Missouri Farm Lease or Rental - Short

State:
Multi-State
Control #:
US-60960
Format:
Word; 
Rich Text
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Description

This form is a farm land lease. In the event of the failure by the lessee to promptly pay any of the annual rentals, then and in that event this lease will automatically terminate and all rights granted will be null and void. The lessee will have exclusive use of all sheds and barns located on the leased property during the term of the lease.

Missouri Farm Lease or Rental — Short: A Missouri Farm Lease or Rental — Short refers to a legally binding agreement between a landlord and a tenant for the rental of a farm property in the state of Missouri for a short duration. This type of lease typically covers a period of less than one year and allows farmers to utilize the land for various agricultural purposes. Missouri is known for its thriving agricultural sector, and numerous farmers and landowners seek short-term leasing arrangements for their farm properties. The Missouri Farm Lease or Rental — Short allows both parties to establish clear terms and conditions regarding the use, payment, and maintenance of the farmland, ensuring a smooth and mutually beneficial relationship. Key elements often included in a Missouri Farm Lease or Rental — Short are: 1. Parties Involved: The lease agreement identifies the landlord (farm property owner) and the tenant (person or entity renting the farm). 2. Property Description: A detailed description of the farm property, including the address, size, and any existing structures or facilities. 3. Rental Term: Specifies the start and end dates of the lease, typically less than one year. 4. Rent and Payments: Determines the rent amount, payment schedule (monthly or annually), and preferred payment method. 5. Land Use: States the permitted agricultural activities, such as crop cultivation, livestock rearing, or both. It may also specify any restrictions or limitations on the type and scale of farming operations. 6. Repairs and Maintenance: Outlines the responsibilities of the tenant for maintaining the land, including repairing fences, buildings, irrigation systems, and any damage caused by farming activities. It also addresses the landlord's obligations for major repairs, if applicable. 7. Insurance and Liability: Determines the party responsible for obtaining insurance coverage for the property and clarifies liability in case of accidents, damage, or injury. 8. Termination Clause: Specifies the conditions under which the agreement can be terminated, such as breach of contract, non-payment, or other agreed-upon circumstances. Types of Missouri Farm Lease or Rental — Short can include: 1. Cash Rent Lease: The tenant pays the landlord a fixed cash amount as rent, typically based on per-acre measurements or a flat fee. 2. Crop Share Lease: The tenant shares a portion of the harvested crops with the landlord as rent, usually a predetermined percentage based on market prices or yield. 3. Flexible Cash Rent Lease: This type of lease allows rent adjustments based on factors such as market prices, crop yields, or input costs, providing flexibility for both parties. 4. Pasture Lease: Specifically designed for grazing livestock, this lease allows tenants to use the farmland for raising cattle, horses, or other grazing animals. In conclusion, a Missouri Farm Lease or Rental — Short provides a structured framework for landowners and tenants to engage in agricultural practices with defined terms and obligations. With various types of leases available, it offers the flexibility to suit specific farming needs and promote agricultural productivity in the state of Missouri.

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FAQ

Month-to-month tenancies can be terminated with one month's notice in writing (Section 441.060 RSMO). The notice to terminate the agreement must be written, even though the original agreement is verbal. If proper written notice is not given, the other party can enforce another term of tenancy.

Lapse of time When the prescribed time of the lease expires, the lease is terminated. Specified event When there is a condition on time of lease depending upon a happening of an event. Interest Lessor's interest to lease the property may cease, hence resulting in the termination of the lease.

The rental rate for row-crop ground in Missouri averaged $147.42 per acre. Farmers reported an average cash rental rate on wheat fields of $113.91/acre; $33.51 lower per acre than row-crop land.

Early Termination Clause Read over the lease and look for language that outlines agreed-upon terms for ending the lease before the end of the fixed period, such as the amount of the fee (i.e., equal to 2 month's rent) and the amount of notice required (i.e., 30 days).

The rental rate for row-crop ground in Missouri averaged $147.42 per acre. Farmers reported an average cash rental rate on wheat fields of $113.91/acre; $33.51 lower per acre than row-crop land.

Cash rents paid to landlords in 2020 for cropland were mixed from last year. Irrigated cropland rent averaged $129 per acre, $1 above last year. Dryland cropland rent averaged $56 per acre, $1 lower than a year earlier. Pasture rented for cash averaged $19.50 per acre, $0.50 above the previous year.

In Missouri, the state's only requirement within landlord-tenant laws is that they must provide their landlords with a written notice of their intent to terminate the lease. They must attach the proof of their deployment to the notice.

Cropland rental rates released by the USDA National Agricultural Statistics Service averaged $233 per acre in 2021, a 1.3% increase from 2020. Cash rent for pasture was 7.4% higher at $58 per acre.

Most farmers find that a combination of both ownership and leasing is desirable, especially when capital is limited. For many new farmers, especially in areas where land is quite expensive, leasing land is often the best option.

More info

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Missouri Farm Lease or Rental - Short