In case anybody was worried about land prices...

[Crghss]

Farming is absolutely the hardest physical work I’ve ever done. Thats why I don’t do it.

I worked with a guy, we where around 15, whose only dream was to own his own farm. I just stared at that dudes skull trying to figure out what was wrong with his brain.

He‘s been running his own farm for over 30 years and am grateful that he does.

 

[CorbLand]

I hear this often in relation to Oil. That it is subsidized. But can find not evidence of it. I’d like to know because how can we change something if in fact we don’t understand how it’s done. I absolutely don’t want oil to be subsidized.

I should have said energy not oil in specific.

 

[Afhunter1]

I’m always the one trying to swim the wrong direction. I have no family that farms but my parents have a 170 acre farm in PA. It was an old race horse farm but it was pretty run down when they bought it. They have always leased it out to the neighbors but they have both passed away so about 3 years ago I decided that I am going to raise hay and cows. I have about 50 angus now and all my hay equip is bought and paid for except a 30k loan on a tractor. I have a ton of money in this farm and have only sold about 2,500 worth of beef. Ha ha. I think next year my outflows will not be higher than my inflows but we will have to wait and see. I do have a 2021 duramax with leather seats but that’s because of my other jobs…accountant, landlord, investor, and anything else that catches my eye.

If I had to buy land too there is no way I could get into farming in this area and make it pencil out and I haven’t got any govt cheese yet. We shall see…..

 

[River_Hunter]

The market is absolutely insane right now..

 

[alcvndnb]

I'm convinced in this market, I'll will never afford land in iowa.... that's why we are moving to SD!

 

[hunt1up]

Some farms are big, some are small. And just because a guy is a farmer, it doesn't instantly mean he's good at it or good at business/finances. My best friends are farmers and I know a ton of others.

Some types of farmers I know:

1. My one friend farms about 600 acres(half family owned ground) and that's a small farm around here. He operates all paid for equipment and has a low/no debt model. He's extremely in tune with his books. He works another job and runs the farm on the side, generally hitting it hard for a few weeks in the spring and fall. He'll be the first to tell you that a lot of farmers are bad at accounting. He was also offered PPP money when he's the only full time employee. He actually turned it down to the surprise of his accountant. This friend of mine would low to grow his farm but he doesn't play the game like the larger ones will so growth may be slow or not at all. He's ok with that.

2. An acquaintance of mine farms about 1200 acres. Family ground is maybe half of it if I recall correctly. This farmer has ZERO problem with debt and creative accounting. He actually had a negative personal income a few years ago but has a brand new $80,000 truck and is building a house. He's very intelligent and knows the game inside and out. Any tax advantage or program he can get his hands on he'll use.

3. Another good friend farms 2800 acres, half family owned ground. Has some paid for equipment but will play the game on new equipment to get deals on depreciation and such. He too is very in tune with any accounting advantages or goverment programs that are out there. I love him to death but when I'm there after work having a beer there's plenty of bitching about the politicians and big government.

4. There's a few mega operations that are very different from the ones above. One particular farmer that for a short while I leased a hunting spot from farms 16,000 acres. Lots of generational wealth. This guy basically started on 3rd base but acts like he hit a home run when he scores. They farm ground that's hours apart. When you go by the farm there's 5 of the newest biggest green tractors on tracks, or in the fall 5 brand new combines. These guys will always win the bid to custom farm, play all the games on equipment purchases, get every tax break and subsidy, whine and complain, but then act like they're gods gift to farming. These are the types of operations that will jack land prices and not think twice about it.

I guess all that typing was to say that not farms are created equal. Like any business or in the population as whole, you've got smart and dumb, honest and dishonest, good and bad. Farming is no different. It is an interesting industry in that it's largely rural conservative folks that are highly intertwined with government subsidies and programs. It's entertaining to watch at the very least.

