We purchase arable land for high and competitive prices in Harju, Järva, Lääne and Ida-Viru, Jõgeva, Viljandi, Pärnu, Saare, Hiiu, Rapla, Tartu, Võru and Põlva Counties. Our aim is to purchase land directly from the owner for the purpose of growing grain or breeding the cattle. Our enterprise helps to manage a herd of 50 Herefords in Viljandi County and grow grain on 1500 hectares. We are interested in hayfields and grasslands and scrubbed arable land, which agricultural value can be restored. Send your sales offer by using the price inquiry – we guarantee a quick response and a respectable price!
Why sell your arable land?
- Unstable market
The prices of arable land have increased almost four times within the last 10 years. One reason for the rapid increase is the accession of Estonia in the European Union in 2004 after which the agricultural producers started to receive subsidies. Subsidies enable producers to expand much fasten than before and invest in the most important thing – the land. The increasing competition also causes the rise of land prices. The highlight was in 2013 when the single area payment was over 114€/ha and the cost of arable land in certain areas reached 4600€/ha. Highly productive areas attracted new producers and Europe had to face overproduction of agricultural products, which also gave an impetus to the sanctions by Russia, which hindered the export of agricultural products in the direction of east. Overproduction automatically meant the decrease of the prices of agricultural products. In addition to the decreasing prices also the single area payments will decrease according to the Estonian rural development plan (MAK) 2014–2020. All this has a certain impact on the cost of land. It is better to sell now and for a good price than later for practically nothing!
- Self-management is complicated
Cultivating land is a time consuming and complicated process. When the land owner wants to cultivate the land himself, he must have the required equipment and machinery, which maintenance and acquisition is expensive. It also requires thorough knowledge in the area, a lot of organisation, energy and time. We have everything required for that activity and our work capacity is big, our purchase prices are also higher.
- Low productivity
Rental of arable land to producers is not a feasible investment. When a landowner decides to lease arable land, one has to consider with costs that in future reach as high as 100€/ha maximum of which also income tax and land tax will have to be paid. For example, you have arable land with the size of 4ha and today its value is 10 000€, you will earn profit 300€ per year. If you save the sum received from the sale in the bank as a fixed-term deposit (e.g. for 6% per year offered by numerous savings and loan associations), the profit will be 600€.