Detailed crop share farmland lease. Costs and crops are shared by landowner and tenant. Provides for detailed division of costs.
Kentucky Farm Lease or Rental - Crop Share
State:
Multi-State
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Control #:
US-854LT
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Word;
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FAQ
Crop-share arrangements refer to a method of leasing crop land where the production (crop) is shared between the landowner and the operator. Other income items, such as government payments and crop residue, are also often shared as are some of the production expenses.
The traditional share arrangement for a grain crop like corn or wheat is one-third to the landowner and two-thirds to the tenant. Usually, the expenses paid, and crop received, are equal to the share i.e. the landowner would pay one-third of the expenses and receive one-third of the crop.
Sharecropping is a legal arrangement with regard to agricultural land in which a landowner allows a tenant to use the land in return for a share of the crops produced on that land.
Tenant farming is an agricultural production system in which landowners contribute their land and often a measure of operating capital and management, while tenant farmers contribute their labor along with at times varying amounts of capital and management.
Shareable PDF. Average Kentucky farm real estate values were $4,000/acre as reported in the annual Land Values Summary released by USDA on August 6. This was 2.0% higher than 2020 and the first-time average values have reached $4,000.
Average real estate value in Kentucky was $3,920/acre an increase of 2.6% from last year. Kentucky cropland value averaged $4,400/acre an increase of 2.3%, and pasture value was $3,060/acre, up 0.7% from 2019.
Most farmers find that a combination of both ownership and leasing is desirable, especially when capital is limited. For many new farmers, especially in areas where land is quite expensive, leasing land is often the best option.
Average real estate value in Kentucky was $3,920/acre an increase of 2.6% from last year. Kentucky cropland value averaged $4,400/acre an increase of 2.3%, and pasture value was $3,060/acre, up 0.7% from 2019.
Average sub-region cropland rent ranged from $60-210/acre on good ground, and $40- 150/acre on fair ground. Average sub-region tobacco rent ranged from $100-510/acre with a barn, and $50-310/acre without a barn.