High-quality rural properties are beginning to appear on real estate books ahead of the traditionally busy spring period, according to the General Manager of PGG Wrightson Real Estate, Peter Newbold.

The early listings were in some part down to a smaller buyer pool compared to previous years, Newbold told The Country’s Rowena Duncum.

“[Buyers] are very, very discerning and I think that’s really important.

“But...the most positive thing at the moment is that some of the listings coming to the market - all for good reasons - are quality properties.”

However, Newbold said prolonged unfavourable weather conditions had led to a reluctance to list early for some dairy farm owners.

“You don’t want to show a farm off if it’s waterlogged.”

While values for top-quality properties had traditionally held up “pretty well,” Newbold said pressures on incomes and operating costs already had begun to impact farm values.

Another factor underpinning farm values for sheep and beef properties was diminished interest in converting farmland into forestry.

As a consequence, Newbold said potential buyers were not going to buy “on yesterday’s values”.

“They’ve got to see a future in it - that’s something we have to be mindful of.

“But if you look out over the last decade, there’s been huge increases in value - so a small reduction, if you’ve been in the game a long time, is not a big deal.”

Newbold said the upcoming general election would coincide with a peak in activity for listings.

“October is right in the middle of that key [time] to list a property - if you wait until afterwards, then you don’t have enough time.”

It could, he acknowledged, have an impact on buyer activity.

“We know property is all driven around sentiment, and that will depend on the outcome.

“So, if we have an outcome that people think is positive, then I think we’ll see activity.”

However, Newbold expected rural listings would be less affected, than urban.

“You’ve got people out there who are retiring, or acting on succession plans or tired [and looking to exit the industry] - those properties will still come to the market.”

Despite headwinds in the rural sector of late, Newbold said the outlook remained bright.

“At the moment there are some challenges - the costs have gone up, income is under pressure and there is going to be a period where things are going to be tight.

“But if you look mid-term, people need food, they want food [and] we sell quality products.”