Farm land rental rates have never been higher and determining a fair and profitable farm rent agreement is a challenge in today’s economy with recent record corn and soybean prices and record farm land values.
Negotiating a fair rental agreement that satisfies the land owner and the farmer is a challenge. David Bau, Extension Educator in Ag Business Management, will provide several ways; by examples, factsheets and worksheets to determine a fair farm land rental rate for both parties at a meeting scheduled for Friday, Nov. 15, 9:30 a.m., at the Brown County Extension Office, 300 2nd Ave. SW, Sleepy Eye.
Landlords, farmers and agri-business professionals should make plans to attend. These free meetings are made possible by the University of Minnesota Extension.
Topics covered at the meetings will include local historic and projected farmland rental rate trends, current farm land values and sales, a worksheet that will help determine a fair and profitable rental agreement.
Input costs for 2014, will be presented along with current 2014 corn and soybean prices. Worksheets will examine 2014 costs and what is affordable rent that a farmer will be able to pay in 2014, the rate of return to the landlord at current market values and examine flexible rental agreements.
Attendees will receive several informative worksheets and factsheets that will help to determine what a fair and profitable 2014 farm land rental rate is.