Australian farmland values rose for the ninth consecutive year in 2022 due to strong demand and robust performance of the agriculture sector.
According to the latest report by Rural Bank, which specialises in financial services for farmers, the national median price of Australian farmland jumped 20 percent to $8,506 (US$5,652) per hectare in the past year.
In contrast, the average price of residential dwellings dropped 5.3 percent across the country, highlighting the different natures and drivers of the agricultural and residential property markets.
Compared to nine years ago, farmland prices soared by 167 percent at a compound annual growth rate of 11.5 percent.
While farmland values increased significantly in 2022, fewer farmers put their land on sale, causing the total number of transactions to plunge by 34 percent to 6,588….