Originally Posted by kwg020
Originally Posted by Ejp1234
Originally Posted by Dirtfarmer
Originally Posted by JamesJr
I remember giving $450 an acre for a farm and worrying myself half sick as to whether or not I could pay for it by farming it, but I did. I cannot imagine giving $10,000 or more an acre and having to pay for it by farming it. It would be extremely hard to do.

You can't. Simple as that, not with conventional commodity crops.

Now, maybe Hemp or some niche crop. Not sure about that. I'd have problems sleeping at night if I had that much in a piece of land, planning to live out of the proceeds, pay for equipment and service the note...

Not me...

DF


Corn 190/bu average at $3.75/bu = $712/acre revenue for summer crop.

Im not sure about Iowa, but here we winter crop. I have barley in now.

Barley 58/bu average at $5/bu = $290/acre revenue for winter crop.





We can only get one crop a year. You have to get down to about the Mason Dixon line or a little further south to get 2 crops a year.

Also in the early 1980's I seen guys go under owing $2500 an acre for ground. Of course, they also went into debt for new tractors and equipment borrowing against that ground and their crop. We also had a Jimmy Carter embargo that was not totally resolved by the early 1980's and that hurt too. I understand there are an increasing number of farm bankruptcy's going on right now as well. It's 1982 all over again.

kwg


That is true, although Corn was 2.00 a bushel and made about 140 bu/acre , but the real killer was 20% + interest rates for those guys who had land and equipment financed.