Buying up bush havens
Toowoomba and Darling Downs rural property market thriving amid crisis
RECORD beef prices, low interest rates and rising land values are driving demand for rural properties as buyers seek a “safe haven” investment in the new COVID-19 world.
Despite some of the worst drought conditions in generations, people are investing in the Queensland bush.
Independent valuer Herron Todd White’s last report reveals the state’s rural property market is thriving, with agricultural land seen as a safe haven asset in times of uncertainty.
Prices are strong, with values in some areas hitting record highs and while price points are high, the valuer says long-term capital gains have proved to be “exceptional”.
Ray White Rural Toowoomba principal Myles Cosgrove said there had been strong demand for rural properties in the past 12 months, due to low interest rates, the low Australian dollar and good commodity prices.
Mr Cosgrove said agricultural land prices had increased between 10 and 30 per cent.
Most of the demand was coming from Australian families, rather than overseas.
“Families are seeing a really good future, so they’re expanding while they’ve got the opportunity,” Mr Cosgrove said.
“People are looking for assets to complement their existing holdings.
“Stock is low, but there are opportunities for buyers out there, and as spring progresses, we’ll start to see more properties hit the market.”
Mr Cosgrove said there had also been a strong increase in demand for rural lifestyle properties within two hours’ drive of Brisbane.
“Recently, I sold a lifestyle hobby farm of just under 300 acres to Brisbane buyers and the strong demand saw multiple offers from buyers on the Sunshine Coast, Gold Coast, Brisbane, NSW and Victoria. I think in many ways COVID-19 has strengthened the Toowoomba and Darling Downs market with buyers from multiple postcodes finally seeking refuge in private and scenic locations. The recent rain in some areas has given some much needed optimism for the end of 2020 and a bright start to 2021.”