Plenty of reasons for optimism in 2021 land market in Wales

The outlook for the 2021 farmland market remains positive in Wales with pent-up demand and restricted supply likely to roll over into next year.

Carter Jonas Associate Partner Hugh O’Donnell says large equipped farms have been few and far between, but that a number of buyers have been lying in wait for what has come forward for sale.

“The three Ds we hear so much about – death, debt and divorce – have been very much involved in what has been sold in mid and north Wales this year,” he said.

“We haven’t seen a pipeline of larger commercial farms, which can be explained in part by the uncertainties of Brexit.

“Best in class farms are still very much in demand – the market is very strong for quality as many would expect.”

Carter Jonas has brought two commercial units of note to the market in 2020 – a 109-hectare holding on Anglesey which is now under offer, and a 262ha hill farm in the Conwy Valley, which is on the market at a guide price of £2.95m.

“Brexit and trade deals still hang over us in Wales, but I expect the market to carry on and agriculture will adjust to the changes,” Hugh added. 

He says another feature in Wales in 2020 has been greater demand for lifestyle units.

Some of this can be put down to Covid-19 driving interest away from the city, but farmers looking for diversification opportunities are also active.

“For holdings up to 100 acres in those sought after areas of Wales such as the Snowdonia National Park and the Llyn Peninsula, I would expect lifestyle purchaser interest but you can’t say farmers won’t go for it,” Hugh said.

“I’ve sold two farms this year which I thought would be bought by a lifestyle buyer from outside Wales but both have sold to local Welsh farmers to add to their holding and to use the house for holiday accommodation.”
 
Hugh remains optimistic for 2021.

“We’ve got some early farms to bring to market and I’m positive about sales. I hope Brexit doesn’t affect agriculture adversely but we can move forward and the land market will follow suit,” he said.

For more information about the North Wales rural property market, contact Hugh O’Donnell on hugh.odonnell@carterjonas.co.uk or 07775 562112.

*The header image shows Trysglwyn Fawr, near Amlwch on Anglesey, which had a guide price of £2.45m and was the largest to hit the market on the Island since 2017. It is now under offer.