Recent sizeable land sales highlight great opportunity PDF Print
The ongoing strength of the rural land market has led to several large land disposals in recent months, as experienced farmers take the decision to liquidate some of their assets during an incredibly buoyant market, in preparation for retirement or to fund alternative projects.

Others could well be advised to follow suit. If the next generation in the family are not keen to farm, then selling land at what could well be the peak of the market, offers a great opportunity to generate substantial capital sums. This capital could then be used to invest in other enterprises diversifying and spreading risk, to give lump sums to family members or to secure an excellent retirement nest egg, all in a controlled time period which could support very effective tax planning.

These sales have not been complete disposals. Farmers have retained a reasonable amount of productive land, farmhouse and buildings to keep a viable and appealing business, but have disposed of plots ranging from 50 to 500 acres. There could also be the option to explore sale and leaseback arrangements to retain some productive use of the land if it is needed.

With declining SPS payments, rising input costs and the recent problematic operational conditions like those experienced during this year’s harvest, it is not surprising that some farmers are taking a strategic view to dispose on a high, which may not be sustained for much longer. Some experts are predicting that land prices may decline by up to 10% by the start of 2009 as more farmers do choose to cash in, so it will be a case of timing disposals well to make the most of the market.

For land valuations, advice on a disposals strategy, or simply more information please contact Matthew Peters on 01452 880184 or This e-mail address is being protected from spam bots, you need JavaScript enabled to view it