Replies to This Discussion

landownerPermalink Reply by Keith Mauck (Site Publisher) on November 3, 2008 at 13:15

With the price of crops, you may want to split the expenses and profits. My grandmother does this and it has been especially beneficial for both parties.

Oil & Gas ProPermalink Reply by The_Baron on November 4, 2008 at 5:02

What happens in a bad year?

Can you take a loss if the crop doesn't come in?

I would try to get a guaranteed payment myself. The property tax benifits to having your land classified as farmland are valuable enough!

landownerPermalink Reply by getoverit on November 4, 2008 at 7:06

How exactly does that work? I've never heard of anything like that. How many acres does your grandmother have that is being farmed? Thanks!

landownerPermalink Reply by Keith Mauck (Site Publisher) on November 4, 2008 at 9:23

She has about 90...it does include some risks, but depending on how much you can get on a traditional lease per acre, you could probably make as much in one growing season sharing costs/profit as you would in 2 or 3 seasons leasing it. There's always crop insurance to protect against loss.

She splits the cost of the seed, the fertilizer, the fuel, the chemical and then they split the profits after harvest.

What kind of results did you get this year, in terms of bushels per acre? That's ging to dictate whether it's a good idea.

Oil & Gas ProPermalink Reply by The_Baron on November 6, 2008 at 4:50

How do go about finding a farmer? Will the parish extension office be able to help?

landownerPermalink Reply by Checkmateking on November 6, 2008 at 5:37

We used to lease our land to a farmer, almost a thousand acres, its not much money at all.

landownerPermalink Reply by Bobi Carr ("parker") on November 6, 2008 at 5:41

getoverit,

I lease my for cattle.

As CMK said not much money at all either. But someone is at least taking care of it. It is pretty expensive to maintain yourself.

If you lease for cattle or livestock, make sure that they have insurance and indemnify you if stock gets loose.

Oil & Gas ProPermalink Reply by The_Baron on November 6, 2008 at 5:53

Should probally do the same for agriculture. You don't want someone elses mistakes or aceidents causeing any liability problems.

landownerPermalink Reply by Bobi Carr ("parker") on November 6, 2008 at 6:18

I was told I could have gotten a little more for my lease. I chose the present lessor because I knew he was a prudent careful person. I have not been sorry.

Oil & Gas ProPermalink Reply by The_Baron on November 6, 2008 at 8:41

Agood lease from a good company is worth more than a few extra bucks in your pocket.

Permalink Reply by stroud on November 7, 2008 at 2:24

have farmed and ranched for many years..........the only excuse for doing this is the hope someday a nice landman will come a long with a check.......split some costs with an insured tenant for a share of the crop (maybe 1/5)