Minnesota Land Rental Rates Document Now Available

Jun 14, 2016

By Gary A. Hachfeld

The Land Rental Rates for Minnesota Counties document is now available on the Agricultural Business Management website at www.extension.umn.edu/agriculture/business. The document includes historical land rental data from farmers who are enrolled in the MnSCU Farm Business Management program and the Southwest Minnesota Farm Business Management Program.

Land rental rates are listed by county and by Minnesota Department of Agriculture regions. Average land rents for years 2011 through 2014 are listed. In addition, land rental rates for 2015 are listed including the average, the median and the 10th and 90th percentiles. The percentiles are a guide as to the range in land rental rates for that year.

Next to the column of 2015 rental rates are listed the 2014 USDA/NASS rental rates. These numbers will be updated later in 2016 and will be added to the document. They act as a comparison to the other rental data.

On the last page of the document is included a table showing land rental rate changes for the period 2011-2015 and 2014-2015 in percentages. This can be a comparison of how land rental rates have changed over time. For the 2014-2015 time period most rental rates decreased on average of 5 percent. However, one region showed a 15 percent increase which was due to several new acres of land being rented in that region in 2015 making the percentage increase rather than decrease.

Information in the document explains where the numbers originate from and how they are to be used. The rent data is not meant to be used to establish, set or fix land rental rates but rather as a beginning point from which to begin negotiating a fair rental rate between landowner and operator.

Source:umn.edu

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