Land values on the rise in Narrabri Shire

Rural land values in Narrabri Shire, and the broader North West region, are among the best performing in the state.

The solid increase in values comes on the back of favourable seasonal conditions in recent years, as well as continued demand for prime agricultural land.

Land value figures for the state for the previous financial year were recently released by the Valuer-General’s office, painting an optimistic future for continued growth.

Rural land values increased by 59 per cent in Narrabri Shire, second in the North West, with Tamworth Regional Council increasing by 61.3 per cent.

The state’s prime agricultural regions including the North West, Hunter, Riverina and Murray experienced strong growth in the previous financial year, seeing the state’s total rural land value rising by 41.7 per cent.

Acting Valuer-General Josh Etherington attributed the rise in values to continued favourable climatic conditions and strong commodity prices.

Increases in Narrabri Shire were partially driven by the demand for lifestyle properties.

The Valuer-General’s office said additional drivers include the impact of the Inland Rail project and ongoing mining and gas projects in the region.

The value of residential land in the shire was also a strong performer, increasing by 19.6 per cent for the financial year.

Commercial land values increased by 9.8 per cent and industrial land by 7.6 per cent.

Data from the NSW Valuer-General showed strong increases in values to the villages of Bellata, Edgeroi, Gwabegar and Pilliga due to relative affordability and an increase in interest from out of area purchasers.

“Large properties at Wee Waa have also experienced a very strong increase while smaller Wee Waa residential properties remained steady, reflecting adequate supply of residential properties compared to larger lots which are impacted by strong demand with limited supply,” information from the Valuer-General reads.

In regards to rural land, the information showed there has been a strong increase to small rural homesites located at Wee Waa and rural lifestyle properties within close proximity to Narrabri township, reflecting strong demand for this property sector, which exceeds the available stock.

“Rural land values across the Narrabri local government area experienced an overall very strong increase between 2021 and 2022 following continued favourable seasonal conditions, low interest rates and generally strong commodity prices. Strong demand and a shortage of quality listings has also led to strengthening prices.

“Land values across the Narrabri local government area experienced an overall very strong increase between 2021 and 2022, driven primarily by a very strong increase in rural land values.”
Total land value in the shire was estimated at $6 billion, up from $3.5 billion in the previous corresponding period, or 71.6 per cent.

Neighbouring local government areas saw total land values increase by 24.6 per cent in Moree Plains, 30.1 per cent in Gunnedah, 45.6 per cent in Tamworth, 27.7 per cent in Gwydir, 32 per cent in Walgett and 13.1 per cent in Warrumbungle Shire.

Narrabri Shire was fourth in the state for total land value increases by percentage, with local government areas in the Hunter and Riverina regions experiencing higher growth.