Maintaining a large plot of land or a lifestyle block can require a lot of time and hardwork. There comes a time when the natural progression is to downsize to something smaller.
Current market indicators suggest that now is a great time for rural sellers to act, with rural properties in short supply.
Is your ‘Lifestyle Block’ becoming a bit of a stumbling block? If you’re considering listing your property on the market, check out our eBook “Life Beyond the Lifestyle Block.
The rural property market is seeing a climb across the country with an increase in both the volume and value of sales. Some parts of the country are even seeing stocks of farms for sale exhausted. This is in part due to an emergence of large farming entities and corporates who are playing a role in increased market activity.
While Spring is traditionally a good time to sell with farms looking their best, listing now means more buyers to present to and less competition to contend with. When competition heats up, buyers with more choice are likely to be more focused on value, and farmers may not get the best price they can.
What’s happening rurally in the regions?
Northland has seen plenty of unsatisfied demand. The beginning of winter was short on listings particularly between Whangarei and Rodney.
The region was strong during Autumn, particularly in the Kaipara area. Smaller farm sales were concluded between $1.5 million and $2 million. At the other end of the spectrum a 430 hectare dairy farm sold in Kerikeri.
Dairy properties in the Waikato are selling well with a greater volume than was recorded in Autumn 2016. The land is seeing a steady increase in diversity with some farmers having purchased land for alternative use - one 50 hectare dairy farm outside Hamilton was recently converted to arable land.
With plenty of late March and April rain, some Canterbury farmers were persuaded to sell off smaller blocks. Despite a 222 hectare farm with dependable water consents and rich soils selling in Waimakariri, Canterbury has had no noteworthy dairy farm sales for some time. This is however expected to lift in spring.
With a rise in commodity prices, several sheep and beef properties were sold in Otago in recent months including a 1776 hectare Tarras property for 4.85 million. Other farms in the region sold between $3 million and $5 million. Otago listings of all types are in short supply and any farm on sale in spring is likely to receive some attention.
Dairy farms are selling again in Southland with a significant autumn lift seeing the total value of transactions up by around 50 per cent from autumn 2016. An 800 hectare Mossburn property, milking around 2000 cows, was purchased in April by a significant corporate famer.
These positive rural market indicators suggest now is a great time to consider selling your lifestyle block with the ultimate aim of downsizing to a property that gives you the free time you deserve.