Why farms are the most sought-after business opportunities during COVID-19
Farms have become one of the most sought-after business and lifestyle opportunities in the country. This is why people are lining up to get involved.
It’s no longer the case of a farmer that wants a wife, but rather the family, or investors, that desperately want a farm.
Demand for commercial farming opportunities in Australia is booming, in stark contrast to the economic doom cast over most industries as a result of the COVID-19 epidemic.
Rural investments become one of the most sought-after business and lifestyle opportunities in the country.
Search for commercial farming listings on realcommercial.com.au is up 22 percent year-on-year and is the only commercial property segment for which demand has increased, taking the coronavirus slowdown into effect.
Realestate.com.au chief economist Nerida Conisbee said there are a number of factors at play here.
“Commercial farming is looking very positive for a few reasons,” she said.
“There has been the breaking of the drought, which makes it a much more attractive proposition than previously, the low value of the Australian dollar means that such investments are a good option for offshore groups and they appear a good bet as food security becomes more important, especially in the wake of the coronavirus epidemic.”
Land and development listings have fallen by 8 percent. For industrial and warehouse space, search has dropped 11 percent, for tourism operations such as hotels and leisure businesses it has slumped by 13 percent. Search for medical and consulting properties is down by 22 percent, for showrooms it has dipped by 27 percent, for office space it is down 30 percent and for retail is has crashed by 31 percent.
“The federal government is set to introduce more restrictions on foreign investment, so there will be more hurdles on buying property in Australia moving forward. But so far it hasn’t limited the buying pool,” Ms Conisbee said.
“In regards to other sectors, interest in shopping centres for example, has plummeted.”