Land auction prices crash to 5-year low
The average price of farmland sold at auction last year tumbled dramatically to a five-year low of just over €10,500/ac.
The annual Farming Independent land price survey revealed that the average price/ac paid for land in 2008 was just €10,561, compared with €24,000 in 2007.
However, when individual sales are examined, the picture isn't quite as gloomy as the national average price suggests.
The highest price/ac achieved in 2008 was €41,595 -- at the auction sale of Newtown House on 116ac at Eadestown, Naas, Co Kildare. The property, which included a derelict residence, was sold under the hammer in May for €4.825m.
For the land price survey, the country was divided into five areas: Munster, Connacht, Ulster, the commuter belt counties (Dublin, Kildare, Meath and Wicklow), and the rest of Leinster.
The values used in the survey are prices of farms actually sold at auction that were reported in the national farming press in 2008.
Farms that were withdrawn from auction unsold or sold, prior to or after auction, were excluded from the survey on the basis that the actual selling price is rarely revealed to the public.
Only land parcels of more than 10ac were included in the survey.