Land Values, Rents and Rent to Value Ratios Damona Doye Sarkeys - PowerPoint PPT Presentation

Land Values, Rents and Rent to Value Ratios Damona Doye Sarkeys Distinguished Professor Extension Economist and Regents Professor Roger Sahs Assistant Extension Specialist

Farm Real Estate Value, 2012 (% change) -2.2% 10.0% 2.75% -1.5% 7.0% 26.5% 5.0% 20.9% 3.4% 23.9% 7.4% 8.2% -4.5% 10.4% 3.7% -7.7% 22.8% 4.0% 33.5% 5.0% 13.6% -3.5% 17.5% NC 5 6.4% NC -1.1% -3.9% 13.7% 19.2% 5.2% 11.50 NC NC 26 1.4% 11.3% 2.9% 9.6% NC 12.0% NC -2.4% -7.9% 0.9% N/C 2.9% <0 9.1% 1-9 10-19 > 20 USDA-NASS data

US and OK Land Values 4,000 3,500 3,000 2,500 $/acre 2,000 1,500 1,000 500 0 US Pasture Land Value OK Pasture Land Value US Cropland Value OK Non-irrig Cropland Value USDA-NASS data (August 2012)

Crop Land Average Value by State, 2012 ($ per acre) 853 1,350 4,050 2,510 4,230 2,560 2,320 2,600 4,000 1,290 7,300 5,650 12,380 4,480 5,000 7,800 6,200 6,800 2,690 1,450 4,700 1,750 3,450 7,000 3,340 9,810 4,000 3,430 1,390 2,370 2,520 8,500 1,830 2,070 2,300 3,360 N/A 1,690 2,120 5,730 500 - 999 1,000 – 2,499 2,500 – 4,999 5,000 – 15,000 USDA/NASS data

Crop Land Cash Rent, 2012 ($ per acre) 215 58 29.5 151 130 143 115 94 47 79.5 50.5 108 142 72.5 235 176 68 130 122 175 58.5 212 33 89.5 72 60.5 49 87 130 110 267 70.5 91 32.5 200 94.5 37.5 74 52 99 98 N/A 36 25 to 50 76.5 103 51 to 100 101 to 150 >151 USDA/NASS data

USDA/NASS data

Change in Non-Irrigated Cropland Rent from 2011 to 2012 Increase >15% Increase 5 to 15% Change <5% +/- Decrease 5 to 15% Decrease >15% Not Reported USDA/NASS data

Average Annual Dryland Cash Rental Rates ($/acre) NW SW NC E State 32.81 Wheat 28.66 30.96 38.21 35.70 31.78 10-49 15-55 20-55 20-67 10-67 41.40 Alfalfa 41.61 32-50 29.03 Grain Sorghum 16-45 27.90 North central East Northwest Southwest Source: OSU/NASS survey, fall 2012

Pasture Land Average Value by State, 2012 ($ per acre) 810 570 490 620 1,500 1,210 2,130 590 1,250 2,500 450 2,600 3,000 660 3,200 3,100 13,500 920 640 2,800 4,100 950 1,820 2,450 4,400 3,580 950 1,150 2,300 350 2,850 1,930 1,550 4,200 1,560 N/A 2,300 500 - 999 1,000 – 2,499 2,500 – 4,999 5,000 – 15,000 USDA/NASS data

Average Pastureland Rent, 2012 ($ per acre) 5.90 24.50 14 17.50 34 4.80 46 38 17.50 35 5 4.60 21 28 16.50 11.50 26 20 11.50 2.80 19 28 16 N/A 6.50 0 to 5 18 12.50 5 to 14 15 to 24 25 to 50 USDA/NASS data

www.agecon.okstate.edu/oklandvalues USDA/NASS data

Change in Pasture Rent from 2011 to 2012 Increase >15% Increase 5 to 15% Change <5% +/- Decrease 5 to 15% Decrease >15% Not Reported USDA/NASS data

Average Annual Pasture Cash Rental Rates ($/acre) NW SW NC E State 12.40 Native 9.30 12.44 12.66 13.87 Pasture 5-15 4-30 8-21 3-33 3-33 11.61 19.27 Bermuda 17.36 18.99 16.61 6-35 4-50 4-50 20.70 Other 23.09 21.67 Pasture 8-50 12-30 6-50 16.10 North central Northwest East Southwest Source: OSU/NASS survey, fall 2012

US and OK Cropland and Pasture Rent to Value Ratios 6 5 Rent to Value 4 3 2 1 0 1998 2000 2002 2004 2006 2008 2010 2012 US Cropland Rent to Value OK Non-Irrig Cropland Rent to Value US Pasture Rent to Value OK Pasture Rent to Value USDA/NASS data

Two new websites: aglease.info & aglease101.org

www.agecon.okstate.edu/oklandvalues