The median price for the 89 dairy farms sold nationally in the three months to May 31 was $34,789 a hectare, down from $51,563 in May 2016. The REINZ said that, as expected for the period leading into June when most dairy farm settlements take place, sales volumes across the country eased.
"Financier instigated activity, particularly in the northeastern Waikato, confirms recent comments from the Reserve Bank that some dairy farmers may struggle to cope with the debt levels built up over recent seasons, with selling being the only option in such cases."
The 36 Northland grazing properties sold to May 31 fetched a median price of $13,033 a hectare, not far short of the $14,160 a hectare median for the 155 grazing units sold nationally in the same three-month period.
And the nine Northland finishing farms sold to May 31 made a median of $22,772 a hectare, substantially ahead of the $18,464 regional median a year earlier but trailing the $27,141 a hectare median for the 157 finishing farms sold nationally in the three months to May 2017.
"Good returns from woodlots and plantations have resulted in an upturn of interest and sales activity."
The median price per hectare of the five Northland horticulture units sold to May 31 was $178,602, on a par with the $177,150 April sales median and substantially ahead of the $160,714 median in May 2016 and $128,544 median in May 2015. The 64 horticulture units sold nationally to May 2017 fetched a median $181,427 a hectare.
REINZ rural spokesman Brian Peacocke said sales figures for the three months to May 31 reflected a steady tone in the rural market as the productive portion of the season tapered off, albeit sales prices were giving mixed signals.
"In spite of an oversupply of rain and resulting crop and pasture management difficulties in some areas, most regions have benefited from favourable autumn conditions," he said.
"As early frosts and snowfalls signal the approach of winter, confidence within the rural sector continues to build in anticipation of improving incomes during the forthcoming season. Demand for quality properties and the shortage of supply remains constant."
Meanwhile, the 252 lifestyle block sales in Northland for the three months to May 31 had a median sales price of $439,500 a hectare, down from $446,000 in April but ahead of the $385,000 median for sales in the three months to May last year.
The 2304 lifestyle blocks sold nationally to May 31 had a median price of $626,500 a hectare, $51,000 higher than in May last year.
Mr Peacocke said reports from around New Zealand indicated an ongoing shortage of quality lifestyle properties, this most likely being reflected in the substantial upturn in values over the past 12 months.
