The feasibility of farm ownership in the current financial climate
The feasibility of farm ownership in the current financial climate
McLane Duncan, N
McLane Duncan, N
Date
2006
Type
Other
Fields of Research
ANZSRC::150403 Real Estate and Valuation Services , ANZSRC::0701 Agriculture, Land and Farm Management , ANZSRC::140201 Agricultural Economics
Abstract
The purpose of this report was to investigate key issues surrounding land
ownership, how they are changing and what impact this has. Both rural and
residential land have been discussed because in New Zealand often the
driving force for change with one has a net effect on the other. The main focus
however is towards rural land.
This report has been split into a historical review of the New Zealand
economy, land ownership, land prices and other influencing factors. Farm
ownership pathways are outlined followed by a spreadsheet analysis tool
which is used to investigate differing sheep and beef farm purchase scenarios
and the returns from them.
This report highlights the biggest obstacle to aspiring farm owners is the
accumulation of sufficient capital and relatively poor returns.
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