Despite the challenges posed by COVID-19 and Brexit, land prices in 2020 have remained “remarkably resilient”, according to a report launched by the body representing Irish land auctioneers.
The Institute of Professional Auctioneers and Valuers' (IPAV) farming report found that demand was particularly strong among “cash rich non-farmers chasing a better return than they would get elsewhere”.
While overall prices remained steady, there was a fall in the volume of land sold as people chose to hold off selling land during the pandemic.
Demand
Pat Davitt, IPAV CEO said there are a number of factors driving demand, including:
Smaller farmers wishing to increase their holdings where neighbouring, usually small plots, come on the market. Larger farms consuming smaller ones.Continuing interest in land leasing, particularly by younger farmers who are not in a position to buy their own holdings.He said among the newer trends were investors chasing a better return on their money, people returning from overseas, and the normalisation of working from home.
Davitt believes the latter factors augur well for the future of rural residential holdings and land values.
“If they are sustained they will improve viability on smaller holdings with greater opportunities for off-farm income and will breathe new life into rural Ireland,” he said.
2021
The volume of land that will come on to the market in 2021 is likely to be impacted for at least the first six months of the year due to the ongoing pandemic, IPAV believes.
Davitt said long-term leasing remained the only viable option for many young farmers hoping to run their own farms. The increase in Stamp Duty to 7.5% is an additional impediment for young farmers attempting to buy holdings, he added.
Read more
27 acres of land for sale in Mayo
Good hill ground on offer in Waterford
Despite the challenges posed by COVID-19 and Brexit, land prices in 2020 have remained “remarkably resilient”, according to a report launched by the body representing Irish land auctioneers.
The Institute of Professional Auctioneers and Valuers' (IPAV) farming report found that demand was particularly strong among “cash rich non-farmers chasing a better return than they would get elsewhere”.
While overall prices remained steady, there was a fall in the volume of land sold as people chose to hold off selling land during the pandemic.
Demand
Pat Davitt, IPAV CEO said there are a number of factors driving demand, including:
Smaller farmers wishing to increase their holdings where neighbouring, usually small plots, come on the market. Larger farms consuming smaller ones.Continuing interest in land leasing, particularly by younger farmers who are not in a position to buy their own holdings.He said among the newer trends were investors chasing a better return on their money, people returning from overseas, and the normalisation of working from home.
Davitt believes the latter factors augur well for the future of rural residential holdings and land values.
“If they are sustained they will improve viability on smaller holdings with greater opportunities for off-farm income and will breathe new life into rural Ireland,” he said.
2021
The volume of land that will come on to the market in 2021 is likely to be impacted for at least the first six months of the year due to the ongoing pandemic, IPAV believes.
Davitt said long-term leasing remained the only viable option for many young farmers hoping to run their own farms. The increase in Stamp Duty to 7.5% is an additional impediment for young farmers attempting to buy holdings, he added.
Read more
27 acres of land for sale in Mayo
Good hill ground on offer in Waterford
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