Farmland Values Increase (except for BC)

    Farmland values increase
    Agri-Success, October 8, 2010, by Allison Finnamore

    Farm Credit Canada has released its Farmland Value Report, concluding that the average value of Canadian farmland increased three per cent during the first six months of 2010.

    That follows increases of 3.6 and 2.9 per cent in the previous two reporting periods.

    Below is a province-by-province summary of the report. Full details are available at http://www.fcc-fac.ca/en/AboutUs/Med...20101004_e.asp.

    British Columbia

    British Columbia was the only province to see a decrease in farmland values by an average of 0.9 per cent over the first six months of 2010. Values were unchanged in the previous reporting period and decreased 0.7 per cent in the first half of 2009.

    In the first six months of 2010, economic factors largely external to agriculture had the greatest influence on farmland values. Economic uncertainty and the high Canadian dollar hindered investment in many sectors. This, in turn, led to lower demand for land and less expansion of existing operations.

    Overall, the B.C. land market was relatively flat during the first six months of 2010, with slight decreases in the Abbotsford, Clinton and Cloverdale regions. Sales of land for agriculture purposes were limited in some areas of the province. The majority of sales were for part-time farming uses.

    The areas of the province to see slightly increased land values during the reporting period were Vanderhoof and Horsefly.

    To see the changes in farmland values across Canada, please refer to the fcc report

    sections Sections