 

[jjohnsonElknewbie]

That whole Ukraine bs is a distraction for obvious reasons why our economy is in the toilet. Ukraine doesn’t produce crap. Russia is Europe’s bread basket for grain, but this little war over in itty bitty Ukraine next door has little effect on their domestic farming production.
Like these gas prices??? The war on Ukraine is a sorry excuse old man is using. We are sitting on more petrol than Saudi and we have viable means of extraction. We have never relied on Russian petrol, nor are we fueling war efforts in this conflict.

Agree with you and was just quoting the article

 

[jjohnsonElknewbie]

Government programs:

These are supposed to help keep the poor struggling farmer afloat. What they have really done over time is inflate the cost of land. Here are a few examples of said programs:

-LDP payments
-CRP programs
-subsidized 1st time farmer loans
-artificially low interest rates for the last 12 years (this is not a program specifically for farmers, but it has contributed to higher land prices)
-heavily subsidized crop insurance
-ethanol mandated in fuel-this drives up corn prices and gives us fuel that clogs up carburetors
-large payments for soybeans during the Trump administration for the tariffs
-a ridiculous amount of money during Covid.

And this is how the dependency was born...

It’s not easy money, it’s hard work. Their income is justified and deserved. I just don’t understand how farming is the only profession that they lose so much money every year they can manage to keep the business for 4 generations.

Not to be too crass, but the most often given answer for this question is, "...because they're feeding the world."

Look, there is a HUGE difference between farming in the midwest and ranching anywhere in the US. And there's also a huge difference between guys that only farm vs. the guys that farm and raise livestock.

The big farmers around here that don't run livestock work about 12-14 weeks out of the year and only truly put in any long hours during planting and harvest. With the technology they have available in tractors, planters, and combines, they barely even steer anymore. Planters are driven by the electonics and use mapping software and sensors at the individual row level to know when to drop seed and when not to. The machines themselves are climate controlled with air ride seats and suspension. Yes, they have equipment breakdowns that are costly and time consuming, but these aren't the early 2000s and certainly not the 90s or 80s. Guys aren't out cultivating and side dressing in open air tractors under the sun. People aren't walking beans or riding bean buggies. Agriculture runs on technology from the seed to grain bin.

The guys that have cattle and hogs and also farm truly work their a$$e$ off around here. I worked in ag in the late 90s for the Garst (aka Garst Seed) Company for Steve Garst. I mostly worked on the chemicals and fertilizer side but pitched in wherever needed working cattle, hauling sileage, etc... I would never go back given the low wages and high risk, especially on the cattle side. Calving and vaccination seasons sucked, and I got ran up and over gates by red-eyed, slobbering cows on more than one occassion when they came screaming out of the head gate. I was glad I only had to "cowboy" part of the year.

 

[southLA]

Look, there is a HUGE difference between farming in the midwest and ranching anywhere in the US

This must be absolutely true because

The big farmers around here that don't run livestock work about 12-14 weeks out of the year and only truly put in any long hours during planting and harvest.

this is 0% true in my experience lol. Us boys down south must have it hard. No one ever called me a smart one...

 

[jjohnsonElknewbie]

this is 0% true in my experience lol. Us boys down south must have it hard. No one ever called me a smart one...

Non-livestock producing farmers...

In the spring:
1- Pick up or receive seed
2- Fertilize (if not done in the fall)
3- Spray pre-emergence
4- Work the ground (usually field cultivator or conditioner)
5- Plant
6- Spray post-emerge

Summer:
-Meet for coffee at 6am every day at the local gas station or elevator
-Go to farm shows
-Prep harvest equipment
-Haul grain

In the fall:
1- Harvest- combine, auger cart, haul grain to elevator, ethanol plant, or personal bin site
2- Fertilize or lime
3- Work the ground
4- Winterize equipment

 

[mossyoak52]

Lol makes my parents farm seem like a bargain, 480 acres with two houses, sheds etc. For 4.5 mil And we can't get any interest

Hmmm I wouldn't know why. Maybe drop the price down to 1-1.5 million and you might get at least a glance

 

[mossyoak52]

This must be absolutely true because

this is 0% true in my experience lol. Us boys down south must have it hard. No one ever called me a smart one...

