rural property

 

PHOTO: Photo: RNZ/Carol Stiles

Banks tightening lending and an atmosphere of concern within the farming sector is being attributed to declining farm sales.

Properties sold in the three months to June have dropped by 25 percent compared to the same period a year ago, according to a new report from the Real Estate Institute of New Zealand.

Gisborne was the only region that recorded an increase in the number of farm sales over that period. Waikato recorded 18 fewer farm sales, which was the most substantial decline.

Real Estate Institute of New Zealand rural spokesperson Brian Peacocke said farm sales for the last quarter were at their lowest level for at least the last four-to-six years.

While winter was a slow period, the drop seemed to reflect that banks were tightening lending while the farming community waited for more clarity around central government policies and regulations, he said.

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