Land sales increased by 30% last year according to a report from auctioneering group Real Estate Alliance.
Based on the sales of 91 properties totalling 2,661 acres and worth €37 million, that were handled by 17 REA agents. According to the report, the overall price of land rose 1.5% last year to an average of €13,940 per acre.
Cash buyers dominated the market with two thirds of all lands purchased funded out of cash reserves.
Of those buying land, REA says 65% were local farmers, 9% were buy to rent investors and 7.7% were forestry buyers.
Another 5.5% of sales were for residential and development purposes, while 2% of sales were other farming customers.
The report says that 22% of those who sold farmland in 2023 are described as “siblings divesting ownership after a holding period”, marking an increase of over 15% in this cohort from 2022.
At 15.4%, the number of farmers downsizing is equal to the percentage of farms being sold due to probate, traditionally the primary driver of land sales.
Sales undertaken to fund other enterprises accounted for 14% of transactions while 11% were intended to fund retirement with 6.6% of sellers moving out of farming. Almost 8% of vendors were recorded as living overseas.
