According to recent surveys, a majority of the farmland in Iowa isn’t owned by the person farming it.

Iowa State University Farm Management Specialist Alexis Stevens says that over half the farm ground in the state is owned by someone who has never farmed, and that they lease the land to someone who does farm. She tells Raccoon Valley Radio that there are some benefits to this as though, mentioning that leasing the land out acts as a source of income for the landowner, and that many use this to have an income in retirement, or to invest their money into land.

Stevens mentions that for the producer, the farmer renting the land, this kind of agreement is also beneficial as they can farm without incurring the cost of land taxes.

“The sad fact is that land costs so much now, that for most beginning farmers, it’s just completely priced out of their ability to buy it. So this is your opportunity as a producer who’s renting. This is an opportunity for you to be able to farm, get in farming, it’s a lot cheaper to rent than it is to straight up buy.”

Stevens explains that another opportunity that renters can find themselves coming across is when the landowner does decide to sell, and the renter and landowner have a good working relationship, the landowner will usually make an offer to them before they take the land to auction to sell it. This gives the renter a chance to own their own farmland.