Montana Cash Rents - USDA NASS 2018
Posted on: Oct 2, 2018
The recently released USDA NASS Agricultural Stats for Montana reveal a mixed bag.
Rent for non-irrigated cropland was reported as $26.50 / acre, up $0.50 / acre from 2017. Irrigated cropland values were not reported.
Though farmland rents are not explicitly tied to commodity prices, there is a close relationship between the two. For August 2018, wheat prices were reported at $5.32 / bushel, a increase from $5.13 / bushel in August 2017. Unlikely wheat, barley prices showed a decrease year-over-year falling from $4.63 / bushel in August 2017 to $4.53 / bushel in August 2018.
As for grazing land, cash rents for property classified as pastureland was reported at $6.30 / acre, which represented no change from the 2017 rental rate.
Though not directly tied to the cash rent for pastureland, the price is also a consideration for both lessees and lessors when making decisions. As reported in the late September release, the statewide average price for alfalfa came in $150.00 / ton, up slightly from $145.00 / ton in 2017. The price for other hay was slightly lower than alfalfa at $135.00 / ton (state-wide average), down from $140.00 in 2017.
For more information and comparisons to other states, read the full releases:
For more on Montana land values, check out our prior blog on the USDA NASS 2018 Land Values for CO, MT & WY.
If you’re looking for a property in Montana, needing help deciding how to transition your property, or are in the thick of making management decision and could use expert assistance, contact us. We have a Montana agent and would be happy to assist you!
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