Stephanie Fahrenbruch

Land and Real Estate Terms

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What is a section of land?

A section is a standard unit of land used in the U.S. Public Land Survey System. One section generally contains 640 acres and is typically one mile by one mile, although actual boundaries can vary. Sections are commonly used when describing agricultural property.

How many acres are in a section?

A standard section contains 640 acres. A section can be divided into smaller units, such as half sections of 320 acres and quarter sections of 160 acres.

What is a quarter section?

A quarter section is one-fourth of a standard 640-acre section, or approximately 160 acres. Quarter sections are commonly used in legal descriptions of agricultural property.

What is a legal land description?

A legal land description precisely identifies a property’s location and boundaries for legal and real estate purposes. In Nebraska and other areas using the Public Land Survey System, descriptions commonly reference township, range, section, and smaller divisions of a section.

What is FSA?

FSA stands for the Farm Service Agency, a USDA agency that administers agricultural programs including farm loans, conservation programs, disaster assistance, and certain commodity and income-support programs. Local FSA offices maintain important information and records related to agricultural operations and farmland.

What is USDA?

USDA stands for the United States Department of Agriculture. The USDA oversees numerous programs and agencies related to agriculture, food, rural development, conservation, forestry, and natural resources, including the Farm Service Agency and Natural Resources Conservation Service.

What is the Farm Bill?

The Farm Bill is a large federal law that establishes policies and funding for numerous agricultural and food programs. It addresses areas such as farm programs, crop insurance, conservation, nutrition, rural development, and agricultural research. Farm Bill provisions can change when new legislation is passed.

What is crop insurance?

Crop insurance helps protect agricultural producers against certain financial losses caused by events such as low yields, weather-related damage, or changes in revenue, depending on the policy. Federal crop insurance programs are administered through the USDA’s Risk Management Agency and participating insurance providers.

What is prevented planting?

Prevented planting is a crop insurance provision that may provide coverage when a producer is unable to plant an insured crop by the applicable deadline because of an eligible cause, such as excessive moisture. Eligibility and payment requirements depend on the specific policy and circumstances.

What is a conservation reserve?

A conservation reserve generally refers to land enrolled in a conservation program, such as the Conservation Reserve Program (CRP), where agricultural production is restricted in exchange for payments and conservation benefits. The specific rules depend on the program and contract.

What is depreciation?

Depreciation is the accounting and tax process of allocating the cost of certain assets over their useful lives. For farmland owners and agricultural businesses, depreciation may apply to qualifying buildings, equipment, and other improvements, but generally not to the underlying land itself. Tax treatment should be discussed with a qualified tax professional.

What is a farm appraisal?

A farm appraisal is a professional opinion of a property’s market value based on factors such as comparable sales, income potential, soil productivity, location, improvements, and highest and best use. A licensed or certified appraiser can provide a formal appraisal. AgWest Land Brokers can also provide local market insight and comparable sales information.

What is title insurance?

Title insurance protects property owners and lenders against certain covered losses resulting from title defects, liens, ownership claims, or other issues that existed before the policy was issued. Title insurance is commonly part of a real estate transaction.

What is earnest money?

Earnest money is a deposit made by a buyer after entering into a purchase agreement to demonstrate good-faith intent to complete the transaction. The amount and conditions governing the deposit are established in the purchase agreement.

What happens at closing?

At closing, the buyer and seller complete the final steps of the real estate transaction. Documents are signed, funds are transferred, title is conveyed, and the transaction is officially completed. The closing process may involve a title company, attorney, lender, broker, and other professionals.

What does escrow mean?

Escrow is a process in which a neutral third party holds money, documents, or other assets until specified conditions of a transaction have been met. In a farmland transaction, an escrow or title company may handle earnest money and closing funds.

What is a land survey?

A land survey is a professional measurement and mapping of a property’s boundaries and other features. A survey can identify property lines, acreage, easements, improvements, and potential boundary issues. Whether a new survey is needed depends on the property and transaction.

What is a title search?

A title search is an examination of public records to determine who legally owns a property and identify potential issues such as liens, mortgages, easements, restrictions, or other claims affecting the title. Title searches are an important part of the real estate closing process.

What is a mineral right?

Mineral rights are the legal rights to extract or benefit from minerals located beneath or within a property. Mineral rights may be owned separately from the surface land, so buyers should determine whether mineral rights are included in a farmland transaction.

What are water rights?

