In the UK the unprecedented increase in land prices!

According to the forecasts of the Royal Institute of Chartered surveyors, prices of agricultural land in the UK have not yet reached their peaks. Amid improving situation on the housing market in the UK, prices of agricultural land in the UK hit another record.

For the first six months of this year the price per acre of land in the UK has jumped to £7440, these are the findings of the review of agricultural land prices in the UK from the Royal institution of Chartered surveyors.

Today the cost of land per acre in the UK is more than three times higher than its performance in 2004 when her cost was 2400.

The report says that the exponential growth of the value of agricultural land due to the interest from farmers and investors. Was particularly noticeable the price increase after 2008, when many began to consider the earth as a source of natural raw materials and have to buy it for agricultural operations. In addition, the instability of the global financial market, many investors saw in the land of economically safe haven for their assets.

In the UK the price of land was highest in the North-West, the lowest land value was in Scotland.

According to forecasts, the market is far from pricing at a certain level. Respondents expect the trend of rapidly rising prices, which will continue next year with growth of about 46% – these are the forecasts of surveyors.

Rising prices for farmland in the UK was simply stunning. Less than 10 years land prices have grown so much that it became of interest not only to farmers but also investors, whose appearance on the market of land even more increased commodity prices.

If the same trend of the imbalance of supply and demand continues, further price growth is inevitable and we will see in the next two to three years, the level of land prices in the UK to £10000 pounds an acre.

® Alice Morgan 27.08.2013 g.