What's agricultural land worth these days

MungoMan

A few years ago, Irish Agri land prices were the most expensive in Europe............back to reality now it seems

What's good quality agri land making now in Ireland ? Any examples.

irishh_bob

MungoMan wrote: »

A few years ago, Irish Agri land prices were the most expensive in Europe............back to reality now it seems

What's good quality agri land making now in Ireland ? Any examples.

big variation at the moment , land is being sold for 5k and acre in places like cavan , monaghan and connacht where as its freely making double that down south and in parts of meath , kildare , wexford etc

whelan1

see a guide price for a dairy farm near ardee with quota is €9000 an acre with out the quota iykwim, but there are sheds etc in the auction... savilles auctioneer have the sale

chickenfarmer

48 acres of land sold in Co. Limerick for 520,000 last Friday.

Tipp Man

I would say there are a few factors which are having a major bearing on price

1) quality of land - although maybe not as much bearing as say 15 years ago, good land is still worth more

2) what farmers are interested close to it - get 2 lads stuck on a place and it could make good money if they both want it

3) is there any farmer with road/development money knocking about

But impossible to say what a specific piece of land would make without knowing some of these

flatout11

irishh_bob wrote: »

big variation at the moment , land is being sold for 5k and acre in places like cavan , monaghan and connacht where as its freely making double that down south and in parts of meath , kildare , wexford etc

bob if you can get land in the afore mentioned counties for 5 k you can bid for me at the next ones, l
and is freely making 9k an ac all over the place, farm sold in galway 30 ac €280,000
to the origional question id say its worth 4000 ........ but what is worth and what you will have to pay for it are always 2 different things

Cavanjack

flatout11 wrote: »

irishh_bob wrote: »

big variation at the moment , land is being sold for 5k and acre in places like cavan , monaghan and connacht where as its freely making double that down south and in parts of meath , kildare , wexford etc

bob if you can get land in the afore mentioned counties for 5 k you can bid for me at the next ones, l
and is freely making 9k an ac all over the place, farm sold in galway 30 ac €280,000
to the origional question id say its worth 4000 ........ but what is worth and what you will have to pay for it are always 2 different things

Recently bought 22 acres. Paid close to 6k an acre for it. It's real dry land and is right beside our farm yard so was good value.

Tipp Man

whelan1 wrote: »

see a guide price for a dairy farm near ardee with quota is €9000 an acre with out the quota iykwim, but there are sheds etc in the auction... savilles auctioneer have the sale

Whelan whats the land like in that area? do you know this specific farm?

whelan1

its good enough land, theres maize in 1 part of it now and grass, think there is 130,000 gallon quota also, there also a good bit of road frontage , its in last weeks journal

irishh_bob

flatout11 wrote: »

bob if you can get land in the afore mentioned counties for 5 k you can bid for me at the next ones, l
and is freely making 9k an ac all over the place, farm sold in galway 30 ac €280,000
to the origional question id say its worth 4000 ........ but what is worth and what you will have to pay for it are always 2 different things

even in the farmers journal which is renowned for reporting high price sales , ive spotted reports of farms making around 5 - 6 k an acre in places like roscommon and even offaly aswell as cavan and monaghan

sprouty

Cavanjack wrote: »

Recently bought 22 acres. Paid close to 6k an acre for it. It's real dry land and is right beside our farm yard so was good value.

Well done & congrats Cavanjack....best of luck with it.

jinghong

Tipp Man wrote: »

I would say there are a few factors which are having a major bearing on price

1) quality of land - although maybe not as much bearing as say 15 years ago, good land is still worth more

2) what farmers are interested close to it - get 2 lads stuck on a place and it could make good money if they both want it

3) is there any farmer with road/development money knocking about

But impossible to say what a specific piece of land would make without knowing some of these

I would have thought the single biggest factor is the banks willingness to lend money on land. I see a squeeze coming, as the economy takes a turn down, and incomes drop, while input costs stay stubbornly high

irishh_bob

jinghong wrote: »

I would have thought the single biggest factor is the banks willingness to lend money on land. I see a squeeze coming, as the economy takes a turn down, and incomes drop, while input costs stay stubbornly high

land is still on a downward trojectory no matter what anyone says

jinghong

irishh_bob wrote: »

land is still on a downward trojectory no matter what anyone says

I have to say I feel the same. Most of above comments I'd agree with though

Tipp Man

jinghong wrote: »

I would have thought the single biggest factor is the banks willingness to lend money on land. I see a squeeze coming, as the economy takes a turn down, and incomes drop, while input costs stay stubbornly high

Quite true

But around us there are plenty of lads with a lot of cash in the bank and see land as a decent investment, that combined with guys who have development/road money mean that the effect of the banks isn't to large and keeping prices up, certainly for smaller pieces where people are paying in cash or borrowing very little

Having said that there is not a huge amount of land for sale in our area so it is hard enough to judge exactly what is happening.

I suppose if you are borrowing the most important thing is to only borrow to a level that you are comfortable with and allow quite a bit of leeway for some shock factors outside your control

keep going

One thing that is almost never mentioned is usually there is a house in alot of these 10k an acre places ,I think there is a certain amount of flushing out of development money going on at the mo

MungoMan

Some people have mentioned the logistics of borrowing money to buy agri land......
I don't think there's ever really been a time when borrowing money to buy land was a viable thing, because of the profitability problem.

I see buying land as a bit like buying gold, you wont get get much of an annual return on your investment, but if you are lucky, it might hold its value/ or rise in value.

Nobody would borrow money to buy gold, and for the same reason, people shouldnt borrow much money to buy land.