Water rights are legal rights governing the use of water from sources such as groundwater or surface water. Water laws vary by state and location. In Nebraska, groundwater use is regulated through state law and local Natural Resources Districts, making water rights an important consideration when buying or selling farmland.

What is an easement?

An easement is a legal right that allows someone to use a portion of another person’s property for a specific purpose. Common examples include access, utility, drainage, pipeline, and irrigation easements. Easements remain important considerations when evaluating the use and value of farmland.

What is right-of-way?

A right-of-way is a legal right to pass through or use a portion of another person’s property for a specific purpose. Roads, public utilities, pipelines, railroads, and access routes may involve rights-of-way. The specific rights and restrictions are established by the applicable agreement or legal document.

What is a wind lease?

A wind lease is an agreement that gives a wind energy developer certain rights to use or develop portions of a property for wind energy facilities. Depending on the agreement, it may address turbines, roads, transmission lines, payments, construction, maintenance, and other rights. Landowners should have an attorney review any proposed wind lease before signing.

What is a solar lease?

A solar lease is an agreement allowing a solar energy developer to use part of a property for a solar energy project. The agreement may cover the development area, access roads, electrical infrastructure, payments, construction, maintenance, and eventual removal of the equipment. Landowners should have an attorney review the agreement before signing.

Can solar panels affect farmland value?

Yes. Solar development can affect farmland value in different ways depending on the location, lease terms, project size, agricultural productivity, and buyer demand. A long-term solar lease may provide additional income, while development restrictions or reduced agricultural use may affect the property’s marketability. AgWest Land Brokers can help landowners evaluate how a proposed solar project may affect the real estate.

How do wind turbines affect land value?

Wind turbines can affect farmland value differently depending on the property, location, lease terms, turbine placement, income potential, and buyer preferences. Wind development can provide landowners with additional lease income, while turbines, roads, easements, and other infrastructure can affect agricultural operations and future buyers. AgWest Land Brokers can help landowners understand the real estate considerations associated with wind development.

Farmland Investment

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Is farmland a good investment?

Farmland can be an attractive long-term investment because it can generate income through rent or agricultural production while potentially appreciating over time. However, returns vary by location, property type, purchase price, operating expenses, and market conditions. AgWest Land Brokers can help investors evaluate the income potential and market characteristics of individual properties.

Why do investors buy farmland?

Investors may buy farmland for several reasons, including rental income, potential long-term appreciation, portfolio diversification, and ownership of a tangible asset. Farmland can also provide opportunities to lease the property to an experienced producer while the investor remains a passive landowner. AgWest Land Brokers can help investors identify properties that fit their investment goals.

How much return does farmland produce?

Farmland returns vary significantly by property and market. Returns can come from both annual rental income and changes in the property’s value over time. Factors such as purchase price, cash rent, expenses, appreciation, taxes, and financing all affect the actual return. AgWest Land Brokers can help investors evaluate a property’s potential income and comparable market values.

Does farmland outperform the stock market?

There is no guarantee that farmland will outperform stocks. Farmland and stocks have different risk, return, liquidity, and diversification characteristics, and their performance can vary significantly over different time periods. Investors should compare farmland with other investments based on their individual goals, risk tolerance, and investment timeline.

Is farmland recession-proof?

No investment is completely recession-proof, including farmland. Agricultural land can be affected by commodity prices, interest rates, farm income, economic conditions, and local demand. However, farmland’s underlying productive use and limited supply can provide characteristics that some investors find attractive during changing economic conditions.

Can I buy farmland without farming?

Yes. You do not have to farm the property yourself to own farmland. Many landowners purchase agricultural property and lease it to farmers or ranchers who handle the day-to-day production. AgWest Land Brokers can help investors evaluate farmland and understand potential leasing opportunities.

Should I own farmland through an LLC?

An LLC can be an appropriate ownership structure for some farmland investors, but it is not right for everyone. Potential considerations include liability protection, taxes, financing, estate planning, and ownership structure. Investors should discuss the advantages and disadvantages with an attorney and tax professional before forming an LLC. AgWest Land Brokers can work with investors and their professional advisors as they evaluate farmland purchases.

Taxes and Estate Planning

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What taxes are due when selling farmland?

Selling farmland may result in capital gains tax and, depending on the situation, depreciation recapture or other tax consequences. The amount owed depends on factors such as the property’s adjusted basis, purchase price, improvements, depreciation, ownership structure, and how the land was used. Sellers should consult their CPA or tax professional before selling. AgWest Land Brokers can work alongside your tax advisors to help with the real estate side of the transaction.

