Positive Outlook for Australian Rural Property Market
The rural market has had a strong 2018 period, built off the tail winds of continued downward pressure on the softening Australian dollar from the January high combined with a dominant agricultural industry within Australia that has strengthened further in the 2017/18 period. However with all that is going on there still seems to be an appetite for investment and the outlook for the rest of 2018 looks positive, with land values increasing in line with agribusiness which is expected to continue into the future.
New South Wales
Whilst there remains some positive sentiment in the rural property market across New South Wales the ongoing drought is starting to have an impact on some buyers’ decisions to pursue rural property. Despite this, agents are still reporting higher levels of enquiry than they have experienced in the past several years, however a lack of supply is evident as landholders are waiting for improved seasonal conditions before trying to market and sell. We are seeing continued sales across most areas of New South Wales, particularly higher rainfall areas, however due to the negative climatic conditions encountered over the past 18 months there have generally been lower sales volumes. We expect this trend to continue while the area receives below average rainfall.
Reference: Herron White Todd