Demand for farmland keeps prices high

Many units have gone to closing dates

Demand for Scottish farmland remains healthy despite the political uncertainty of recent months, according to land agents Galbraith.

Having launched a number of farming units on to the market at the start of the summer period, the firm says that many have successfully gone to a closing date and attracted competitive bids.

Duncan Barrie, partner at the firm’s National Farm Sales Centre, said: “We have seen a dip in the number of units coming to the market this year in comparison to 2018.

“That has helped to maintain demand and values.”

Market strength is about to be tested again, though, with Galbraith’s due to bring several new parcels of land to the market over the autumn months.

“In general, the larger fully equipped farming units and productive blocks of bare agricultural land within sought after areas are selling well,” said Mr Barrie.

“Buyers are either local farmers wishing to expand their holding – to benefit from economies of scale – or farmers relocating from elsewhere in Scotland or the rest of the UK.”

He said also that current availability and access to finance for agricultural businesses remains competitive, with many of the larger banks keen and willing to provide a loan for farm purchase at “historically low interest rates”.

He added: “As a result, many farmers are taking the decision to invest in a neighbouring holding and spread the cost over the medium or longterm and, in some instances, locking into low rates over a longer period of time.”

Carpow Farmhouse and land stretching to 100 acres is for sale at offers over £995,000.