What is in this article?:
- Farmland value continues upward climb
- Upward trend
- Value of U.S. cropland and cash rents has trended upward since about 2004, with a U.S. average value in 2010 just above $3,000 per acre and average cash rent just below $120 per acre.
- Increase in agricultural receipts has pushed up U.S. farmland value.
Doye said value of U.S. cropland and cash rents has trended upward since about 2004, with a U.S. average value in 2010 just above $3,000 per acre and average cash rent just below $120 per acre.
Values and cash rent for Oklahoma have leveled off since 2008, peaking at about $1,200 per acre for non-irrigated cropland and slightly less than $30 per acre for cash rent. Cropland value shows a significant increase since 1998, from about $600 per acre to almost $1,200 per acre. Cash rent has been mostly level over that same period, ranging from about $25 per acre to a high of $30 per acre around 2005.
Pasture land values in Oklahoma have increased from about $400 per acre in 1998 to just more than $1,000 per acre in 2011. Pasture cash rent has gone up from about $8 per acre in 1998 to $11.50 per acre.
Doye also discussed rent-to-value ratios for cropland and pasture. For the United States, cropland rent-to-value ratio declined from 5 to just under 4 from 1998 to 2011 with the lowest point, 3, occurring around 2007 to 2008. For U. S. pasture, rent-to-value ratio dropped from 2 to 1 during that same time span with the biggest dip beginning around 2005 and then leveling off.
In Oklahoma, non-irrigated cropland rent-to-value ratio dropped from 4.5 to 2.4 from 1998 to 2011. For pasture in Oklahoma, the ratio moved from 2 to 1 during that period.