More buyers than sellers: A rural market a decade in the making

A rural market tipped in favour of sellers

By contrast, the here and now is a straight supplyversus-demand equation, where the market is operating on a “farmer-to-farmer” basis with very limited competition from alternative land uses.

There are a lot of farmers and growers currently looking to expand their businesses to take full advantage of the very favourable operating conditions; however, there are far fewer farmers and growers actually looking to sell.

We can see this playing out in real time with the level of activity around new listings nationally. Our team across the country are talking to farmers and growers every day, and this gives us a very good view of what’s happening on the ground. Buyer enquiries are coming through early, and buyers are well positioned to operate. Particularly when the right property comes to market, buyers are definitely paying attention.

The chart below compares the number of listings for the season and the relative percentage clearance rates. Other than the peak of 20/21, the last 12 months have been the best for farms going to market and being successfully sold.

Given the lack of rural stock on the market, this 80% figure could rise further over the 26/27 season. Not least because a significant number of long-dated farm listings going back several seasons sold last season.

“For buyers, the reality of missing an opportunity is now very real.”

For buyers, the reality of missing an opportunity is now very real. For those with a growth mindset, the opportunity cost of not securing assets to support their farming business will be a real consideration this season as buyers determine what to pay.

We expect buyer demand for quality listings to continue to drive stronger sale prices nationally, and not just in the sought-after locations. For those of us who have seen a season or two, good times don’t last forever. Buyer sentiment can shift, and while none of us expects a dip in underlying valuations over 2027/28, having more buyers than sellers isn’t something anyone should bank on indefinitely; historically, this has been the exception, not the rule.

What makes our times more unique is that nothing in the current market depends on alternative land use, foreign buyers, or Central Government largesse; it’s all about the economics of growing and farming, and how well positioned we are to take NZ Inc into the future as a primary export nation. The activity we are seeing around new listings is perhaps the clearest evidence of that confidence right now.

Whether you are looking to buy or sell your farm or lifestyle property, our True Team is here to exceed your expectations. With the right balance of experience, energy, and local insight on your side, you can move forward with confidence alongside Property Brokers.