Despite drier than normal conditions experienced by landowners in 2018, the value of rural land has increased significantly across the central west, central tablelands and north west when compared to the previous year, a new report has found.
The Valuer General’s report on NSW land values at July, 1, 2018, found rural land values increased across NSW over the 12 months to 1 July 2018.
Acting Valuer General Michael Parker said in general terms, increases in farm values are a sign of confidence in the rural sector.
The rural sector takes a longer term view and buyers are aware that seasonal conditions change.” Of the 19,022 rural properties in the Central Tablelands the total land value at July 1, 2018 was $8,336,786,341, an increase of 15.9 per cent from the previous year.
The report found that despite the dry conditions seen in 2018 strong stock and commodity prices and limited rural properties being offered to market increased demand for rural properties in the Central Tablelands, with land values increasing strongly by 15.9 per cent.
Strong demand for broad acre rural properties, increased investor demand and limited supply helped rural land values in the Central West region surge 24.1 per cent.
The total 20,649 rural properties in the Central West zone were valued at $13,962,861,853 at July, 1 2018.
The increases varied across the region from 10.1 per cent in the Weddin LGA to 66.8 per cent in Parkes LGA.
There was an 11.2 per cent increase of rural land value in North West, NSW.
Mr Parker said the land values determined by the Valuer General are specifically made to use in the collection of rates and land tax.