Selling agents in Connacht reported prices of up to €8,000/acre for land in 2021 in IPAV’s latest farming report.
Overall, land prices in 2021 displayed what selling agents across the country describe as a “very discernible uptick”.
According to the latest IPAV Farming Report, which Minister McConalogue launched last week, land values rose by 10% last year, depending on locations.
Connacht land prices
Gerry Coffey MIPAV (Senior Vice-President) of Gerry Coffey Auctioneer, Williamstown, Co. Galway, reported that minimum prices for grazing land were in the region of €6,000/acre with optimum prices for forestry achieving €5,500/acre.
He reported that he experienced an increase in land coming to the market as the year progressed, fueled by “continuing demand”.
Reviewing last year, he said: “Land lettings were achieving in the region of €170 per acre. Beef, sheep, grain and milk prices all moved upwards, but a big worry is input costs.”
“Fertiliser, fuel, meal and contractor charges all have increased, so margins may be tight.
“With available EU schemes promoting a more green agenda and more environmental methods of farming poorer quality lands, I expect values will continue to increase,” he concluded.
Meanwhile, Cathal Meares MIPAV – Re/Max Team Earley, The Square, Roscommon, noted that supply was limited.
He reported that “strong” demand came from investors looking for potential returns of 3-5%, instead of negative interest rates in the bank.
“Prices achieved were up to €8,000 per acre for good grassland. With the forthcoming CAP requirements, I see a demand for raw land suitable for the planting of hardwood species.”
“Beef prices continue to thrive with strong demand coming from both the marts and agents alike.”
“Lamb prices have been the strongest ever experienced. I expect demand to continue into 2022. [The] Covid-19 [pandemic] has had no negative effect whatsoever on the agricultural sector,” he added.
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