$2,500/a would be the starting point.
Landwatch.com
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Landwatch.com
You can search by state, county, etc.
That is a pretty hard question it would depend greatly on the quality of half tillable. That area is a little unique in that it is a very mixed market, some bto's which is short for big time operators "grain farmers" a lot of rec land guys and then a growing Amish community. I sold my farm in the Allerton area for around 1800.00 in 2011 this was rough land with little farming. Today that farm is worth 2500.00 easy. I have attended many 6-8 auctions in the last 2 years in that general area and 2500.00 wouldn't buy much.
....$2,500/a is about the starting price around there. Not the average. The type of ground you describe is probably $3,200-ish.
southcentral
Member
I turned down 3500 an acre last winter. My ground is 65% tillable 35% wooded. Most of my tillable is hill ground or good hay ground balance is bottom good tillable. I am about 7 miles from allerton. I probably should have taken it and ran but there just isn't much available for the size of farm I own to 1031 back into.
westpointhunter
PMA Member
Kaz
3,000 an acre is a starting point. With tillable at that CSR and any decent hunting at all...anything in Wayne is fetching 3,500 ^...comps are everywhere. Most PRIME rec ground with proven genetics and great income only sits on market for weeks if you are fortunate to even see a listing. Very tough pieces to find now.
3,000 an acre is a starting point. With tillable at that CSR and any decent hunting at all...anything in Wayne is fetching 3,500 ^...comps are everywhere. Most PRIME rec ground with proven genetics and great income only sits on market for weeks if you are fortunate to even see a listing. Very tough pieces to find now.
madplotter
PMA Member
Land prices are just crazy.
We just paid 3461/acre for 17.5 acres in Monroe county. Has a house but likely will be dozed. Problem is that the county expects you to put in a new septic system so at $8k -10k for the septic system, you can't rent it out and make money for 3 years. Roughest land in the immediate area 100% timber/scrub but I plan to clear about 3-4 acres in the center for an ag field that will help the wildlife and property taxes$$$. The thing is a total loser money wise but it borders our farm and it had high intrinsic value for us.
Anyone have any thoughts on a new septic system? Anyone think it is worth the hassle to mess with rent? Could probably fetch $350 - $400. My father in law said I would be surprised what people would live in...
We just paid 3461/acre for 17.5 acres in Monroe county. Has a house but likely will be dozed. Problem is that the county expects you to put in a new septic system so at $8k -10k for the septic system, you can't rent it out and make money for 3 years. Roughest land in the immediate area 100% timber/scrub but I plan to clear about 3-4 acres in the center for an ag field that will help the wildlife and property taxes$$$. The thing is a total loser money wise but it borders our farm and it had high intrinsic value for us.
Anyone have any thoughts on a new septic system? Anyone think it is worth the hassle to mess with rent? Could probably fetch $350 - $400. My father in law said I would be surprised what people would live in...
I love that area in good ole Wayne county. The guys in that area think they have oil & gold in their soil. CONSISTENTLY I get guys wanting to sell there for $1,000+ more per acre I can go down the road and buy for. Guy wanted to sell me a big cattle or pasture farm - income was crap, CSR was junk but it did have some nice hunting, he would not budge off of $4200-4500 depending on how much I bought. Had at least 6 other guys in that same scenario of $3,500-4,000 for stuff that you could easily buy a ton cheaper by going 20 minutes away. Often times to a better area as most areas I saw looked like they got piss pounded. It's a silly area. Go up to Lucas or Monroe and get better ground at lower prices.
Be curious what the CSR would average with the hay ground. Just noticed this post after I responded to market in general. If you're at an overall tillable portion CSR of over 50, I'd say $3k be no prob, be dependant what the hay ground averages the CSR to and that does matter. Yet, the market may be doing some weird stuff over the next year here - these grain prices should make things very interesting!
Thanks for the input guys. Yeah, low grain prices should change things a bit. The farm has 70 total tillable acres average csr of 54. About 40 acres averaging csr 74, and 30 acres in hay. Does anybody know what the cash rents will be in this area for next year??? And will the low grain prices affect the new crp contracts much???
As far as cash rents goes in that area 165- 200 an acre has been common the last few years. There was a big operation that came into that area from out of state paid crazy high rents and leased a lot for 3 to 5 years. They made it for 2 years and split not honoring there last years of the contracts. In that area if it is a 72 csr it is probably bottom land if it lays wet or is flood prone the value would be less.
54 CSR - Wayne county should easily allow all your open ground to be put on a corn/bean rotation of course. If it's not floodable - I'd say with current grain prices - you can either find a farmer who is going to put good levels of P&K & Lime on it for $150-200. I think you'd be able to find a guy who would rape the land & skimp on P&K & Lime or put zero down at all and get $225+. Honestly, most people will want to skimp on P&K & Lime, the majority, imo, so make sure you have in agreement they put P&K & lime at replacement rates and send you receipt. (Most people don't realize they are getting their ground raped each year on that level at it really hurts their land). Sounds like a nice piece that's very marketable, an aerial will be a huge factor as well.
madplotter
PMA Member
This is so true. When the land gets down it takes time and alot of $$ to fix it.
I assume getting a soil test done the best way to check to see how the farmer is treating the land?
madplotter
PMA Member
Don't be afraid to get creative with the farmer. Most of them are truly great people and will treat you like a partner. If they don't, be aware. Try to find a guy you click with and mutually plan out how you want to manage the farm. He will offer input and you can offer input and see where you shake out.
The farmer who rents our land has soil tests done every year and he always shares the results, great guy. He hesitates to share yield info
but he always does.We have an arrangement that I keep the rent consistent at about $50 - $75 under the high end in our area and he pays the difference for all of the tile and terrace work. Additionally, it is a big pain for him to get the modern machinery in the smaller fields but as a term of the lower rent, he does not doze fence lines. He cleared enough to get the combine in without scratches and damage. There are several ways for all involved to win...