What is a 1031 exchange?

A 1031 exchange allows an owner of qualifying investment or business property to potentially defer capital gains taxes by exchanging the property for another qualifying property. Specific rules, timelines, and requirements apply, and not every transaction qualifies. Anyone considering a 1031 exchange should involve a qualified tax advisor and exchange intermediary before selling. AgWest Land Brokers can help identify potential replacement agricultural properties.

Can farmland be inherited tax-free?

Inherited farmland may receive different tax treatment than property sold during the owner’s lifetime, but “tax-free” depends on the circumstances. Federal estate taxes, state taxes, income taxes, and future capital gains can all depend on the property’s value, ownership, and how the property is handled after inheritance. An estate-planning attorney or tax professional should review the specific situation.

What happens to farmland after someone passes away?

When a landowner passes away, the farmland generally becomes part of the person’s estate and is transferred according to their will, trust, beneficiary designations, or applicable state law. The property may be distributed to heirs, sold, placed in a trust, or retained by the family. AgWest Land Brokers can help families understand their real estate options when an inherited property needs to be valued, divided, leased, or sold.

How can families avoid probate?

Families may be able to reduce or avoid probate through estate-planning tools such as trusts, beneficiary designations, joint ownership, or other legal arrangements. The best strategy depends on the family’s assets, goals, and circumstances. Because estate planning is a legal matter, families should work with an estate-planning attorney. AgWest Land Brokers can assist with the farmland and real estate considerations that are part of the plan.

Should farmland be placed in a trust?

A trust can be useful for some farmland owners as part of an estate plan, but it is not the right solution for everyone. Potential benefits can include avoiding or simplifying probate, managing property for beneficiaries, and providing continuity of ownership. Landowners should discuss their specific situation with an estate-planning attorney and tax professional before transferring farmland into a trust.

What is stepped-up basis?

Stepped-up basis generally means that the tax basis of inherited property is adjusted to its fair market value as of the owner’s date of death, subject to applicable tax rules. This can reduce the taxable capital gain if the property is later sold. Because basis rules and exceptions can be complex, heirs should consult a tax professional before selling inherited farmland.

How do property taxes work?

Property taxes are generally based on the assessed value of real estate and the tax rates established by applicable local taxing authorities. Agricultural land may be assessed differently than residential or commercial property, depending on state and local laws. Property taxes are an important ownership expense to consider when buying or evaluating farmland. AgWest Land Brokers can help buyers review available property tax information for a property.

CRP and Conservation

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What is CRP?

CRP stands for Conservation Reserve Program. It is a USDA program that provides payments to eligible landowners and producers who voluntarily remove environmentally sensitive agricultural land from production and establish conservation practices. CRP acres can provide benefits such as erosion control, improved soil health, and wildlife habitat.

How does CRP work?

Under CRP, eligible land is enrolled in a contract with the USDA for a specified period, and the landowner or producer receives payments in exchange for maintaining approved conservation practices. The land generally cannot be farmed during the contract except under specific program provisions. Program rules, payment rates, and eligibility requirements can change over time.

Can CRP land be sold?

Yes. CRP land can generally be sold while it is under contract, but the existing CRP contract and its requirements must be considered as part of the transaction. Depending on the circumstances, the contract may transfer to the buyer or may require other action. Buyers and sellers should verify the specific contract with the local USDA Farm Service Agency (FSA) office.

Can CRP contracts transfer?

In many cases, a CRP contract can transfer to a new landowner when property is sold, provided the new owner meets applicable requirements and agrees to assume the contract obligations. Transferability depends on the specific CRP contract and circumstances. AgWest Land Brokers can help identify CRP considerations when marketing or evaluating a property, but the USDA FSA should confirm the specific transfer requirements.

What are conservation easements?

A conservation easement is a legal agreement that permanently or for a specified period limits certain uses or development rights on a property to protect conservation values such as wildlife habitat, wetlands, grasslands, or open space. The specific restrictions depend on the terms of the easement. Buyers should carefully review any conservation easement before purchasing a property.

What is EQIP?

EQIP stands for Environmental Quality Incentives Program. It is a USDA program that provides financial and technical assistance to agricultural producers and landowners for implementing conservation practices that address natural resource concerns. Eligible practices can include things such as water conservation, grazing management, erosion control, and habitat improvements.

