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Honored Advisor

This takes the cake...................

In light of the lower prices now for corn and soybeans, I thought I'd share a story that I heard just a few hours ago.  I sold an old trailer to a farmer who lives about 30 miles south and west of me. He told me of a 875 acre farm in his area that just cash rented for $525 an acre with all of the money up front. This farm would be located in west central Ohio. He also said that this ground has been well cared for over the years. It is rolling ground with many waterways.  He also said that the current 3 crop (corn,beans & wheat) rotation be continued.   And no, he said that he is not the one who rented it.

Not sure what to make of it other than "God is Great, beer is good, & people are crazy.

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12 Replies
Senior Contributor

Re: This takes the cake...................

    Does somebody know something,or is it  just some rich investor looking for a tax rite off?

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Senior Contributor

Re: This takes the cake...................

Darke County has some 200 acre ground but this rolling ground with waterways is likely not that.
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Veteran Advisor

Re: This takes the cake...................

Roarin, what county is the farm located in? I know ground around Van Wert is pretty good and might be worth that.

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Honored Advisor

Re: This takes the cake...................

Blacksand,  Not sure.  It could be Van Wert ot Allen or Auglaize. I didn't ask.

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Veteran Contributor

Re: This takes the cake...................

Could be used to haul chicken litter. That is what drove northwest Iowa values.

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Esteemed Advisor

Re: This takes the cake...................

Regardless of where it is, it is not worth $525 in advance. Of course, crop insurance allows people to do crazy things. But still, locking in a big loss on any parcel merely drives profits on the rest through the floor. Maybe we will actually see some folks fail again. Been a long time since any real farmers failed (excluding "family farms" from the discussion). It is hard to fail with the subsidy floors but maybe some will be able to figure out how to do it :-)

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Highlighted
Frequent Contributor

Re: This takes the cake...................

To Time: that is just not true at all. Here in NW Indiana we have lots of irrigated flat black ground that rents for $700 plus per acre every year for seed corn and veggies. Get it right.

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Advisor

Re: This takes the cake...................

My first question would be; $525 per acre per year ? there are a few farms in north iowa rented for that.

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Esteemed Advisor

Re: This takes the cake...................

Wow, let's compare EC-ohio non irrigated corn/soy/wheat crop rotation to Ind Sands with irrigation for vegetable production. So, lets get it right! Good one. Have a great day everyone. Ohio weather is extremely variable remember. Like I said, some will figure out ways to fail. So, let's exclude irrigated vegetable sand soils from the discussion. We have friends in AZ that get 1000 to 1250 per acre cashrent for irrigated organic lettuce production. Guess you are right, 550 is cheap.

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