WE might be on the way back from the financial crash but the average price of an acre of agricultural land in the West and North West was over €9,300 less in 2015 than it was in 2007.
The 2015 Land Prices Report from Ganly Walters Auctioneers showed an average land price in the West of Ireland of just under €6,000 an acre (€5,942).
Back in the peak days of ‘The Boom’ in 2007, the average price of an acre of farming land in the West came in at €15,293 – €9,3551 more expensive than last year.
The same trend has been replicated all across the country, according to Ganly Walters – back in 2007, the price of an acre of agricultural land in the Dublin/Wicklow/Kildare region was €30,543 – last year it had dropped down to €12,740.
Agricultural land prices in the West and North West dropped to the lowest figure of recent times back in 2010 – at the peak of the financial depression – when an acre of land averaged out at just €5,386.
While there was a steady increase in land prices in the West of Ireland from 2011 through to 2013 – up from €7,148 to €8,557 – the graph has been going the other way since then.
In 2014 the average agricultural land price in the West dropped from €8,557 to €6,662 an acre and slipped again last year (2015) to €5,942 per acre.
Robert Ganly, Managing Director of Ganly Walters, said that in Donegal, Sligo, Leitrim, Mayo, Roscommon, Galway and Clare, the €5,942 per acre average price was down by a significant 10.5% on the €6,622 per acre paid in 2014. The region recorded 1,820 acres sold in 31 transactions in 2015, he said.
“In the 20 to 49 acre bracket the average price was €6,375, compared to €7,964 per acre in 2014. There were 19 recorded sales in this category. In the next category of 50 to 99 acres, where there were three sales, the average price was €7,062, a 41% increase from the 2014 average of €5,005,” said Robert Ganly.
Almost all across the country the price of farm land in 2015 was less than half of the peak year of 2007 while the drop was even more pronounced in the West and North West region, according to Ganly Walters.