The price of farm land fell marginally last year in line with residential property according to the findings of the annual land sale survey of Knight Frank, auctioneers and consultants who specialise in agricultural property.
The national average price for farmland was €20,367 per acre in 2007, compared with €20,782 per acre in the previous year, representing a drop of just €415 or 1.9 per cent.
The survey showed that this marginal drop, signifying more or less stabilisation of prices, occurred right across the country, excluding counties Dublin, Kildare and Wicklow.
In the Dublin, Kildare and Wicklow regions, which are analysed separately because of the significantly higher prices paid for farmland, the average price fell to €30,543 per acre last year from €34,959 per acre in 2006. This was a drop of €4,416 per acre or 12 per cent.
The survey concluded that prices have more or less stabilised in 2007 having reached realistic levels after the dramatic increases over the past number of years.
A regional breakdown showed that in the midlands there were 50 land sales in the area, which covered counties Meath, Westmeath, Offaly, Longford and Laois. The average price was €20,974 per acre in 2007, compared with €20,734 per acre in the previous year. This was an increase of €240 per acre.
In the southwest the average price paid for farmland in 2007 was €19,946 per acre, down from the €21,936 per acre average of 2006. There were 29 sales in the region, which covers counties Cork, Tipperary, Kerry and Limerick.
In the southeast there was a total of 26 sales in this region, which covered counties Wexford, Waterford, Carlow and Kilkenny. The average price paid was €20,738 per acre, down by €1,555 from the 2006 average of €22,293 per acre.