investment.

R

rangerwing

Guest
is agricultural land a good investment to buy,would you see a return on the land if bought at the right price.also how much would a farmer pay you to rent a acre of land per year on average?i apprreciate if any one could answer this,please.
 
It would depend on the quality of the land, whether it has a water supply (for livestock) and adequate fencing, the size of the field and drainage (for tillage), access points and the part of the country you are in.

When buying the land, it should be sold with those details. Have a look in the local papers for where you are as there is ususally land for rent and that will give you an idea of the prices in the area you are looking. However, there is often a fair degree of negotiation that goes on!
 
Renting of agri land is at about €150 - €200 per acre per annum, at least in the Carlow/Kilkenny/Laois area for reasonaly good land (with water supply).
 
rangerwing said:
is agricultural land a good investment to buy,would you see a return on the land if bought at the right price.also how much would a farmer pay you to rent a acre of land per year on average?i apprreciate if any one could answer this,please.
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renting it for 200 at most - realistically 150

Assume you want 5% mean land is worth €4k an acre at most

You will be lucky to find any land in ireland at double that price.

Most non dairy farmers make less than €10k a year - dairy farmers make a bit more but not alot. Look at the number of sites for sale on Daft and you see how farmers keep going

Subject to the odd exception

Land is bought by

1. Farmers who have sold land for development - immune to price ie got €15m for own farm spend €5m on new one
2. Farmers with lots of cash obtained in 70s and 80s or from external sources - a little sensitive to price
3. Rich business men for tax and leisure -
4. Speculators / builders / etc

Land is not bought by

1. Farmers for commercial farming reasons
 
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