Need some help with land rental, Regina region.

[GALAXIE500]

I’ve heard as high as $125 west of Regina.

Out here in my neck of the woods ( NW of Maple Creek, RM 141 ) if someone dangled $125 per acre cash rent , they would probably get a third of the farmland that is farmed out here. They sure would get all of mine. It would be kind of neat to take a summer holiday for a change!

[farmaholic]

Perspective.... My Dad told me my grandpa said to his older sons and his son-in-law that they couldn't/wouldn't pay for land that was selling for $5000/quarter(1950's-60's, have to ask which year). In 1991 I pay $50,000. Now it's probably about $320K. I said I would never see ten times my purchase price that my Uncle did. You never know.

So, moral of the story is land rents decades later for purchase cost decades earlier. I doubt land will ever rent for today's purchase price in the near distant future.

[zeefarmer]

I've been told as high as $140/ac around Swift Current. If you're doing cash rent, $100/ac is bare minimum.

[farmaholic]

I've been told as high as $140/ac around Swift Current. If you're doing cash rent, $100/ac is bare minimum.

Too much risk and I don't like work that much that I do it for nothing.
But I will never hit a home-run if all I ever do is bunt at the plate. What do the heavy hitters think?

[SASKFARMER]

If I am paying $140 a acre I will buy it first. Ownership is way better than renting, way better.

[zeefarmer]

If I am paying $140 a acre I will buy it first. Ownership is way better than renting, way better.

Totally agree with you saskfarmer. But even with land ownership, at our commodity prices today, our cost on that land with land payments and inputs would equal nearly $300 an acre, if not more. And that's on a pretty modest input and equipment budget. That's 45 bushels an acre of number 1 wheat, or 40 bushel an acre of durum. Those would be 5 or 10 year average yield around here.

I'm not looking to farm just to break even.

[bucket]

Totally agree with you saskfarmer. But even with land ownership, at our commodity prices today, our cost on that land with land payments and inputs would equal nearly $300 an acre, if not more. And that's on a pretty modest input and equipment budget. That's 45 bushels an acre of number 1 wheat, or 40 bushel an acre of durum. Those would be 5 or 10 year average yield around here.

I'm not looking to farm just to break even.

Well said ....throw in a harvest from hell and those 140 rents start to hurt a little even on good land????

[bigzee]

MNP said the most profitable farms are in that
3-5000 ac range. IMO farm what you own, and watch everyone else work for nothing renting all the high priced land.
Margins are so tight and to take your machinery over someone else’s land and and add more hrs doesn’t make sense anymore .... and I’m taking from experience. The little money you are making isn’t going to replace the machinery.
One investor I know of who I used to rent from is now expecting the tenants to also pay the land taxes once a new agreement is written up.
This will show how hungry guys really are.

[GDR]

If I am paying $140 a acre I will buy it first. Ownership is way better than renting, way better.

$140/acre would be equivalent to financing at $2800 per acre at 5%. Way better off to buy than rent.

Anyone paying cash rent that high and believes they are making money is not very good at math or history, hopefully they are much better at forecasting the future.

[SASKFARMER]

But if you own all or most of your land it’s easy and that is how multi generations take on more I guess. If my boys wanted land it’s not a problem on any amount. It’s is it a good investment and will it some day have a return.

I have investments in property that might make us money some day and some that we might walk away on in other countries do to political unrest. Shit happens it’s investing.

Sometimes you win sometimes you lose and you hope to break even.

[jazz]

[QUOTE]

Edible beans. Lentils. Peas.

Canning peas potatoes carrots onions. Export hay, dad had sugar beets at one time.

ha forgive me forgettting about the vibrant carrot export market.

Talking the majors here, anything reportable by stats can. If corn and soy make a real foothold in western canada it will be right in the area I mention.

[Oliver88]

I've been told as high as $140/ac around Swift Current. If you're doing cash rent, $100/ac is bare minimum.

These numbers seem like long term contracts that were signed when durum was $9 and lentils were 50 cents?
Buying would be a challenge in this region since if a retired farmer can get $100-140 per acre why would he ever sell?