Land prices are soaring, with one auctioneer declaring that they have 'gone crazy'
Land prices are soaring, auction rooms have never been busier as they record brisk business during and immediately after auction, with consistently strong prices being paid in all regions.
In the last week, out of 10 auctions, five farms sold in full under the hammer, while three sold immediately after auction.
One was withdrawn in its entirety and one sold in part. A total of 476 acres changed hands, realising in the region of €6.7m, giving an average price of €14,000/ac.
A huge price was paid in the auction room for a 91.6ac parcel of ground near Cahir in Co Tipperary. It made €2.125m or €23,000/ac. The tillage land comes with 1km of road frontage on the outskirts of Cahir.
Sold by Dougan Fitzgerald and Cashel Marts, it opened at €1m and attracted three customers before the hammer fell at €2.125m when the place was bought by a solicitor acting in trust.
Alison de Vere Hunt of Cashel Marts says the land market is ‘gone crazy’.
“I think the €10,000/ac price of last year is €15,000/ac this year,” she said. “People seem to be mad for land. Perhaps all the money from the last boom isn’t yet gone but the banks are giving out money for smaller parcels.”
Midlands auctioneer Matt Dunne sold a 91ac farm for €1.115m or €12,250/ac to a local business family. At the same auction he sold an 8.8ac field at Ballydavis, The Heath near Portlaoise for €123,000 or almost €14,500/ac.