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Showing posts from March, 2016

Trends in Farmland Sales, Rental Rates and Net Farm Incomes

By David Bau, Extension Educator

Recently I was asked to compare trends in Southwestern Minnesota Land Sales to average Farmland Rental Rates and SW Adult Farm Management average Net Farm Income for corn and soybeans. I was able to go back to 1993 for all three trends. The average farmland sales price is from nine counties in SW Minnesota including: Cottonwood, Jackson, Lincoln, Martin, Murray, Nobles, Pipestone, Rock and Watonwan Counties. The average rental rates come from average rents paid by farmers in the SW Adult Farm Management program. The average net income for corn and beans included government payments and was also from SW Minnesota Adult Farm Management program. Chart 1 below show the trends for Farmland Sales, Rental Rates and Net Farm Income for corn and soybeans from 1993 through 2014.

Chart 1. Comparison of SW Minnesota Average Farmland Sale Price verses Rents and Net Income