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SE Iowa | My corn average was 239bu in 2023, 2nd best ever. Sold some corn to e-plant last Thursday for $4.50/bu less the .18 cents to get it there. so $1032/acre gross times 5 is $5162 or times 9 is $9288 an acre. Land here is bringing $16000 and up. Rent is $400/acre or 2.5% return less taxes. Will not figure more appreciation at these commodity price levels. 5% cd on $16000 an acre land is $800/acre and no property tax. And that 239bu is way above aph as my ten year yield runs from 117 to 253bu with an aph of 200. You can do the figuring on 200bu yield at $4.50/bu corn versus land price. And corn is down 12 cents since Thursday. And yes even though I just retired I would be buying like crazy at 5 times gross. But land here turns over very very little.
Edited by vickruse 1/29/2024 16:27
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10 years from now
