Despite the challenging market conditions of 2009, there are indications that the equestrian property market will fare better than some of its counterparts. A limited supply of property is the key factor in this. The demand has certainly dropped since its height in the autumn of 2007, but it still exists. Purchasers are more selective, more cautious and want value for money.
In respect of the larger equestrian establishments such as racing yards and riding schools, there is a trend towards buying a blank canvas rather than an established unit. Robert Russell of the Equestrian Department confirms that: “the saleability of existing yards with facilities such as a horse walker, school, pool and gallop which were installed 10 or 20 years ago is certainly not as high as a farm with house and agricultural buildings with consent for equestrian use.” Previously buyers wanted the finished article, which they would then modify, but now they are in a more patient mood, taking a measured approach and are prepared to invest time and money to achieve their goal.
Obtaining planning permission can be a lengthy and expensive process but, if successful, then the owner gets exactly what they want rather than taking on someone else’s designs.
The amount of quality rural homes with equine facilities currently on the market is thinner than it has been for years, leaving several purchasers, that are ready to move, sitting in rented accommodation. If the perfect home became available there would definitely be competition.
Many homes in the equine category do not 'tick all the boxes' so purchasers will have to compromise on some aspects. This is not usually the location, the land element or the style of the dwelling, but can be the state of repair of the house or the lack of buildings or stables.
The Gables at Everdon in mid-Northamptonshire was offered to the market after Christmas. This is a quality village house with a pretty brick coach house, small cottage and three paddocks a short walk away and was given a guide price of £935,000 as a whole. If the land had been adjacent to the house the demand and price would have been greater. It is sold subject to contract. Demand for paddocks and small blocks of pasture land remains high, especially if there are small buildings on the land.
In the rental sector, there has been a greater choice of small and larger establishments across the Midlands as the credit crunch has deepened.
Rents are generally falling back to reflect the over-supply. Thus there is a great opportunity for starting up a riding school, racing yard or DIY yard, to acquire premises at a reasonable rent, and on favourable terms.
Many owners have developed their equestrian property on an ad-hoc basis and do not always obtain planning consent for all the changes and the new structures. This creates real problems during the marketing of a property, often holding it up for months until retrospective consent is gained. It is therefore vitally important for those considering a sale in the next couple of years to put their house in order.
There are many other aspects that will assist saleability and maximise the value, and the equestrian department at Fisher German continually visits properties, a year or so before a sale, to ensure that property is launched onto the market in its best light.
For further information contact Robert Russell on 01295 226284 email robert.russell@fishergerman.co.uk
