Farm Land Rental Rate
I am looking to lease my land out to a farmer but I am having issues coming up with a reasonable rate as I am new to the process. How do I go about calculating a rate for the land the farmer wants to lease per month. I live in Brandywine
Prince George's County Maryland
Good question with a complex yet simple answer. The best method is to ask at least three local farmers if they want additional land. If they do, ask what they are willing to pay and under what conditions.
in this area we d not have standard formulas or even formula that get reasonable answers. Our cost of land ownership is typically greater than lease revenues. We can talk about an average rental rate but it has little meaning because of the variations across available lands.
Some resources that assist with developing a lease include:
On-line lease generator