Prices paid for agricultural land are up in a number of counties this year, reports from local auctioneers and land agents indicate.

Parts of counties Down, Armagh and Tyrone have seen a rising market for farmland, with prices of £15,000 to £16,000/acre common in areas where the supply of good-quality land coming onto the market is low.

“The average price is probably around £13,000 or £14,000/acre in counties Armagh and Down. But there is still a short enough supply that can make land go above that level,” said Newry-based auctioneer Garry Best.

In other areas of NI, reports from auctioneers indicate that the agricultural land market has remained steady during 2018 so far, with £8,000 to £10,000/acre paid for most good-quality bare land.

Auctioneers state that the biggest driver of the agri land market is the lack of supply. Records kept by the Irish Farmers Journal show that less than 16,000 acres was publicly advertised for sale in NI during the first nine months of the year, which represents around 0.6% of the total agricultural area.

Strong land prices across NI show that the uncertainty surrounding farm support payments after Brexit has had no negative impact on the land market.

“If there is land for sale close to someone and they can raise the finance for it, they are not concerned about Brexit,” Best said.

Farmers are active in the agricultural land market across NI, but most of the top-end prices paid for land come from business people or farmers with off-farm income.

Sites

The market for rural building sites is nowhere near what it was before the recession 10 years ago, however prices have been on the rise in recent years.

Again, the biggest factor is supply, with replacement dwellings and in-fill dwellings (building in a row of existing houses) being the most common types of rural building sites being passed by planners.

There is a wide range in prices paid for rural building sites, with prices generally running from £35,000 to £65,000.

There are exceptions to this, with prices going beyond £75,000 for sites in prime locations with scenic views.

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