Is the rural property market sustainable?
As we emerge from lockdown and start to get to grips with the new ‘normal’ we are experiencing unusually high levels of interest in rural property.
I suspect there has been a revelation among many city dwellers that they can work effectively from home and that rural life is both more fulfilling and safer. The market is currently extremely buoyant but I’m not sure that this is sustainable, even with the Chancellors’ Stamp Duty ‘holiday’.
As the full effect of the pandemic on the economy becomes clear with some businesses failing and increased levels of unemployment, the first-time buyer market will surely take a hit.
This aspect of the property market is crucial as without buyers stepping onto the first rung, no-one else can move up the ladder and I predict that we are likely to see the first signs of stagnation in the market over the coming months, even in rural areas. I sincerely hope I am wrong.
What does this mean for the farming community? It is difficult to know but I am certain that having a robust and flexible business plan which maximises assets has to be top of the list. Don’t delay in planning your succession – Covid-19 has proved that nothing is certain.
Louise Taylor is managing partner of Barbers Rural Consultancy LLP