What is CSP?

CSP stands for Conservation Stewardship Program. It is a USDA program designed to help agricultural producers maintain and improve existing conservation practices while adding additional conservation activities. The program can provide financial and technical assistance for practices that improve soil health, water quality, wildlife habitat, and other natural resources.

What is pollinator habitat?

Pollinator habitat is an area planted or managed to provide food, shelter, and nesting resources for pollinators such as bees, butterflies, and other insects. It typically includes a variety of flowering plants that provide nectar and pollen throughout the growing season. Pollinator habitat can also contribute to broader conservation and wildlife benefits.

Recreational Land and Hunting

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What is recreational land?

Recreational land is property that offers opportunities for activities such as hunting, fishing, camping, hiking, wildlife viewing, or other outdoor recreation. It may be entirely recreational or combined with agricultural uses such as cropland, pasture, or timber. AgWest Land Brokers markets properties that offer both agricultural and recreational opportunities.

Is hunting land a good investment?

Hunting land can be a good investment for buyers seeking recreational enjoyment, potential income, and long-term land ownership. Its investment potential depends on location, habitat quality, wildlife, agricultural income, market conditions, and future demand. AgWest Land Brokers can help buyers evaluate both the recreational and agricultural potential of a property.

What wildlife increases land value?

Whitetail deer, turkey, waterfowl, pheasants, quail, and other desirable game species can increase a property’s recreational appeal and potentially its market value. The impact depends on the quality and consistency of the habitat, wildlife population, access, and location. AgWest Land Brokers considers recreational characteristics when evaluating properties with hunting potential.

How do food plots work?

Food plots are planted areas designed to provide additional food for wildlife. They can be used to supplement natural forage, attract wildlife to specific areas, and improve hunting opportunities when properly planned and managed. The best food plot location and crop depend on the wildlife species, soil, climate, and surrounding habitat.

What makes good deer habitat?

Good deer habitat generally provides a combination of food, water, cover, and security. Timber, brush, grass, crop fields, wetlands, and other habitat types can work together to provide feeding, bedding, and travel areas. Properties with diverse habitat and limited disturbance can be particularly attractive to deer and recreational buyers.

How do CRP acres affect wildlife?

CRP acres can provide valuable wildlife habitat by creating areas of grass, cover, and other vegetation that benefit species such as pheasants, quail, deer, and waterfowl. CRP can also provide landowners with program payments while supporting conservation objectives. Existing CRP contracts should be reviewed carefully when buying or selling property because program requirements and contract terms can affect the land.

Does a pond increase land value?

A pond can increase a property’s value and recreational appeal by providing opportunities for fishing, wildlife habitat, waterfowl, livestock water, and scenic enjoyment. However, the amount of value added depends on the pond’s size, condition, location, water quality, accessibility, and intended use. AgWest Land Brokers can help evaluate how ponds and other recreational features contribute to a property’s overall marketability and value.

Grain Storage

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What are grain bins used for?

Grain bins are used to store harvested crops such as corn, soybeans, wheat, and other grains until they are sold, fed, or otherwise used. On-farm grain storage can give producers more flexibility in when and where they market their crops. Grain storage facilities can also be an important improvement when evaluating the value of a farm.

How long can grain be stored?

Properly dried, cooled, and maintained grain can be stored for many months and, under the right conditions, for more than a year. Storage life depends on grain moisture, temperature, quality, aeration, and the condition of the storage facility. Regular monitoring is important to prevent spoilage and quality loss.

What moisture should corn be stored at?

For long-term storage, corn is generally dried to around 14% moisture or lower, although the appropriate target depends on storage duration, temperature, and grain condition. Corn intended for shorter-term storage may be stored at slightly higher moisture levels under the right conditions. Producers should follow current grain-storage recommendations for their specific situation.

How do grain dryers work?

Grain dryers remove moisture from harvested grain by passing heated or ambient air through it. The drying process reduces the grain’s moisture content to a level appropriate for storage and helps reduce the risk of spoilage. Drying temperature and airflow should be managed carefully to maintain grain quality.

Why aerate grain?

Aeration moves air through stored grain to help control temperature and moisture and maintain grain quality. Proper aeration can help prevent hot spots, condensation, mold growth, and spoilage. Grain should be monitored regularly so problems can be identified before significant losses occur.

Farm Equipment

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What is a combine?

