A new wind blows to Britain's great farm lands. It is not only the housing and commercial sectors that have joined the booming real estate but it seems the farmlands are changing their real estate strategy as well.
Has the seasons changed for the farmers? Are the farmlands finally grabbing hold of the shifting real estate environment? According to a report by propertywire.com, "The British farmland market is becoming more finely balanced leading to a greater range in values achieved with sale prices more tightly pegged to local supply and the number of potential buyers."
The farmlands are indeed stabilizing but the growth and the development is still secured to the local conditions. However, what stands out in the local farmland markets are the implementing strategies for the reduction of competition between farmers and non-farmers alike. The policies were also in motion to reduce the competition between the investors and the buyers.
The gathered data shows that the farmland values in the UK increased during the first half of 2015, continuing their long-term trend although the rate of increase is slowing as based on a survey done by savills.co.uk.
Statistics have also shown that there is an increase by 1 one percent on the average grasslands' prices, showing it is improving as well. The growth in terms of sales and marketing the grasslands are tightly secured by the policies and regulations set forth locally. For instance, only 5 percent of the land was publicly marketed during the first half of 2014 and according to a report by propertywire.com, "Almost half of the acres advertised were arable compared with around 30% in the previous four years."
E\While others are moving out of the countryside to live in the metropolis, the farmlands are affected too. According to a statement by Alex Lawson director of Savills Farms and Estates, "There is evidence of some farmers, especially those without successors taking the opportunity of current record values to exit the industry."
This clearly shows that the private market for farms and land remains active while off market activity levels in the past few years are probably at their highest in several decades as stated in a report by propertywire.com.
The grass will always be greener on the countryside for the people that want to invest in farmlands. However, proper caution is strictly implemented to reduce the competition that might affect the overall real estate industry of Britain's great grasslands.
