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Crop land cash rent
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JoeO(CMO) View Drop Down
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Joined: 11 Sep 2009
Location: Cent Missouri
Points: 2694 		Post Options Post Options   Thanks (0) Thanks(0)   Quote JoeO(CMO) Quote  Post ReplyReply Direct Link To This Post Topic: Crop land cash rent
    Posted: 14 Feb 2011 at 6:49pm

Is there a formula for figuring a fair cash rent on good terraced gently rolling crop land located on good road?



Edited by JoeO(CMO) - 14 Feb 2011 at 8:30pm




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Brian Jasper co. Ia View Drop Down
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Joined: 11 Sep 2009
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Points: 10508 		Post Options Post Options   Thanks (0) Thanks(0)   Quote Brian Jasper co. Ia Quote  Post ReplyReply Direct Link To This Post Posted: 14 Feb 2011 at 6:51pm
You might try Farm Bureau's web site. I checked once for my area. If I remember correctly they claim that their rates are an average for any given area.
"Any man who thinks he can be happy and prosperous by letting the government take care of him better take a closer look at the American Indian." Henry Ford
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John (C-IL) View Drop Down
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Points: 1654 		Post Options Post Options   Thanks (0) Thanks(0)   Quote John (C-IL) Quote  Post ReplyReply Direct Link To This Post Posted: 14 Feb 2011 at 8:55pm
Well, you can take the 5 year average yield times the market price you are using and divide by 3. i.e. one third of gross revenue.
 
The other way is to take 5% of land value.
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