A combine, or combine harvester, is a large piece of farm equipment used to harvest crops such as corn, soybeans, wheat, and other grains. It performs several harvesting functions, including cutting, threshing, separating, and cleaning grain. Combines are one of the most important pieces of equipment in modern grain farming.

What is a grain cart?

A grain cart is a large wagon or hopper used to transport harvested grain from the combine to a semi-truck, grain truck, or other storage or transportation equipment. Grain carts allow combines to continue harvesting while grain is being unloaded in the field.

What is a grain drill?

A grain drill is a piece of planting equipment designed primarily for crops such as wheat, oats, rye, and other small grains. It places seed into the soil at a controlled depth and spacing, often in narrow rows.

What is a planter?

A planter is a piece of equipment used to plant crops such as corn and soybeans in precise rows and at controlled depths and spacing. Modern planters can incorporate technologies such as GPS guidance, variable-rate seeding, seed monitoring, and automatic row shutoffs.

What is vertical tillage?

Vertical tillage is a soil-management practice that uses specialized equipment to make shallow soil disturbance while managing crop residue. It is generally intended to size and distribute residue, improve seedbed conditions, and prepare fields for planting while causing less soil disturbance than conventional tillage.

What is strip-till?

Strip-till is a tillage system that disturbs only narrow strips of soil where crops will be planted while leaving the areas between rows largely undisturbed. It can provide a prepared seedbed while retaining significant crop residue and reducing erosion and moisture loss.

What is no-till?

No-till farming is a production system in which crops are planted directly into existing soil with minimal soil disturbance. Crop residue is generally left on the surface, which can help reduce erosion, conserve moisture, and improve soil health.

How long does farm equipment last?

Farm equipment can last for many years when properly maintained, but useful life varies by equipment type, hours of use, operating conditions, maintenance, and technology. Major equipment such as combines, tractors, planters, and irrigation systems may remain in service for decades, although components and technology are often upgraded or replaced along the way.

Crop Production

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When should corn be planted?

Corn is generally planted in the spring when soil temperatures and field conditions are suitable. In Nebraska and Kansas, planting commonly begins in April and may continue into May, depending on weather and location. Farmers should consider local conditions, soil temperature, forecasted weather, and their seed supplier’s recommendations when determining planting timing.

When should soybeans be planted?

Soybeans are generally planted in the spring once soil conditions are suitable. In Nebraska and Kansas, planting often occurs from late April into May, although timing varies by location, weather, soil conditions, and maturity group. Producers should follow local agronomic recommendations when determining planting dates.

How much seed should be planted?

Seeding rates depend on the crop, seed variety, soil type, expected yield potential, planting date, and farming practices. Corn and soybean populations can vary considerably between fields. Producers should use local agronomic recommendations and seed-company guidance to determine the appropriate rate for their operation.

What affects corn yield?

Corn yield is influenced by genetics, soil productivity, available moisture, rainfall, temperature, planting date, fertility, pest pressure, and overall crop management. Irrigation can also have a significant impact in areas where water is available. When evaluating farmland, AgWest Land Brokers can help buyers review production history and the factors that contribute to a property’s yield potential.

What is crop rotation?

Crop rotation is the practice of growing different crops on the same field in a planned sequence rather than planting the same crop continuously. Common rotations include corn and soybeans or wheat followed by other crops. Rotations can provide agronomic, soil-health, and pest-management benefits.

Why rotate crops?

Crop rotation can help break pest and disease cycles, improve nutrient management, reduce certain weed pressures, and support soil health. Different crops also have different nutrient requirements and root systems, which can benefit the soil over time.

What is no-till farming?

No-till farming is a production system in which crops are planted with minimal disturbance to the soil and without conventional full-width tillage. Crop residue is generally left on the soil surface, which can help reduce erosion and conserve moisture. No-till practices can also support long-term soil health when appropriately managed.

What is strip-till?

Strip-till is a conservation tillage practice that disturbs only a narrow strip of soil where the crop will be planted while leaving the areas between rows largely undisturbed. It combines some of the benefits of conventional tillage and no-till systems, including a prepared seedbed while maintaining residue between rows.

What is cover cropping?

Cover cropping involves planting crops primarily to protect and improve the soil rather than for harvest. Cover crops can help reduce erosion, improve soil structure, retain nutrients, support soil biology, and manage moisture. Common cover crops include grasses, legumes, and mixtures of multiple species.

