$120 acre rent

[MBgrower]

Demand for rent is fierce, always demand full payment up front prior to seeding.

[farmaholic]

Some guys are expanding acres and their goal is total acres, not margin. Its become unhinged but we are getting good yields here, even this yr.

When I was expanding our farm it was never about keeping up with the Jones's. I'm not into swinging dick contests.
Would I like a bit more land....yup. But I don't want to rent it. If I was 25 years younger that attitude might spell the end to a farm, but things are way different now than then. It is cheaper to rent than buy. But that doesn't matter if you have nothing to show for it in the end.....except spinning your wheels.

[farming101]

It depends how hard you want to work, how much risk you want to assume, and how big a payroll you will have to float if you are going to farm it yourself. My back tells me I'm working hard enough.

[fjlip]

Just about everybody is WORKING at max around here. Hardly a break from spring till winter. Neighbor says it is max stress.

[jazz]

Our farm is at that critical junction where old equip will need major upgrading to continue. Been throwing wrenches too long. Do you make a $500k investment into decent equip or ride out what you have a for a few more yrs. and let the hungry take it over. No apprentices to move in after I am done, my girls like ballet and hate bugs, dirt and dust. They will be doing something else.

[makar]

Our farm is at that critical junction where old equip will need major upgrading to continue. Been throwing wrenches too long. Do you make a $500k investment into decent equip or ride out what you have a for a few more yrs. and let the hungry take it over. No apprentices to move in after I am done, my girls like ballet and hate bugs, dirt and dust. They will be doing something else.

And this sums up why I cut in half.

[bigzee]

$120 ac I will be at the lake if you need me, or at some golf course.

[STR1]

Our farm is at that critical junction where old equip will need major upgrading to continue. Been throwing wrenches too long. Do you make a $500k investment into decent equip or ride out what you have a for a few more yrs. and let the hungry take it over. No apprentices to move in after I am done, my girls like ballet and hate bugs, dirt and dust. They will be doing something else.

Depending on what parts of your equipment line needs updating, with todays prices you might spend the $500K and still be throwing wrenches.

[farmaholic]

Depending on what parts of your equipment line needs updating, with todays prices you might spend the $500K and still be throwing wrenches.

They all break.... new and old.

[helmsdale]

Honest question... would you be better off calling a mobile mechanic for breakdowns and booking all the equipment for winter service rather than purchasing depreciable iron?

[farmaholic]

Honest question... would you be better off calling a mobile mechanic for breakdowns and booking all the equipment for winter service rather than purchasing depreciable iron?

Shop rates and parts at stealerships are in the stratosphere.

13 inch Brandt auger transition boot between the swing tube and main tube is $195.00!

18 inch diameter by 12 inches long. Nothing to it. I complained when we bought it it was too tight in the transport position. An auger is in transport position the majority of time...not in use. Ours is starting to split now.....only third season.

[Flatlander]

One reason not to rent it out is the mistrust of this rental rate lasting. It is likely stupid I know but I remember 15 years ago I rented a half section, 100% farmable land from a guy for $20/ acre. He told me after we made the deal that his ad had only received 2 offers, my $20 and another guys $10. Since then this land has been sold and has had 4 different renters once my 3 years term expired, and the rate is north of $70 as the $70 guy told me he was outbid but he didn’t know by how much. A near by friend with land in the same area said he is getting $100 per acre on his recently rented land. If I sell my depreciated iron I’ll never buy back in. Yet I’m having trouble coming to terms with buying new equipment that has doubled in price the last few years. What to do? First world troubles of prosperity. As a long term Sask farmer I have no frame of reference.

[farmaholic]

Flatlander. Re: no tenants and cheap rent.....

But its different this time....or is it?

[the big wheel]

One reason not to rent it out is the mistrust of this rental rate lasting. It is likely stupid I know but I remember 15 years ago I rented a half section, 100% farmable land from a guy for $20/ acre. He told me after we made the deal that his ad had only received 2 offers, my $20 and another guys $10. Since then this land has been sold and has had 4 different renters once my 3 years term expired, and the rate is north of $70 as the $70 guy told me he was outbid but he didn’t know by how much. A near by friend with land in the same area said he is getting $100 per acre on his recently rented land. If I sell my depreciated iron I’ll never buy back in. Yet I’m having trouble coming to terms with buying new equipment that has doubled in price the last few years. What to do? First world troubles of prosperity. As a long term Sask farmer I have no frame of reference.

Great post. This describes the situation many farm families are facing. There ought to be an industry plan and industry assistance for farm families to continue farming. We re seeing the speculators drive up costs for all of us playing their money games and who loses and wins? If your getting out and more often than not you have to get out taking the higher price of land but still just paying off debts to get out.
FCC. Canada’s lender is backing and supporting this game to continue how many times have we read about the failed loans with not enough security for the large buy all new equipment jokes we all knew were doomed before they started yet touted by reporters and the industry and government as the way to go. yet farm families can’t get loans with ample security. I ve seen it over and over so many neighbors had said it and now are gone. Most living a hard life now having devoted so much to their farms.

It’s become a sick run away train.
If you had the fortune of having owned enough when prices were low and had strings of good crops mostly by luck let’s face it luck of weather you ll be alright and that’s great but if you ve been in areas where the weather has not cooperated the government has propped up this fake agriculture expansion that the numbers just don’t add up to instead of helping the farmers they should have.

I say this because another neighbor announced having a spring sale will be done rents too high input dealers charging 19% interest when they all get near no interest loans and employee grants from our government, further to haul higher price for seeds a crop insurance with a formula that destroys you instead of helps you when you have a run of bad years in a row. Gotta bring that coverage down right? *** losers.
So to fix this let’s spend 4 billion on water project for a select few but yet have no money for programs that ought to be in place. I wouldn’t say that if our competing countries did not do this kind of support. But the fact is they do.

[bucket]

There is an article about farmers that said they shouldn't own land....

Basically then you are owning or leasing depreciating equipment.... And trying survive by out bidding someone for land....

FCC is backing this nonsense.....and the government put the policy in place for investors to accommodate the rental bidding war....


It ends when landlords are forced to start farming again or investors run for the hills. ..

I was working off farm in 2007 and people were paying to have their land farmed...