Defineate a very true statement huge difference in farming vs ranching not even close

 

[Bijoukid]

Hmmm I wouldn't know why. Maybe drop the price down to 1-1.5 million and you might get at least a glance

Lol modulars with a small garage and bad water are going for 4-500k right next door.

 

[mossyoak52]

Non-livestock producing farmers...

In the spring:
1- Pick up or receive seed
2- Fertilize (if not done in the fall)
3- Spray pre-emergence
4- Work the ground (usually field cultivator or conditioner)
5- Plant
6- Spray post-emerge

Summer:
-Meet for coffee at 6am every day at the local gas station or elevator
-Go to farm shows
-Prep harvest equipment
-Haul grain

In the fall:
1- Harvest- combine, auger cart, haul grain to elevator, ethanol plant, or personal bin site
2- Fertilize or lime
3- Work the ground
4- Winterize equipment

So what do you think ranchers out west do all day ?just ride their horses around looking at their cattle ?
They work every bit as hard as a farmer
Don't see many farmers out herding cattle
Repairing fences tending livestock trying to keep predators away in te middle of January but I see ranchers doing it everyday out here

 

[mossyoak52]

Lol modulars with a small garage and bad water are going for 4-500k right next door.

That's still a far cry from 4.5. Million
What's it's assessed/ appraised value ?

 

[cjdewese]

Defineate a very true statement huge difference in farming vs ranching not even close

Most of the AG farmers I know do a bit of livestock just to stay busy year around. There is always something to do on the farm but it's completely different with animals vs plants.

 

[Btaylor]

Non-livestock producing farmers...

In the spring:
1- Pick up or receive seed
2- Fertilize (if not done in the fall)
3- Spray pre-emergence
4- Work the ground (usually field cultivator or conditioner)
5- Plant
6- Spray post-emerge

Summer:
-Meet for coffee at 6am every day at the local gas station or elevator
-Go to farm shows
-Prep harvest equipment
-Haul grain

In the fall:
1- Harvest- combine, auger cart, haul grain to elevator, ethanol plant, or personal bin site
2- Fertilize or lime
3- Work the ground
4- Winterize equipment

Left out at least one re-plant and sometimes 2 due to flooding/excessive rain in the spring list and the summer list doesnt mention levee gates, or water for rice nor dealing with watering beans that arent under a pivot. Whole slew of other stuff not touched on for southern farming too.

 

[mossyoak52]

Most of the AG farmers I know do a bit of livestock just to stay busy year around. There is always something to do on the farm but it's completely different with animals vs plants.

Yeah this is true I've thrown many a bale of hay in my younger days might have gotten more done if we spent more time stacking bals & less time
With the farmer's daughter

 

[Dos Perros]

Non-livestock producing farmers...

In the spring:
1- Pick up or receive seed
2- Fertilize (if not done in the fall)
3- Spray pre-emergence
4- Work the ground (usually field cultivator or conditioner)
5- Plant
6- Spray post-emerge

Summer:
-Meet for coffee at 6am every day at the local gas station or elevator
-Go to farm shows
-Prep harvest equipment
-Haul grain

In the fall:
1- Harvest- combine, auger cart, haul grain to elevator, ethanol plant, or personal bin site
2- Fertilize or lime
3- Work the ground
4- Winterize equipment

So three quarters of the year they're working 80 hour weeks.

 

[jjohnsonElknewbie]

So what do you think ranchers out west do all day ?just ride their horses around looking at their cattle ?
They work every bit as hard as a farmer
Don't see many farmers out herding cattle
Repairing fences tending livestock trying to keep predators away in te middle of January but I see ranchers doing it everyday out here

You missed my point. Farmers without livestock, in my area at least, generally prescribe to the routine above. They work long hours roughly 16-18 weeks per year from the comfort of climate controlled vehicles.
Famers with livestock work their a$$es off all year long. And ranchers, especially western ranchers on sprawling lands with mountains, rivers, predators, etc..., may work even harder.