What is precision agriculture?

Precision agriculture uses technology and data to manage fields based on differences in soil, crop conditions, yield potential, and other factors. GPS, yield monitors, soil maps, drones, sensors, and variable-rate equipment can all be part of a precision agriculture system. The goal is to make more informed and efficient management decisions.

What is variable rate planting?

Variable rate planting adjusts the number of seeds planted in different areas of a field based on factors such as soil productivity, yield potential, and management goals. More productive areas may receive a different seeding rate than lower-producing areas. This technology can help producers better match seed populations to field conditions.

What is variable rate fertilizer?

Variable rate fertilizer technology allows producers to apply different amounts of nutrients to different areas of a field based on soil tests, yield goals, crop needs, and other data. The goal is to apply nutrients more efficiently and avoid treating the entire field at one uniform rate when conditions vary.

What is precision irrigation?

Precision irrigation uses technology and field data to apply water according to crop needs and differences within a field. Systems may use soil moisture sensors, GPS, weather information, variable-rate irrigation equipment, and other technology to improve water-use efficiency.

How does GPS improve farming?

GPS allows farmers to accurately track equipment and field locations, creating opportunities for guidance systems, automatic steering, mapping, variable-rate applications, and reduced overlap. GPS technology can improve efficiency, reduce input waste, and make field operations more precise. It is a key component of modern precision agriculture.

Farm Leases

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What is a cash rent lease?

A cash rent lease is a farm lease in which the tenant pays the landowner an agreed-upon amount of money to use the property for agricultural purposes. The tenant generally keeps the crop income and assumes the majority of production risk. AgWest Land Brokers can help landowners and producers understand local rental market conditions when considering a lease.

What is a crop-share lease?

A crop-share lease is an arrangement in which the landowner and tenant share a percentage of the crops or crop income produced on the property. The parties typically also share certain production expenses and risks according to the terms of the agreement. Specific terms should be clearly established in a written lease.

What is flex rent?

Flex rent, or a flexible cash rent lease, adjusts the tenant’s rent based on factors such as crop prices, yields, or revenue rather than using one fixed rental amount. This type of arrangement can allow the landowner and tenant to share some of the risk and opportunity associated with changing agricultural conditions. AgWest Land Brokers can help landowners understand how flexible rental arrangements compare with traditional cash rent.

How long should a farm lease be?

Farm lease terms vary depending on the property, crops, farming operation, and goals of the landowner and tenant. Many agricultural leases are one year, while longer-term agreements may be appropriate in some situations. A written lease should clearly establish the beginning and ending dates and other important terms.

When does a Nebraska farm lease end?

The ending date depends on the terms of the lease and the type of tenancy involved. Nebraska law has specific requirements regarding termination of certain agricultural leases, including notice requirements. Because lease situations can vary, landowners and tenants should consult the applicable law or an attorney regarding their specific circumstances.

How do I terminate a farm lease?

The process for terminating a farm lease depends on the lease terms, type of tenancy, and applicable Nebraska law. Proper notice must generally be provided within the required timeframe. Landowners and tenants should review their lease carefully and seek legal advice when necessary. AgWest Land Brokers can help identify general real estate considerations, but legal professionals should handle specific lease-termination questions.

What should be included in a farm lease?

A farm lease should clearly identify the property, rental amount or crop-share arrangement, lease term, payment schedule, responsibilities for expenses, permitted uses, irrigation and water responsibilities, maintenance, termination provisions, and other agreed-upon terms. A written lease can help prevent misunderstandings between landowners and tenants.

Who pays fertilizer, irrigation expenses, and property taxes?

The answer depends on the terms of the lease. In a cash rent arrangement, the tenant commonly pays many operating expenses, while property taxes are often the landowner’s responsibility, but there is no universal rule. Irrigation expenses may be divided between the parties in different ways. These responsibilities should be clearly established in the lease before the tenancy begins.

What happens if the land is sold?

A farm can generally be sold while it is under lease, but the existing lease should be reviewed carefully before the transaction. Depending on the lease terms and applicable law, the buyer may take ownership subject to the existing tenant’s rights. AgWest Land Brokers can help buyers and sellers understand how an existing lease may affect the sale.

Can farm rent be renegotiated?

Yes, rent can generally be renegotiated when both the landowner and tenant agree to new terms. Rental rates may change based on land values, commodity prices, production potential, local rental rates, and market conditions. Any changes should be documented in writing.

