Farmers Weekly’s regional spotlight series is in Wales this week, where supply has been limited compared with last year, meaning strong interest in quality farms and land.
Average prices have only held up for the best in class.
But lifestyle buyers and forestry investors could help underpin the market over the next 12 months.
So far, lifestyle buyers in the Brecon Beacons and Pembrokeshire Coast National Parks have been very active.
Scroll down to see what agents made of this year’s market in Wales and what they expect for next year.
We also look at a farm that sold well in the area and one that is still on the market.
Looking back at 2017
The market has been steady in 2017. Supply has been limited compared with 2016, so there has been strong interest in the quality farms and farmland.
Farmer buyers have been particularly active for the prime commercial farms but we have also seen further competition from lifestyle buyers, who have been the strongest in 2017.
They have been viewing farms that are not completely geared up in a commercial way but have the potential for diversification.
Farms for sale in the Brecon Beacons and Pembrokeshire Coast National Parks have been particularly attractive for lifestyle buyers.
Daniel Rees, associate director, Savills
Looking ahead to 2018
Despite uncertainty surrounding farm subsidies and unpredictable commodity prices, the outlook for agricultural land remains positive.
We had more than 150 applicants register for details of Longslow Farm in the autumn, and new people are registering interest in land coming to the market – there is unmistakeable demand.
As well as the owner/occupier farmer looking to add to the existing portfolio, there are also still investors looking for opportunities and lifestyle business owners who require smart houses and land.
The popularity of woodland will continue next year due to its well-founded tax position and good returns in the commercial forestry sector.
Roger Parry, partner, Roger Parry & Partners