Tamworth sees a significant drop in rural land values: HTW rural

Tamworth sees a significant drop in rural land values: HTW rural
Tamworth sees a significant drop in rural land values: HTW rural

The drought in the Tamworth region continues to have a significant impact on the number of rural properties on the market.

It is also affecting the level of demand from prospective buyers, according to the latest Herron Todd White (HTW) rural report.

The report suggests the short to medium term seasonal outlook which is looking like the dry conditions may continue into winter is also concerning for buyers.

Since the start of 2018, there have been approximately 25 rural and rural lifestyle sales of property in excess of 200 hectares in the Tamworth region, which is down from approximately 48 rural and rural lifestyle properties sold in 2017/2018.

The predominant buyers are in the lifestyle category who have off-farm incomes, with some neighbor-to-neighbour sales also occurring.

With very low on-farm incomes over the past 18 to 24 months, and in some cases over 24 months, sellers are under increased pressure with evidence to suggest they’re needing to reduce asking prices to meet the market, the valuation firm notes.

At this stage, with a low turnover of sales transactions, it is harder to gauge how the drought is affecting rural values. There are a handful of properties purchased in 2016 and 2017 that have been re-listed for sale. When or if they sell will give a better idea of how the drought is affecting land value.

"From the sales that have occurred, it appears that the median hectare rate has steadied and remains firm," said HTW.

"We are yet to see a significant drop in rural land values."

A current $775,000 listing is a 64 acre Tamworth mix-farming property (pictured above). 

Located at 64 Porcupine Lane, it comes with three bedroom house, workshop, tac room, woodshed, and garden shed.

There is a disused piggery and seven paddocks plus five small holding paddocks.

A recently serviced bore with an electric pump provides water to a header tank that supplies eight troughs and there are three dams.

Tamworth sees a significant drop in rural land values: HTW rural

Oakview, a 455 hectare farm in Tamworth, has been recently sold (pictured above).

It was listed for sale with $1.415 million to $1.65 million hopes. 

Situated only 30 kilometres to Tamworth CBD, Oakview at 701 Mulla Creek Road comes with creek flats, arable slopes, and 3 kilometres of frontage. 

The weatherboard homestead features four bedrooms, separate informal and formal living areas, and covered deck with views.

Tags: 
Tamworth Rural Market

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