The team at a local farm estate agency has experienced its busiest spring and early summer for many years.
So far this year, the Axminster-based Symonds & Sampson Farm Agency team has helped launch more than 40 farms and smallholdings to the market, in addition to numerous blocks of bare land.
A spokesperson for Symonds & Sampson said: “A handful of sales have even been completed, which is unusual in a property market where transactions are taking longer due to legal and financial processes. This is a testament to our detailed sales preparation, targeted marketing campaigns, thorough due diligence, and excellent working relationships with property solicitors.”
The values of agricultural property and land have remained resilient, but it's important to look closely at the details to understand the full picture. Commercial farmers, who form the backbone of buyers, have been affected by lending rates that have stubbornly remained at four per cent above the lows of the 2010s. As a result, there is now more variation in values depending on the location.
High-quality bare land in sought-after areas is now regularly selling for more than £10,000 an acre, while marginal land in less desirable areas is not, unless it has a high conservation or marriage value. Farms with more than 100 acres and a dwelling are fetching £15,000 - £20,000 per acre, and the value is likely to be even higher if there are large principal or multiple dwellings on the property.
The farm agency spokesperson added: “We have noticed that investor buyers are seeking scale. 300-plus-acre farms or blocks of land are less frequent and easier to sell than those of 50 acres.
“The buyer profile is gradually changing as more institutional and private investors enter the market, perhaps viewing land as a safer commodity under a new government. Other active buyer types are farmers and estates seeking to defer capital gains tax by rolling over funds from development land sales.
“We are also seeing a range of buyers securing land for environmental benefits, including national tax-funded organisations, trusts, pension funds and private individuals.”
Anyone interested in selling or buying a farm or land can contact Ross Willmington at Symonds & Sampson in Axminster on 01297 33122. Alternatively, look out for their stands at the Honiton, Melplash, Gillingham & Shaftesbury, or the Dorset County Shows this summer.
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