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Get the price right, and rural property buyers will come says Raine & Horne Rural

June 25, 2024

The current state of Australia’s rural property markets is a result of the interplay between monetary policy and climate uncertainty. These factors have combined to create a testing environment for rural property sellers.

 Travis Wentriro, Network Manager at Raine & Horne Rural, points out that days on market have extended across many rural markets. “Economic factors such as higher interest rates and fluctuations in cattle and sheep prices are influencing demand for rural property,” he said. 

Additionally, predictions by the Bureau of Meteorology about drought conditions in 2024, which fortunately have not materialised due to a brief El Nino weather event, also impacted rural property confidence. “Nonetheless, we remain optimistic about the short-term future of the rural property market as long as the Reserve Bank plays its part with some widely predicted rate cuts later this year,” Travis added. 

The lifestyle rural property markets are closely tied to business confidence. “Many lifestyle properties, whether in Goulburn in NSW or Queensland’s Majors Creek, depend on money flowing from the cities,” said Travis. “Cashed up second home buyers from the cities is a big driver for rural. This is partly due to the higher deposit requirements for rural properties, with buyers needing at least a 30% deposit compared to 10% for a residential home,” Travis explained. 

“Sentiment is a significant factor, and fluctuations in sentiment can impact rural lifestyle markets overnight. However, we are just an interest rate cut or two away from the rural market gaining momentum again.”

Travis acknowledges that while rural markets have plateaued, there are still buyers if vendors are willing to be realistic with their pricing. “Two years ago, we might have had ten buyers for a property; now, there might be four. However, sales are still very much possible with the right pricing and expectations.”

In the NSW Southern Tablelands, Nick Heath, Rural & Residential Salesperson at Raine & Horne Rural Goulburn, confirms that there are still plenty of buyers for quality rural lifestyle properties, provided vendors price their properties sensibly. 

 “A couple of rate cuts and the market will take off, and for this reason, we’re seeing the smart money on the lookout for quality lifestyle rural properties in our region before the central bank loosens rates,” he said.

Nick highlighted the ongoing sale of the stunning Old Willowvale, a 120-hectare rural retreat at 502 Bolong Road, Laggan[i], listed for $1.9 million. “We’ve received numerous enquiries from C-suite executives in Sydney’s banking and IT sectors and entrepreneurs seeking a second residence. Many interested parties will work from the property 2-3 days a week,” he said.

Old Willowvale features 1.5km of Myanga Creek frontage, a charming 1910s farmhouse, an 1860s stone cottage converted to an office, a large truffle plantation, and equestrian infrastructure. The recently renovated cedar-clad farmhouse includes three bedrooms, one bathroom, wrap-around verandas, double-glazed French doors, original kauri floorboards, and a Cheminees Philippe fireplace. 

Surrounded by four acres of landscaped gardens, the cottage offers complete privacy and is perfect for relaxing and enjoying the tranquil environs. The property is off-grid with a modern 2.4kw system and superfast Starlink internet. Additional features include a horse arena, a partially restored shearing shed, six dams full to the brim, multiple paddocks, allowing for the rotation of livestock and several smaller paddocks for equestrian use and a seven-year-old irrigated black truffle plantation. 

Nick Heath added, “Located 20 minutes from the charming town of Crookwell and within reach of Canberra and Sydney, Old Willowvale is a perfect rural retreat with the potential for agricultural income.”

Contact your local Raine & Horne Rural estate agent today if you’re considering listing a rural property. 

[i] https://www.raineandhorne.com.au/goulburn/properties/502-bolong-road-laggan-2583-new-south-wales