Ranching & Pasture

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What is carrying capacity?

Carrying capacity is the amount of livestock a pasture or range can sustainably support for a specific period without damaging the forage resource. It is influenced by vegetation, soil, rainfall, climate, pasture condition, and management practices. Carrying capacity is an important consideration when evaluating the value and potential of grazing land.

How do I calculate carrying capacity?

Carrying capacity can be estimated by determining available forage production, the portion of forage that can safely be consumed, and the livestock’s forage requirements over the grazing period. Because these factors vary significantly between pastures and years, carrying capacity is best determined using local forage data and professional range or pasture assessments. AgWest Land Brokers can help buyers evaluate the grazing potential of a property when considering a ranch purchase.

What is rotational grazing?

Rotational grazing is a management practice in which livestock are moved between different pasture areas to allow previously grazed areas time to recover. Proper rotation can improve forage utilization, pasture health, and long-term productivity when appropriately managed.

What is intensive grazing?

Intensive grazing involves managing livestock more closely on smaller pasture areas, often with more frequent movement and rest periods. The goal is to improve forage utilization and pasture management. Intensive grazing requires careful planning based on forage production, stocking rates, water availability, and the producer’s goals.

What grasses grow best in Nebraska?

The best grasses depend on the region, soil type, rainfall, and intended use. Nebraska pastures commonly include native warm-season grasses such as big bluestem, little bluestem, and switchgrass, as well as introduced cool-season grasses such as smooth brome and orchardgrass. AgWest Land Brokers can help buyers evaluate the grass species, condition, and productivity of a specific pasture.

How do I improve pasture?

Pasture improvement may include proper stocking rates, rotational grazing, weed control, prescribed burning where appropriate, fertilization, reseeding, and improving livestock water and fencing. The right strategy depends on the pasture’s soil, grass species, condition, and management history.

What makes good pasture?

Good pasture generally has healthy, productive forage, adequate water, suitable soils, proper drainage, effective fencing, good access, and enough forage to support the intended stocking rate. Consistent management is also important for maintaining long-term productivity. AgWest Land Brokers considers these characteristics when evaluating ranch and pasture properties.

How do droughts affect stocking rates?

Drought can significantly reduce forage production and water availability, requiring producers to reduce stocking rates or provide supplemental feed. Maintaining a conservative stocking rate during dry conditions can help protect the long-term health of a pasture. When evaluating a ranch, buyers should consider both typical carrying capacity and how the property performs during drought.

Should I rent pasture?

Renting pasture can be a practical alternative to purchasing land, particularly for producers who need additional grazing capacity without taking on the cost of land ownership. The decision depends on rental rates, availability, herd size, management goals, and long-term plans. AgWest Land Brokers can help producers understand the local pasture market when evaluating ownership or rental opportunities.

How much is pasture rent?

Pasture rental rates vary significantly depending on location, forage quality, carrying capacity, water availability, fencing, grazing season, and market conditions. Rates may be based on an acre, animal unit month, or other arrangement. AgWest Land Brokers can provide insight into local pasture rental conditions and help landowners evaluate their property’s rental potential.

What fencing is best?

The best fencing depends on the livestock, terrain, pasture layout, management system, and budget. Common options include barbed wire, woven wire, high-tensile electric fencing, and temporary electric fencing. A good fencing system should safely contain livestock while supporting efficient pasture management.

How often should livestock water be checked?

Livestock water systems should be checked regularly to ensure adequate supply, especially during hot weather, drought, or periods of high livestock demand. The frequency depends on the water source and system, but producers should monitor tanks, wells, pumps, pipelines, and natural water sources closely enough to quickly identify failures.

How much water does a cow drink?

Water consumption varies based on temperature, animal size, forage moisture, pregnancy or lactation, and other conditions. A mature beef cow may drink several gallons of water per day, with consumption increasing substantially during hot weather and periods of peak production. Reliable livestock water is an important factor when evaluating pasture and ranch properties.

What is AUM?

AUM stands for Animal Unit Month. It is a standard measurement representing the amount of forage needed to support one animal unit for one month. AUMs are commonly used to compare grazing capacity and calculate pasture rental rates.

What is stocking rate?

Stocking rate is the number of livestock or animal units assigned to a specific amount of land for a specific period. It is often expressed as animal units per acre or acres per animal unit. Proper stocking rates help prevent overgrazing and maintain long-term pasture productivity.