Why more farms are going under the hammer in current market conditions

Thinking about selling your farm? Most farms are being sold under the hammer in current market conditions. One agent says demand is as strong as he has seen in the past 10 years.

Bonnies at Tallandoon sold under the hammer last week for $2.3 million.

MORE rural properties are going under the hammer during the month of December in comparison with the same time last year, according to The Weekly Times auctions listing.

The listing, which is compiled by The Weekly Times from information provided by leading agents, shows 13 properties are listed to be auctioned across the course of this month – five more than this time last year when eight properties were listed to go under the hammer.

Andrew Dufty from Charles Stewart in the Western District said market conditions were ideal for auctions rather than private sales or expressions of interest.

“The low levels of stock makes it ideal. Up until recently we’ve only been able to have 10 people at an auction and have had to move some to online but the results have still been very good,” Mr Dufty said.

“Demand is as strong as we have seen in the past 10 years. Strong commodity prices and low interest rates have put a lot of confidence in people’s minds.”

Last week, a 75ha livestock and grazing property at Tallandoon (pictured) sold at auction for $2.3 million, smashing its asking price of more than $1.5 million.

The property, Bonnies, had a carrying capacity of about 90 cows and calves and a number of working improvements.

Selling agent Mike Weller from Corcoran Parker recently told The Weekly Times that visiting the property was like walking into a sea of green.

“The farm is all alluvial river flats, and it sits in the bend of the Mitta Mitta river,” Mr Weller said.

One property to go under the hammer this week will be Whela Park at Finley in NSW.

The 226ha mixed farming property, owned by the Braybon family, will be auctioned on Friday with an asking price for more than $4920 a hectare.

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