‘Really positive’: Rural property market shows signs of improvement

“Rural New Zealand is looking better than it has in a long time," says Peter Newbold, General Manager Livestock & Real Estate for PGG Wrightson.

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New Zealand’s rural property market is beginning to show signs of improvement after a few quiet years.

That’s the sentiment expressed by PGG Wrightson’s General Manager for Real Estate, Peter Newbold.

Speaking to The Country’s Jamie Mackay, Newbold said the market was beginning to move in a positive direction.

Before the Covid-19 pandemic, Newbold said rural land sales were worth about $4 billion each year.

That changed in 2021 when sales dropped to around $2 billion.

Then, in 2022, there was a brief spike to $4.5 billion, but now the market had settled at just under $3 billion.

Newbold felt the movement was a good sign.

“To me, that sends a clear signal that things are on the move, which is really positive,” he said.

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The lifestyle market still represents a much larger purse, currently worth about $6 billion, albeit significantly removed from its peak of $10 billion.

Newbold said many people were still buying lifestyle properties, especially around smaller towns, and demand remained strong for small grazing blocks of around 50 hectares.

In the dairy sector, Newbold said the strong forecast dairy payout had been reflected in strong interest in the sector, with “a lot of players” making enquiries.

Following the traditionally quieter autumn and winter period, Newbold believed market activity for dairy would pick up in spring, when conditions improved and more properties came on the market.

He said sheep and beef farms remained in demand, with prices for lamb and mutton having increased this year, and farmers beginning to see better returns.

Newbold reported that in some areas, there was not enough livestock to meet demand.

“That’s good news for farmers,” he said.

“They can pay back debt and get into a stronger financial position.”

As for horticulture, Newbold said interest in the sector was increasing, especially in kiwifruit areas.

However, he reported, the viticulture sector remained quiet.

Newbold, who also oversees livestock for PGG Wrightson, said it had been a great year for that side of the business as well.

“Rural New Zealand is looking better than it has in a long time,” he said.

For a clearer picture of what’s happening in your region

Rural and lifestyle property markets can vary significantly across regions and sectors—from dairy, to sheep and beef, horticulture, and lifestyle blocks.

While national trends offer a broad view, what’s happening on the ground in your specific region can be quite different.

With 58 offices nationwide and a team of 160 sales consultants, PGG Wrightson Real Estate is uniquely positioned to offer local insight backed by national experience.

Their agents live in the communities they serve, and they understand the land, the lifestyle, and the local conditions driving buyer interest in your area.

Whether you’re considering selling or just want a more localised update on your region, talking to one of their experts is a great place to start.

With deep community ties and over 170 years of experience behind them, PGG Wrightson Real Estate can help you navigate the market with confidence.

To connect with your local real estate expert, visit pggwre.co.nz