North West Queensland rural market saw spike in drought relief buyers: HTW Rural
Last year saw some high quality basalt country sell, creating the perception of a general increase in the market, however this does not tell the full story according to the latest report from Herron Todd White.
The property valuation firm found that this trend was fuelled by some stronger priced transactions whereby southern graziers were seeking grassed country for drought relief.
This year has seen some lighter Desert Uplands and Croydon forest sell in the mix, and the report found that last years index average is relatively high is due to a lack of Desert Uplands and Croydon country selling in 2019. Meanwhile, the lack of the good basalt sales this year created the perception that values were noticeably down.
The current Forest country (Other NQ) average is actually somewhere towards the centre of the 2017 and 2018 index results. The Northern Central Downs had a spike of higher priced sales in late February and into March this year.
Graziers from the Northern Territory, Central Queensland and Southern Queensland drought affected areas anxiously purchased downs country amid the perception that there was going be a substantial body of grass following the monsoonal flood event (this was not the case).
The report concludes that "the evidence since March does indicate a general strengthening on last years sales."
Once the transactions settle that are currently under negotiation, it is expected that the full year average index will be slightly lower than it is now.
