PROPERTY movement and prices have been stable for the past three years in north-central Victoria, except for a recent sale of 11 properties in the Cohuna district.
A major impingement on property sales has been the longterm drought affecting north-central Victoria.
So buyers are mostly speculative and often neighbours, according to Drew Stratton of McKean McGregor, Bendigo.
"Given how dry the season is, when an opportunity arises and farm land comes up for sale, there's still interest from buyers," Mr Stratton said.
"Particularly farmers faced with the opportunity to buy neighbouring properties and expand their holding."
He said prices in the Bridgewater/Elmore/Rochester area, north of Bendigo, have held firm at $2000/acre for dryland cropping farms.
North of Wycheproof, land values continue to hover between $500-$800/acre.
"Sometimes it can vary from one road to the next," Mr Stratton said.
It can also vary depending on the reason for selling. Some recent property sales have been bank foreclosure sales.
"The mortgagee sales have forced the value a bit below market price, to $1000/acre where other properties in the vicinity have sold for $1500-$1600/acre," Mr Stratton said.
Soil types across the region vary – river country has sandy loams, while there is red volcanic country around Bridgewater and Newbridge, with heavier black soils further north and granite country around Sutton Grange.
"In five kilometres you can get three or four different types of soils," Mr Stratton said.
Annual rainfall, when it falls, averages 46-50cm.
Unbundled water is selling at higher-than-land values; and at similar rates to water sold at Southern Rural Water's auction at Maffra in April this year.
Increasing commodity prices have not driven growth.
"Irrigation properties are mainly associated with dairies; and dairy farms in the Dingey district, for example, are selling but slowly," Mr Stratton said.
