Today, rural and regional property specialists Landmark Harcourts released the fifth edition of their quarterly property data report, Benchmark.
A key trend identified this quarter is the continued interest in overseas buyers investing in regional property and land.
This finding is not surprising, considering China is by far Australia’s largest export market for agricultural products. Of the AUD$32.87 billion in agricultural exports over the 2012/2013 financial year, China provided the greatest amount, taking 19.6% of these exports worth almost AUD$7.5 billion.
The report found that over the 12 months to August 2014, AUD$45.3 billion worth of regional real estate transacted across 116,456 sales. This represents static levels compared to last year.
However it was regional residential houses which have grown in both the number of sales and in value according to findings from CoreLogic RP Data.
“In these regional areas, residential houses accounted for just over 70% of the value of sales and 78% of the number of sales,” says Cameron Kusher, RP Data Senior Research Analyst.
If we exclude residential houses, there were 25,654 rural property sales over the year with a total value of $13.4 billion. The value of rural sales is -5.5% lower over the year while the number of sales is -1.9% lower.
The total number of sales in regional areas grew over the year in New South Wales (+5.8%), South Australia (+13.9%) and Tasmania (+4.0%) over the year, with the number of sales dropping across regional Victoria (-6.3%), Queensland (-5.9%), and Western Australia (-3.4%).
South Australia recorded the largest percentage of sales growth over the 12 months to August 2014, with a total value of AUD$2.2 billion in rural property sales.
Craig Yarrow, Landmark Harcourts General Manager commented “The real estate market in rural and regional Australia has generally seen improved confidence levels in the rural sector, particularly cropping. Also figures indicate further increases in transaction levels in regional residential market places”.
As well as being distributed throughout Australia, the Benchmark Property Report is distributed by Landmark Harcourts in Mandarin throughout China.