Real Estate Alliance

FAQ Farming

Question 1:
When is good time to sell farmland?

The short answer is that the farmland market is extremely buoyant at the moment with an average price of farmland throughout the entire country being about €25,000 per acre. However, in saying that of course it is important to choose the right time of year to dispose of farmland. In general the farms look best in the Spring and the Autumn quite apart from the fact that July and August are traditional holiday periods and prospective purchasers are likely to be on holiday.

Question 2:
Should I offer my farm for sale in 1 or more lots?

Obviously, much depends on the size of the farm and also the frontage to a public road. I think it is fair to say that farms tend to make more if they are offered in lots although at the end of the day the farm my well be sold in its entirety but by initially offering it in lots on the day of an auction it often results in getting it into making more money. However, it is important that there is access onto a public road to the various lots. Typically in the case of a residential farm you might offer the property on 5 or 10 acres with the remaining lands in one or two lots depending on the size.

Question 3:
Should I offer my Farm sale by auction, private treaty or tender?

Generally speaking farms are sold by public auction as opposed to the other two aforementioned methods. There is great transparency in the auction and prospective purchasers know exactly here they stand in terms of bidding as farmers tend to be unfamiliar and a little afraid of tenders. Private treaty is also a common enough method of sale but it can be difficult to ascertain the exact value of a property and the auction is to my mind that best method of securing the highest price.

Question 4:
Does it cost more to sell a property by auction?

Yes. Auction campaign generally run for 3 to 4 weeks and the property will be advertised extensively firstly in the local paper together with the national press including publications such as the Farmers Journal, Farming Independent together with the property supplement in the Irish Independent and Irish Times. Websites are becoming increasingly more popular and the realestatealliance website is proving to be extremely popular with a huge number of hits daily. An auction campaign would generally cost in the region of €6,000 or €7,000. We also suggest preparing a good quality brochure of the farm with the emphasis on good clear pictures of the residence together with the buildings and also the land itself.

Question 5:
Will I have to show the property myself?

Absolutely not. We strongly advise that the agent dealing with the property always accompany prospective purchasers and in fact it is prudent for the owners not to be around at the time of the viewings.

Question 6:
Choosing an agent?

Real Estate Alliance who are all member firms of the Irish Auctioneers and Valuers Institute. It is always advisable to choose a local agent who would be familiar with the property and its worth in addition to be able to provide a high level of service to the vendor.

Thomas Potterton IAVI, T E Potterton Real Estate Alliance, Trim, Co Meath