The national decline in farm property sales shown in the latest Real Estate Institute of New Zealand figures is reflected in the Bay of Plenty market.

Nationally, there were 190 farm sales made in the three month period ending March this year compared to 204 sales in the three month period ending February 2011.

In the longer term, the number of farm sales made for the year ended March 2011 was 869, compared to 2692 farm sales for the year ended March 2008 – a drop of almost 68 per cent.

In the Bay of Plenty, just 13 farms were sold in the March 2011 period. This is down from 17 in the February 2011 period and down from 20 in the March 2010 period.

'The data for the three months to March shows the weakest number of farm sales we have seen for more than 15 years,” says REINZ rural market spokesman Peter McDonald.

'While there are certainly signs of confidence in the rural sector with rising payouts and a strong improvement in sheep and beef farm profitability, this is not yet being translated in property activity.

'This is frustrating for the rural real estate industry, with a number of well presented and sound properties available for sale, and good interest from buyers. 'This may be due to conservatism on the part of buyers in ensuring that properties they are looking at really meet their needs, or continued restraints on rural lending by the banking sector.”

In the lifestyle property market in the Bay of Plenty the REINZ figures show a steadiness, but they are down on a year-on-year analysis.

There were 62 sold in the Bay of Plenty in the March 2011 period, two less than the 64 sold in the February 2011 period, but these are down on the 86 and 78 sales made in the March 2010 and 2009 years, respectively.