What’s happening with cash rent for farmland?

[furrowtickler]

“14 -15 $ a bu canola x 10 seems to be setting the rent”
run those numbers on cereals … realistic numbers
$7-8 x 10 … then it makes sense unless you’re doing canola/canola/canola

[furrowtickler]

Every area completely different though , depends a lot on the last 5 years

[Grain Farmer]

Every area completely different though , depends a lot on the last 5 years

Depends on how many giant farms in the area that will pay more than anyone else, just because..

[furrowtickler]

On Angelic website this winter most of the bidding started at 100 an acre then went up from there

Mostly SE Sask where good crops been the standard for 5/6 years straight
Every area different
Some areas have had very strong seasons back to back to back and rents reflect that , but it’s not everywhere .

[jamesb]

Its going to take more poor years to bring rent prices down. Most farmers are in pretty good shape and the demand for land and the possibility of obtaining farmland makes guys pay up. As time goes on prices will drop until bottoming in the future. There is always a lag time on this stuff. From what I see the US farmland rent values haven't fallen off a cliff and what happens down there is usually a year or two before what we see here in western Canada. I do see way more US farm bankruptcies now it appears than in recent years so I kinda think this is the shape of things to come. There will be a weed out of farms from bad luck, poor weather, and or bad decisions.

[ajl]

A farm youtuber from NE Montana, where crops have been poor the past couple of years, down sized this spring after their hired hand left last winter. Now dependent on only family labor they dropped a parcel of rented land and rented out some of their owned land, while continuing to farm larger blocks of mainly rented land. They have some equipment up for sale as well. Around here, one guy told me they had rented out a section of their own fairly good crop land at $145 last year already, while continuing to farm some poorer cheap rent ground they have had for a long time. They have cattle so they often seed green feed on that land so it works for them. That has likely proven to be an astute financial move as crop yields have been mediocre around here. Empty the pockets of the competition while there still is something in there.

[blackpowder]

Crop share, then the landlord can take a risk also.

In my experience here at least, crop share is the worst.
I'll boil it down to this. 10 hands/crops.
2 losers, 6 just at or above break even. 2 bell ringers.
Profits are capped on an increasing scale.
And you need the whole pot in the two ringers to cover losses in the 2 losers.
I believe MNP even came to same conclusion.

[fcr]

Had a visit today with a farmer who had his ritchie equipment sale last week.He said he got almost 30% more than he thought they would.Looks like ag.is alive amd well.High price of new i am sure is helping auction prices also.

[shtferbrains]

Is Monette still in business?

Looks like they will be seeding your land if you are renting to him?

A lot of if, buts, and maybe's?

Maybe it was too good to be true?

[LEP]

It ain't over until the fat lady sings. Daryl is getting abit experience from the school of hard knocks.

While I hear them cueing the music, there likely is a rabbit to pull out of the hat yet.

I think they need to get a better land marketer.