Remarkable year for property sales

2006 was a remarkable year for H & H Bowe as far as property sales were concerned, writes Andy Dyer, of H&H Bowe.

In previous years, since the advent of the Single Payment Scheme, few farmers and landowners considered selling their property due to uncertainty of how the scheme would operate.

It was evident that divergence of the SPS scheme between England and Scotland, was the catalyst for property coming to the market.

In Scotland, property in 2005 had continued to sell albeit in lesser volumes than previously known but the transfer of the SPS from the outgoer to the ingoer has proved to be considerably easier and in 2006 this now established practice, generated an increase in property sales.

English property started coming to the fore in 2006, once it was understood how entitlements were established and activated. H & H Bowe had one of its best years to date selling £14.6m worth of property in 2006, none of which included vast acreages of lower value land such as allotments or rough grazing.

There were 23 Scottish properties and 17 English properties combining a total acreage of 4,325 acres (1,750 hectares). Obviously there were a large number of Irish purchasers who bought property both sides of the border and this in itself is holding prices at their present level.

There is very little reasonable land that exchanges hands for less than £3,000 per acre whereas a year ago this figure would be £2,500. These high prices will probably hold steady at least until SPS finishes.

Small farmers are staying in the market, using an off farm income as an aid to continuing their lifestyle, whilst those who farm large holdings are increasing in size in an effort to cover overheads. Those in the medium category are going one way or the other. They either get smaller and retain their lifestyle or buy more land and join the larger holding division.

The changes in the industry are dictating who stays and who goes based on whether the individual is prepared to accommodate the change necessary. Those who are nearing retirement or choose to take the opportunity to leave the industry should think long and hard about how best to proceed. Seeking advice from property sales professionals should be a worthwhile course of action.

• What is the best way to sell your property? The principle methods are traditionally private treaty and public auction but which is best for both you and your type of property?

• What is the best time of year to sell?

• Is the best method of selling as a whole or in lots?

• What can you do to improve the perception of those viewing?

• If you are retaining occupation of part of the land or a dwelling, are there access issues?

• Have you taken tax advice regarding the proceeds of the sale?

Expert advice, once you have made the decision to sell, is invaluable. H & H Bowe Limited has considerable experience in property sales and can offer a professional and dedicated service. If you request a valuation of your property for sale purposes we will give a market appraisal free of charge and guide you through the marketing process, helping you make decisions that suit your needs.

We already have nine properties on the books for 2007 with a number of others in the pipeline. The successful marketing and the eventual sale of a farm, or area of farmland, depends on many factors, presentation being one of them.

The requirement of H & H Bowe Ltd as a company is to present any farm to its best potential, be it by sensible and strategic lotting or by accurate representation of the farm’s assets. Presentation by the vendor is also very important, something as straightforward as a quick tidy up around the yard or a coat of new paint can make a significant difference to creating that all important first impression to the prospective purchaser.

An important fact when selling your property is to ensure the professionals chosen can provide the service you deserve. Managing Director, John Robson, said his team have worked “particularly hard and are aiming to improve on their achievements in 2006. Our dedicated sales team, all of whom are well briefed on all aspects of any of the properties that are for sale, give a professional property sales service to clients. We decided to focus on this area of expertise and enhance our sales procedures in order to provide the type of service we felt property owners deserved. After all a house owner may exchange property several times during their lifetime, but farms and to some extent bare land sales can be a once in a lifetime event, and therefore we wanted to provide the best and most professional service possible.”

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