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Senior Contributor
Posts: 605
Registered: ‎04-09-2013
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Re: Iowa Cash Rental Rate Question

BA & Jim,

 

Thanks to both of you. This helped.

 

Our situation is that the recently inherited property has been rented to the same guy for the past forty eight years. Great guy, friend of the family, great farmer, and great manager. Check, check, check, and double check. 

 

The current monthly rate, however, is 15% below the average reported on the 2018 ISU Extension Cash Rental Rate report by our county and quality of farmland. 

 

So, the question is not really about trying to get the highest rental dollar/acre from the current farmer, but more about bringing the agreement within the market norm. Obviously, at the farmer’s advancing age, we will eventually need to put the property up for new rental bids too.

 

Thanks again for your insight.

Packard