first shot at it.

As to noise, etc I am the only one that lives within 1/4 mile of this well. They do not live on this property anymore. They used to live in the house I bought, but they moved to town.

I see some of your points on the legal advice, and I will give that some consideration.

Someone said $2/1000gal. It takes 27,154 gallons to put one inch of water on an acre so every time I water if I use 1" of water I am going to use 135,770 gallons for a cost of $271.54. Assume I water once a week for a 3 month growing season that is over $3000 for water which is way to much for this to be profitable.

 

[bczoom]

bdog,

My math came up with the same results you did.
A couple questions
Do you really need to water 1" per week?
Can mother nature help?
Do watermelons need that much water?
Are you going to grow in all 5 acres or does the house/lawn take up some of that acreage?

Goodoleboy's quote of $2/1000 is about what we pay for city water as well but I honestly don't think that well water would be of the same value. Outside of maintaining the well pump, there's no overhead, costs, treatment... of well water.

I would talk to the owners to see what they think would be an amiable price and work from there. Also consider/address the points others have mentioned (lease, failure of pump...)

 

[Highbeam]

It seems to me that there is no real value to them in that well. I would offer to purchase the well along with an easement for you to run the waterline and electrical service to your property. The older they are, the more they value the dollar and the less likely they are to get greedy (basicly they're fair) in my experience.

You want the whole well. Forever.

 

[goodoleboy]

The $2 for every 1000 gallon is the going rate from the rural water dist. which in Oklahoma is a state agency. Everyone pays the same rate farmers or residential from my understanding. I own 2 properties in 2 different water districts and its the same price.

 

[cowboydoc]

From a farming aspect that water could be worth more than the land! In the west and alot of the south where there is no rainfall water rights and well rights are oftentimes worth many times the value of the land. I can't say for sure in TX but if it was in the western states that water would be worth a heck of alot more than the $3000.

 

[hobbyfarm]

Like the commercial says: <font color="red">Priceless</font>

Here in our area we irrigate through the county. Water here is $24.00 an Acre/Foot. You should be able to buy it at a similar rate (+/-).