Rural auctions notch up 100 per cent clearance rate
Rural auctions are trumping those in the tough residential market with a 100 per cent clearance rate achieved recently in South Australia.
Ray White Rural South Australia sold seven out of seven rural properties under the hammer across auctions held in the mid-north over a seven-week period.
The success at auction for farming properties highlighted the strong demand in the rural sector for quality farms, despite drought conditions driving up costs for many farmers.
Last year was a near record for farm sales above $5 million with the value of these deals surging 22 per cent to $3.34 billion, according to figures from Colliers International.
Ray White Rural South Australia directors, Geoff and Daniel Schell, said each of the seven auctions was very well attended and received an average of five registered bidders.
“Despite the difficult season, the demand for rural property remains strong throughout South Australia,” said Daniel Schell.
“We’re seeing interest from neighbouring properties looking to expand, out of district farm businesses and also astute investors wanting to secure reliable farming land.
The highest price secured under the hammer was $4.9 million for the Manordale and Baileys aggregation near Farrell Flat, about 140 kilometres north of Adelaide.
The 750-hectare aggregation was offered as a mixed-farming opportunity suited to broad-acre cropping and hay production as well as to sheep and wool.
The seven auctions kicked off at the end of February with 1800-hectare Coonibar on the Goyder Highway via Burra selling for $570,000.
Avondale in Riverton with 45 hectares sold for $514,000, Merilden in Mintaro sold for $490,000 and Clappy’s in Booborowie sold for $780,000.
Vingo’s on Powerline South Road in Marrabel, offering 97 hectares, sold for $1.15 million while Mitchell’s Block, offering 141 hectares, sold for $800,000.
Ray White South Australia CEO Matthew Lindbolm said: “Market and season conditions will always fluctuate but the best outcomes for property owners looking to sell are created by agents maximising competition through auction campaigns.”
He added that clearing sales had also been well attended with more than 300 people and close to 200 registered bidders at the Calcannia Clearing Sale.
Another in Auburn drew a crowd from the bee-keeping industry for specialist apiarist equipment.
“The auction results speak for themselves. The auctions are backed by a strategic and targeted marketing campaign that is tailored to each individual property,” Mr Schell said.
“We ensure our vendors and potential purchasers are kept fully informed throughout the campaign and are comfortable with the auction process.”
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