My father and I were arguing in 2007 about some land which he wanted to buy, my father said land is always a good investment because "they arent making any more of it"...........what a load of rubbish that statement has proved to be.....land bought in 2007 is worth half of what it was.

Wouldn't it be good to have a "sticky" with agricultural land sales prices.........every time land is sold, it could be updated.........there is no national public database of land sales, is there ?

irishh_bob

MungoMan wrote: »

Some people have mentioned the logistics of borrowing money to buy agri land......
I don't think there's ever really been a time when borrowing money to buy land was a viable thing, because of the profitability problem.

I see buying land as a bit like buying gold, you wont get get much of an annual return on your investment, but if you are lucky, it might hold its value/ or rise in value.

Nobody would borrow money to buy gold, and for the same reason, people shouldnt borrow much money to buy land.

My father and I were arguing in 2007 about some land which he wanted to buy, my father said land is always a good investment because "they arent making any more of it"...........what a load of rubbish that statement has proved to be.....land bought in 2007 is worth half of what it was.

Wouldn't it be good to have a "sticky" with agricultural land sales prices.........every time land is sold, it could be updated.........there is no national public database of land sales, is there ?

when i hear someone say , buy land , thier not making anymore of it , i always reply , but sure they werent making anymore of it a hundred years ago either

that said , with money itself shakey and stocks and shares on a constant downward direction , thier is a lot to be said for land as a safe haven for people who have spare cash , at the right money , its also a much better investment than gold , thier is no return or earnings from gold , you can make a little to a lot from land depending on what your doing with it

Dazzler88

Land around with us is still making way too much IMO...Looking at average farms in North Leitrim/Sligo.Making between €5000-6000 an acre for average land.This is what is stopping young people getting into farming.

Seen a place going up for sale beside us recently for €6000 an acre,it was an old man died,family comes back from England opens will and put it on the market.Some auctioneer then comes out and overvalues it.

Numerous locals have offered the family €4000 an acre but they refuse as the auctioneer says its not enough.When really its too much,I wouldn't give €2000 an acre for it,very badly poached and not even fenced properly.

I still think land is overpriced.

adne

Dazzler88 wrote: »

Land around with us is still making way too much IMO...Looking at average farms in North Leitrim/Sligo.Making between €5000-6000 an acre for average land.This is what is stopping young people getting into farming.

Seen a place going up for sale beside us recently for €6000 an acre,it was an old man died,family comes back from England opens will and put it on the market.Some auctioneer then comes out and overvalues it.

Numerous locals have offered the family €4000 an acre but they refuse as the auctioneer says its not enough.When really its too much,I wouldn't give €2000 an acre for it,very badly poached and not even fenced properly.

I still think land is overpriced.

Where's that land n Dazzler? Sounds familiar

Dazzler88

adne wrote: »

Where's that land n Dazzler? Sounds familiar

Leitrim...Its way over priced in this county IMO...

Cavanjack

sprouty wrote: »

Cavanjack wrote: »

Recently bought 22 acres. Paid close to 6k an acre for it. It's real dry land and is right beside our farm yard so was good value.

Well done & congrats Cavanjack....best of luck with it.

Thanks sprouty. I see a big variation in Meath on the farming indo yesterday. Land in Meath 6k an acre in one place 12k an acre in another not too far down the road from each other.

krazyfarmer

Just heard 20 acres made €200000 in Monaghan today. Any one hear what Dairy farm in Ardee made?

whelan1

krazyfarmer wrote: »

Just heard 20 acres made €200000 in Monaghan today. Any one hear what Dairy farm in Ardee made?

i am waiting to hear from people what it made when i hear i will report back:D my dad always says if you are not doing business at an auction you have no business being there

krazyfarmer

Thanks. Looked at it last week. Great big fields good land

whelan1

€920,000 for the whole lot but not sold:)

Juniorhurler

whelan1 wrote: »

€920,000 for the whole lot but not sold:)

How much land was in it and what quota was with it W1?

gally74

What is forested land making say 15 yr old spruce plantation?.

bbam

Small plot of 7 acres sold in Cavan recently..
Was bought back in the early 70's and not a penny spent since only the odd fence post to ditch.. No drainage/reseeding... Rushes like bamboo... hasn't had stock in about 5 years and was trouble for redwater and blackleg..
Made €50K no bother.. Probably would have made a little more only that was the target.. It's off a byroad off a byroad off a small road.. ballygobackwards.
Bought by a dairy man..

whelan1

Juniorhurler wrote: »

How much land was in it and what quota was with it W1?

tried looking it up on savills website and its not on it... there was around 80 acres and 130,000 gallons of quota afaik

whelan1

whelan1 wrote: »

€920,000 for the whole lot but not sold:)

the other lots where making 900,000, apparently a small bit was sold for a site

have2flushtwice

http://www.independent.ie/farming/negotiations-set-to-run-after-174ac-tipp-sale-stutters-2915230.html

looks like this one is set to run. seems a bit cheap of you include a yard that will hold several hundred cattle, and a house?

Dazzler88

Definitely nothing compared to what some people bought land for 5 years ago.

Here's another farm with about 60 acres less,look at the guide price

http://www.daft.ie/searchcommercial.daft?id=61906

sean_0

Dazzler88 wrote: »

Definitely nothing compared to what some people bought land for 5 years ago.

Here's another farm with about 60 acres less,look at the guide price

http://www.daft.ie/searchcommercial.daft?id=61906

There are a lot of farmers around that area with road money so that pushes land values up a bit compared to the rest of the country.

whelan1

whelan1 wrote: »

the other lots where making 900,000, apparently a small bit was sold for a site

this guys cows are in the journal for auction in november... good cows