Richard Nocton of the Marlborough office has been involved in selling various farms in central southern England including a parcel of about 300 acres of arable and downland in the heart of Wiltshire. He has seen land values for good quality arable ground start to comfortably exceed £10,000 per acre. The buyers are coming from a mixture of both the farming community as well as investors seeking to shelter capital and benefit from 100% relief from Capital Gains Tax. Top quality arable land will be expected to continue in the current vein. Sales of pastureland and blocks better suited to livestock farming are still being chased by farmers.
For sellers of land and agricultural property, now is the time to sell – demand is high, banks are open for lending and confidence is strong. Richard Nocton is of the opinion that the confidence and prices will remain firm and upwards for the remainder of 2014.
For buyers this time next year may well be an easier time. We will have come into January and February 2015 with the pre-election hype that politicians seem to love, the election which is due on Thursday 7th May and the ever present threat of a rise in interest rates.
If there was going to be a combination to affect confidence and therefore possibly dampen price rises, this may well be the time.
In conclusion, now is the time to sell to take advantage of the strength in the market, it may not last.