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Autumn rural property outlook shaped by finance, and unexpected rainfall

March 14, 2024

As autumn approaches, Travis Wentriro, NSW Network Manager, Raine & Horne Rural, highlights finance and water as the predominant rural property themes.

According to Travis, unexpectedly higher rainfall has showcased properties to buyers in an advantageous manner, fuelling increased interest in rural properties. “Contrary to predictions of drought conditions, the abundant rain has caused cattle and sheep prices to head north again,” he said.

“There’s water in the dams and in many regions, farmers have stopped hand-feeding cattle as there is feed on the ground. These are all positive factors that are underpinning demand for rural property.”

On the flipside LVRs for rural properties are now averaging closer to 70%, which means buyers need reasonably larger deposits and equity to secure a rural property. “The smaller LVRs are a factor in the speed of rural property transactions,” Travis said.

In the agistment space, some farmers still impacted by drier conditions are actively seeking fattening blocks for lease. According to Travis, some are willing to transport cattle across state borders for the right opportunity, as it proves more cost-effective than hand-feeding them for six months on a property facing water shortages.

Furthermore, a noteworthy development involves properties that were destocked last year due to drought-like conditions. “These properties are currently being utilised for agistment as they have become greener with the recent rainfall, while farmers consider restocking,” Travis concluded. 

If you’re considering listing a rural property, contact your local Raine & Horne Rural estate agent today.