What’s farmland selling for in your area(s)?

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benelli-banger

Well-known member
Not a lot has sold real recently in my areas, but farmland was consistently hitting 8k in the last 6-12 months…some exceptions either side of that #, but kinda curious…trending higher? Lower? Staying the same? It kinda blew my mind when a 1/4 hit a million bucks, but it’s double or triple that in many areas not too terribly far away. I watch “Machinery Pete” with regularity, and find myself thinking about the #’s that farmers are working with…cash rent started hitting $200 quite a few years ago, not sure it’s hit $300, but $250 for sure….a good bean yield seems to be 50+ bushels, and corn in the 175+ range seems pretty strong. Both of those #’s are being exceeded this year in some areas, but lots of variation even amongst individual farmers, as is always the case. Curious what kind of yields the “I” states routinely hit? Anyplace hitting 100 bushel beans? 350 bushel corn? Trying to understand the economics of land prices a bit…I’d never own a restaurant, or farm…couldn’t deal with the stress and the demands…but there are aspects of farming that are appealing, especially 75 years ago…seems like it may have been simpler and a bit more idyllic…probably a mirage. Cattle have been super strong for awhile, great for those that have them…I spend lots of time around farmers, always fascinates me thinking about the totality of the occupation…crap, just keeping the machinery operating would be a nightmare (for me, at least)…interesting life.
 
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I saw some pretty good ground a while back for 8k an acre. That's pretty cheap here. Seems like recreational/ hunting ground is going higher. Most farmers I know are pretty small. They are holding on but starting to think about selling. Same old story. Kids don't want anything to do with farming.
 
my closest farmer buddies have one or more kids taking over…I’m talking 3-4 families, certainly a small sample size. I also know of MUCH infighting and conflict over how assets, primarily land, are being divvied up…almost every family, frankly…the family tree branches in many directions, but lots of those branches are in conflict with one another…
 
Yup, two of my best friends. One, all siblings' nieces and nephews had nothing to do with his dads and uncles farms. He worked for his uncle for free for 40 years, while his uncle was a railroader, along with his and his sister's farm. After his uncle retired he sold all the stock because it was too much work. My buddy took care of them all through the week for all those years. That same uncle used my buddies' tractors and such all those years. When he died his uncle left the farm to be divided between 7 other nieces and nephews. Then his sisters told him that it's about time they settled up on their farm. Settle up?? You mean sell the farm and then split it? So far, he's held them off. My other buddy has three brothers. None of any of their kids want to farm. They are all in their 70's now. They quite farming last year and started leasing all the far ground out but kept all the cows. Two want to sell two don't. They own several hundred acers. So now they are slowly selling off. Sad but that's the way it goes.
 
Investors have driven land prices around here. 15k/acre is not unheard of. Farming/ranching is still the best job in the world. I report to no one save Mother Nature. I ask my pals to go on hunting trip they say let me check with work. That blows my mind. This is my life not yours. Anyway, it’s tight right now, margins razor thin.
 
Tomahawker said:
Investors have driven land prices around here. 15k/acre is not unheard of. Farming/ranching is still the best job in the world. I report to no one save Mother Nature. I ask my pals to go on hunting trip they say let me check with work. That blows my mind. This is my life not yours. Anyway, it’s tight right now, margins razor thin.
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Good grief that’s 10 million for a section..
I’m so lucky I was able to grow up on the farm, it’s gone now but what a great way to live!
 
Quailnerd said:
Good grief that’s 10 million for a section..
I’m so lucky I was able to grow up on the farm, it’s gone now but what a great way to live!
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10-12,000 acre here under pivot
No fence lines or ditches and no cover
Looks like a moon scape now after the fall work and winter wheat planting
 
Benelli where are you from. North Central Nebraska., under pivot not uncommon for 6 to 8K ground to be sold but also a lot of 4 to 6k ground. Parts of NW Iowa I am familiar with 12 to 20k and higher.

Areas should be included in responses for comparison, please.
 
I will give experience from two different areas of the country. Here in north central Ohio where I live it has been running 15 to 17k depending on exact location, if it has been tiled and who was at the sale. The most recent private sale I know of was for 500 plus acres and was 20k an acre. There was some “other” factors in play that pushed the price to that level. Another factor is solar. There are over 1000 acres within 1.5 miles of me that have signed purchase agreements with land owners for $49,000 AN ACRE if they can get the permit to install the solar field. If that happens it will drive future sales higher because those guys that get paid that money aren’t gonna pocket it. They will be looking to replace that dirt and will have the cash to pay up for it. Crazy.

The area in SD we hunt and own a quarter in has been increasing in price steadily the last 4 -5 years. This is east river and north of the interstate. One of our landowners we hunt sold this fall. That property brought $8100 for a mostly tillable 125 acres. Another quarter that was 50-50 tillable and pasture brought $6400 and the final quarter that was pasture brought $4100. The former pasture will be broken and be row crop next year. Fences along the roads have already been removed and dirt graded so can be farmed right to the edge and eliminating two half mile stretches of ditch that many people road hunted and consistently killed birds off of. Can’t blame the farmer as he is trying to make a living but hate to see the cover go away.

As far as yields go. Here in Ohio our beans averaged 75 and our corn 245 an acre. This area of SD where the above sale happened averaged 40-45 bushel beans from all I talked to and 175 bushel corn roughly.

Not sure where his is all going with land but over the last five years I can remember the first ground in this area of SD that sold for 4k, 5K, 7k and 8k. All my contacts have said the same thing, it’s not worth that much. But had you “overpaid” at 4k 3-4 years ago and sold at 8 k today you would have doubled your money plus what you made yearly in rent. Not a bad return. We bought ours 5 years ago. Got one of the last “cheap” buys IMO before prices shot up. Was some factors that helped us but to be honest just got damn lucky. Pretty certain could sell it tomorrow for 2.5-3x based on very similar recent sales in the area. No plans to. CRP contract expires in 2027. That may be interesting. Time will tell.
 
Brentbullets said:
Benelli where are you from. North Central Nebraska., under pivot not uncommon for 6 to 8K ground to be sold but also a lot of 4 to 6k ground. Parts of NW Iowa I am familiar with 12 to 20k and higher.

Areas should be included in responses for comparison, please.
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Live in Duluth, MN…hunt and such in SE SD…bot a 1/4 25 years ago, put it into permanent conservation easement 20 years ago…
 
I understand why all generations who farm, especially younger ones, are forced to farm every extra square inch of ground that they can. It doesn’t hurt for us hunters to know what programs are out there habitat-wise, especially for marginal farmground, and be able to talk somewhat intelligently about those programs, as not many other people may ever see the ground that we’re hunting…I’m legitimately excited about sloughs, dry creek beds, low ground, dirty ground, tree belts, etc…I like speaking to the landowner about those areas, and the fact that I’m thrilled they exist…and encouraging the kids, grandkids, great grandkids to hunt only helps our cause…I see grandpa’s doing good things habitat-wise when there are grandkids who like to hunt.
 
Seeing the family struggles play out in real time to a degree on a farm we hunt. Three brothers all farmed together after coming back from serving their country. Amassed a large land base and did well for themselves. Each had multiple kids. The last of the three brothers passed this summer. One kid from 2 of the brothers never left the farm and are still there. The third brother has a kid that left but now that dad and uncles are gone think they should be involved and running things even though still works full time in town. Causing some big issues. Also all three wives of the brothers still alive so not fully to the next generation yet. Sure hope it all works out well. The two that never left the farm work their butts off and a vacation to them is going away for 3 days. I feel a little guilty when we are able to be out there for 10-14 days straight.
 
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