Buyer con­fi­dence low

South Waikato News - - RURAL DELIVERY -

Drought dried up buyer ap­petite for Waikato dairy farms last month, with just three sales com­pared to 13 in Jan­uary and 14 in De­cem­ber.

But REINZ ru­ral mar­ket spokesman Brian Pea­cocke said the pat­tern did not echo in graz­ing prop­erty sales, of which there were 10 last month, com­pared to five in Jan­uary and nine in De­cem­ber.

Fin­ish­ing prop­er­ties also bucked the drought trend with two sales in Fe­bru­ary, five in Jan­uary and two in De­cem­ber.

De­mand for well-lo­cated and con­toured dairy farms with good lev­els of im­prove­ment out­stripped sup­ply, Pea­cocke said.

He ex­pected the drought to take the shine off the tra­di­tional Jan­uary to early April surge in dairy farm sales.

Farm own­ers some­times did not put their prop­er­ties on the mar­ket if they were not look­ing their best, he said.

Seven re­gions recorded in­creases in farm sales for the three months ended Fe­bru­ary com­pared to the same pe­riod ended Fe­bru­ary last year.

Auck­land at 17 more sales posted the largest in­crease, with Nel­son on 16 and Waikato record­ing 11 more sales.

Seven re­gions posted de­creases in sale num­bers, with Can­ter­bury head­ing the list at -16 farms.

The me­dian price per hectare for all farms sold in the three months to end Fe­bru­ary was $21,951, 1.4 per cent up on the same pe­riod the pre­vi­ous year.

The na­tional me­dian for life­style blocks rose by $30,000 from $465,000 to $495,000 for the com­par­a­tive three month pe­ri­ods.

DRIED UP: Sales of dairy farms are down.

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