Agricultural land values in England have reached their highest level since 2016, with the majority of farms and parcels of land now selling well in excess of their guide price, writes Ross Willmington, Partner in our Farm Agency department
The average value of arable land is currently at £9,500 per acre – a significant rise since the end of 2021, this is 2% higher than a year ago. The average value of pasture is £7,500 per acre, which is 3% higher than 12 months ago. Averages often disguise that there is still very wide variability in the prices being paid, influenced by location, quality of land and the level of local interest, but the trend continues to be one of growth.
Demand continues to outweigh supply, leading to stiff competition for nearly all farms marketed. Sizeable commercial and residential farms are still rare on the open market and we have a huge list of applicants looking for the right farm in the southwest. Low supply means high values fuelled by strong demand from regional, national and increasing numbers of international buyers.
The high prices being achieved are also starting to turn heads and entice some of our clients to sell if they are nearing retirement and have no successor. However, it seems unlikely that supply will increase significantly to change the balance of the market, given the level of pent-up demand for farms and land.
Our team of farm agents (pictured) recently had a very productive meeting in The London Office to discuss our specialist strategy for marketing farms and land. If you are considering your options and need fresh, independent advice speak to Ross Willmington on 01297 33122 or a member of our Farm Agency team in your nearest office.
Andrew Tuffin, Sturminster Newton, Head of Farm Agency 01297 33122
Ross Willmington, Axminster 01297 33122
Lucy Carnell, Yeovil 01935 423526
Will Wallis, Dorchester 01305 236237
Jack Edwards, Salisbury 01722 334323
Jack Denning-James, Devizes 01380 710535
Bob Bickerstaff, London 0207 8390888