Header Image

Helping grow
the country

< Back to Blog
14 July 2020

Rural real estate report: The potential of provincial properties

PGG Wrightson's General Manager for Rural Real Estate Peter Newbold joins The Country's Jamie Mackay to take a look at the rural property market this month.

Mackay asked Newbold to crunch the numbers and report on how much the rural market was behind - in terms of volume - in comparison to 2015/16.

In 2015 the rural market was just short of $4 billion in sales, compared to 2020 which was just over $2 billion, "so you can see there's been a real decline" Newbold said.

The rural market continued to be overshadowed by the lifestyle market.

Mackay and Newbold discussed the potential change in attitude towards the rural market; post Covid-19, as those in metropolitan areas looked to move to pastoral properties.

There had been a lot of interest in provincial New Zealand where many towns were supported by the rural industry, Newbold said.

In addition, the costs of these properties were better value compared to the metro markets, he added.

Mackay asked if some rural properties were starting to stack up on a yield basis and wanted to know if perhaps a few of the more marginal properties were good buying.

Newbold reckoned they were, and the past few weeks had seen signs that a number of listings were on the up and with comparable prices.

To view properties and more real estate news head over to www.pggwre.co.nz

Related Articles

Positivity from the primary sector and successful real estate sales

22 May 2020

GM for Rural Real Estate Peter Newbold joins The Country's Jamie Mackay as he journeys out of the home office for the first time since the lockdown.

Mackay comments on some positivity in the primary sector, and mentions a previous conversation with Todd Muller that highlights the movement of people at work in the horticulture and viticulture sector and how they returned to work without an appearance from Covid-19.

Newbold agrees and notes that the only sector that may call for some concern is in the Hawke's Bay and areas that were hit but the drought earlier this year.

General farming real estate continues to maintain good interest, particularly sheep and beef.

Newbold highlights this could be due to quality, capacity and works ability. Newbold adds that there has been an increase in enquires since the lock down and not all of them are from locals or corporates.

Mackay moves on to the PGG Wrightson Real Estate's Property of the Week.

Mackay said the purchase of this farm was a good example of the kind of properties that have been selling well recently.

Newbold agrees and highlights that if the property infrastructure is good and the marketing is done well then the property will sell.

Mackay wraps up by touching on the dairy farming and low levels of interest in dairy properties. Newbold emphasises looking at the yield piece rather than the capital gains.

Property of the Week – Ruapuna: Productive Dry Land With Reliable Rainfall - SOLD

(SOLD) The property has cattle yards, numerous sheds, concrete floor fertiliser shed, plus 440T silo capacity for grain storage. New all-weather farm access track laid in January 2020.

Property Report: Rural sector a safe place to invest

21 August 2020
The Country's Jamie Mackay is joined by PGG Wrightson's General Manager for Rural Real Estate Peter Newbold to take a look at the rural property market this month.

The market has had a few good months, said Newbold, who explained that July, which was usually a quieter month, had been the best it's been in the past six years.

Not only that, but August was tracking to be just as good.

There was still an increase of activity in the rural sector, particularly for lifestyle properties - especially those closer to larger metropolitan communities, said Newbold.

Mackay asked about interest in farming properties.

At the moment, the key properties were sheep and beef, said Newbold. There were also signs to indicate horticulture was on the rise.

Mackay noted there was evidence to suggest that lending institutions were "playing ball for the right clients."

Newbold agreed, adding that there seemed to be more of an appetite to lend money and the rural sector was a safe place to invest compared to other areas that are under pressure from COVID-19.

PGG Wrightson Real Estate Awards 2020

07 September 2020

PGG Wrightson Real Estate Awards 2020

We are happy to announce the winners for our recent national awards. Congratulations to our successful colleagues and thank you to everybody for all your hard work of the past year.

Check out the impressive results here:

Share this page