What to Charge for Lease?

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Brute 23 said:
I average about 1 bale per head per year and there is no way my land cost is $241 per head. Im more like $150- 175. Even in drought years we only do 1.5-2.5 bales per head.

Those numbers do not apply to every one.

Land and maintenance cost are more than a lot of people calculate.
Every time you crank a vehicle to check on a cow or to buy a fence post for one, that's on the cow.
You add that with taxes, medical, feed, loses bovine is a pretty expensive addiction. We buy retail and sale wholesale. Lot of welfare cattle out there.
 
That's why lease land can be more profitable. I lock that land cost in at $100 then there are just minor maintenance costs and in my case spraying. Taxes, fence, and a lot of those other expences are on the land owner.

Its also an economy of scale game. The same equipment will usually service 30 head and 130 head. The guy with 130 head will have a lower cost per head.
 
Brute 23 said:
That's why lease land can be more profitable. I lock that land cost in at $100 then there are just minor maintenance costs and in my case spraying. Taxes, fence, and a lot of those other expences are on the land owner.

Its also an economy of scale game. The same equipment will usually service 30 head and 130 head. The guy with 130 head will have a lower cost per head.

I disagree when it comes to apples to apples. If it takes one acre or fifty to carry a cow makes a huge difference.
 
Caustic Burno said:
Brute 23 said:
That's why lease land can be more profitable. I lock that land cost in at $100 then there are just minor maintenance costs and in my case spraying. Taxes, fence, and a lot of those other expences are on the land owner.

Its also an economy of scale game. The same equipment will usually service 30 head and 130 head. The guy with 130 head will have a lower cost per head.

I disagree when it comes to apples to apples. If it takes one acre or fifty to carry a cow makes a huge difference.

That is also true and is a factor but that's not what I'm talking about. The same tractor, truck, trailer, squeeze chute, etc services 30 or 130.

Yes, a property with a lower ac/ head ratio will be more cost effective.
 
Caustic Burno said:
Brute 23 said:
I average about 1 bale per head per year and there is no way my land cost is $241 per head. Im more like $150- 175. Even in drought years we only do 1.5-2.5 bales per head.

Those numbers do not apply to every one.

Land and maintenance cost are more than a lot of people calculate.
Every time you crank a vehicle to check on a cow or to buy a fence post for one, that's on the cow.
You add that with taxes,
medical, feed, loses bovine is a pretty expensive addiction. We buy retail and sale wholesale. Lot of welfare cattle out there.

To the best of my knowledge I had most of the expense above before cattle. Cattle work good with deer management, but pine trees is where the money's at around here.
 
True Grit Farms said:
Caustic Burno said:
Brute 23 said:
I average about 1 bale per head per year and there is no way my land cost is $241 per head. Im more like $150- 175. Even in drought years we only do 1.5-2.5 bales per head.

Those numbers do not apply to every one.

Land and maintenance cost are more than a lot of people calculate.
Every time you crank a vehicle to check on a cow or to buy a fence post for one, that's on the cow.
You add that with taxes,
medical, feed, loses bovine is a pretty expensive addiction. We buy retail and sale wholesale. Lot of welfare cattle out there.

To the best of my knowledge I had most of the expense above before cattle. Cattle work good with deer management, but pine trees is where the money's at around here.


Hay is rapidly becoming what to raise here.
 
Caustic Burno said:
True Grit Farms said:
Caustic Burno said:
Land and maintenance cost are more than a lot of people calculate.
Every time you crank a vehicle to check on a cow or to buy a fence post for one, that's on the cow.
You add that with taxes,
medical, feed, loses bovine is a pretty expensive addiction. We buy retail and sale wholesale. Lot of welfare cattle out there.

To the best of my knowledge I had most of the expense above before cattle. Cattle work good with deer management, but pine trees is where the money's at around here.


Hay is rapidly becoming what to raise here.

You're absolutely right, all the good barn stored hay from last year is sold out. And last year was a phenomenal hay year around here.
 
I don't see how some of you stay in business at the costs you're quoting on here. My limit on grass costs is $100 per pair plus bush hog yearly. I have one place where the rent consumes the full $100, but my landlord understand I won't be fertilizing or spraying. Most of my places I get for around $50 per pair which allows me to invest in routine spraying and fertilizer. If a place is overgrown with weeds, or requires a lot of initial fence repairs by me, I usually negotiate the first year free. It's not really free, I still end up spending the $100 per pair one way or another.

Hay costs run $150 to $180 depending on severity of winter.
 
1982vett said:
cowrancher75 said:
i feed for 7 months i don't even want to calculate my hay costs.\\

ok. i just did.. for my quality hay I can sell for 50/bale easily that would be around 350/cow in hay..


wow.

So, you can make more selling hay rather than raising cattle?
yea i figured it out and i'd be ahead to just sell the hay. I'd probably make another 8-10k.. damn :lol2:
 
Moooooo said:
He says he'll mend the fences and do all the work.
If he comes through on that, he'll be a keeper. Both renters I had before deciding to raise my own made those same promises but never followed through. Each of them wound up costing me more in fence and property repairs (and I did the work) than they paid in rent, which was $8 an acre (on 190 acres) at the time. Twice burned was enough for me.
 
Grandpa said:
Moooooo said:
He says he'll mend the fences and do all the work.
If he comes through on that, he'll be a keeper. Both renters I had before deciding to raise my own made those same promises but never followed through. Each of them wound up costing me more in fence and property repairs (and I did the work) than they paid in rent, which was $8 an acre (on 190 acres) at the time. Twice burned was enough for me.
That's what happens here. Land owners go with the highest rent then 5 years later they look up and their place has gone to ****.
 
Brute 23 said:
Places are dividing up and getting smaller every day. It's hard to justify the cost of the equipment. Plus, the age of the people who own those tracts does not lend well to fighting hay equipment in 110 deg weather.

Fighting the heat haying isn't a problem. I never run the AC wide open.
 
True Grit Farms said:
Brute 23 said:
Places are dividing up and getting smaller every day. It's hard to justify the cost of the equipment. Plus, the age of the people who own those tracts does not lend well to fighting hay equipment in 110 deg weather.

Fighting the heat haying isn't a problem. I never run the AC wide open.

Until you raise the back end up to let a bail out and the whole back end falls off. :lol: Ask me how I know.
 
I wrote up a lease, and we are in business. The area open to cattle is around 30 acres, but I figure about 15 are pasture. The rest are woods. On advice from locals, I am charging $200/year. So far, no problems.

I was surprised to see the cattle eating Spanish moss. That's a bonus. I hate that stuff.
 
I have no idea how many cattle the place can hold. I assume the tenant will remove a few if they start to drop from starvation.
 
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