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Research Bulletin (Iowa Agriculture and Home Economics Experiment Station)

Abstract

Leasing and ownership are alternative methods of obtaining the use of farm real estate. These two methods are not perfect substitutes for each other because of the subjective values attached to ownership including status, feeling of independence and greater certainty of tenure. This study recognizes farm tenancy as a method of obtaining the use of farm lands, buildings and equipment by operators who otherwise might not be able to do so and as a method by which farm owners obtain the services of operators.

Selected phases of current leasing practices are analyzed to: (1) appraise their economic significance; (2) indicate the nature of the economic problems involved in leasing; and (3) suggest some of the adjustments required to solve the problems of leasing. That landlords and renters need help in developing effective leasing arrangements is attested to by the continuing number of requests for assistance or advice received each year by the state agricultural extension services, the colleges of agriculture and by the United States Department of Agriculture.

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