Agricultural land prices rising due to lack of quality plots – Field in Srem sold for million euros

A report by the Republic Geodetic Authority shows that the most expensive agricultural land in Serbia in the last few years was sold in the municipality of Ruma.

A plot of 5 hectares and 66 ares reached a price of an incredible million euros. Although this transaction is an exception, average prices in Srem give a more realistic picture. Agricultural land is sold there at prices exceeding 10,000 euros per acre, with an average of around 8,000 euros.

However, both farmers and investors face a much bigger problem - a lack of quality plots.

The rise in land prices in Srem follows the general trend of rising real estate values. Demand is increasing, and supply is limited, reports Kamatica.

– This is happening because the rise in real estate is a trend, because if the prices of apartments and houses go up, the prices of agricultural land must also go up, which in a way follow it. Prices are up 10 to 20 percent – said Rade Frajtovic, owner of a real estate agency from Sremska Mitrovica.

Frajtovic explains that the biggest problem is that “there is no land” on the market.

– The so-called “crystallization of the situation” has mostly been done, which means that people who are serious about it have already bought land, and all those who owned smaller areas, stimulated by a good price, have already sold it. They have mostly used it to buy other real estate, apartments. And everything that appears that has a more reasonable price is sold quickly. The price is now from 6 to 8 thousand euros per acre – adds Frajtovic.

Although the price of agricultural land in Srem is rising, everyday agricultural practice brings more worries than profits. Droughts, poor yields and low purchase prices, along with increasing investments in production, mean that, despite the value of the land, many farmers are still struggling to do business.

Republički geodetski zavod Beograd

Republic Geodetic Authority

Rade Frajtović

most expensive agricultural land