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Re: OT - Land rent
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Posted by Tim(nj) on January 04, 2005 at 20:28:04 from (209.50.154.160):
In Reply to: Re: OT - Land rent posted by Edchainsaw on January 04, 2005 at 19:35:53:
I have a couple small pieces of ground where the landowners pay me $50 an acre to farm it so they can get their property tax break (I keep the crop), and I still don"t make much of a profit on those 20 acres. The guys that got into bidding wars on ag land around here back in the late 80s quickly found out that this soil ain"t Iowa soil and you don"t get enough return on corn here to afford more than $30 an acre rent, and even that"s iffy now. The big problems since the late "90s are houses and regulations. $12,000+ an acre offers from developers makes the land disappear fast (how"s even $100 a year going to compete with that?), and the state is tightening the noose on whoever is left with manure management laws designed to "protect" the water by making it so hard to keep animals nobody will do it. This affects even the horse stables. If the horse stables go, I go, because 60% of my income comes from horse hay now, and much of that land can"t grow corn or soybeans because of the deer that I can"t shoot because the houses are too close destroy anything but grass. I really love it. One state agency is trying to preserve farmland, another encourages farmers" adaptation to the local market for economic survival, and two more agencies try to destroy what the first two create. OK I"m done ranting.
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