PURCHASING FARMLAND
We purchase farmland all over Estonia!
We are interested in arable land, grassland as well as abandoned farmland. We will purchase larger as well as smaller immovables, and the farmland you own currently under a lease as well. You can also offer us immovables with a farmhouse. We will drain waterlogged fields and restore farmlands in need of restoring because nobody is so rich as to just bury the land under brushwood.
- Our price offer will be based on a professional surveying of the field which will ensure that the owner gets a fair and according price;
- A personal approach based on the client's needs - for example, when you sell a part of the immovable, we will help arrange the land-surveying;
- A fast transaction – when we reach an agreement, we will prepare all documents required for the transaction;
- Before the transaction, we will transfer the sum to a deposit account;
- There are no commission fees;
- We will pay the notary’s service fees.
Contact us to get a purchase offer for farmland! If you wish to sell farmland together with a forest, we are interested in making a price offer also on the forest land. You can find out more on the page Purchasing a forest.
Choose us to purchase your farmland
There can be several reasons for selling farmland. In comparison to forest land, a landowner can find owning farmland and grassland to be quite complicated. Owning a forest is more feasible because when you manage forests, you can find support from common sense, the local forest associations or companies offering harvesting services. When it comes to farmland, work needs to be done several times during the vegetation period, which is costly and requires being thoroughly informed and having the necessary equipment.
Often, the sentimental connection to farmland and grassland is weaker than with your home forest, especially when you don’t cultivate the land yourself and you have leased it out long-term. Time has shown that farmland plots smaller than 10 ha which are located far from each other are not profitable lease objects. The lessees offer low lease prices but it is the landowner who needs to pay the land tax and income tax from this sum. Often, the landowners lack knowledge about the lease value of farmland and arguments that would help them get a fair lease price.
If you lack the time and the necessary technical equipment to cultivate farmland on your own, you are missing out on the actual value. When you offer your farmland holding for sale, you can contribute to Estonia’s agriculture – the farmers who lease our immovables can grow agricultural produce while managing your land in a sustainable and prudent manner. As we are an experienced buyer of farmland holdings and we invest based on a long-term investment plan, we can always offer landowners fair return for the transaction. We will be available throughout the whole sales process and we will consult you on relevant matters.
The purchase process of a farmland holding
Initial contact
Fill in the price offer form or call us. We will get in touch and specify the data about the field. On the basis of the initial data we are already able to indicate the price range.
We will visit your field
Our specialist will do fieldwork and estimate the value of your farmland
We will make an offer
We will make the best possible price offer to purchase your farmland
We will sign a sales and purchase contract
If you accept our offer, we will prepare a contract and take care of the administrative tasks. Payment upon signing the contract.
The price of farmland in 2023
In recent years, the price of farmland has been on the increase, but in comparison to previous transactions, the surface areas of immovables sold have been smaller. In the past 6 months, the number of transactions has also been quite low. The price increase of arable land has been supported by the income gained from the land continuously increasing as well as the subsidies of the European Commission.
When a decade ago, one hectare of arable land in Estonia cost approx. 1,000 EUR/ha, in early 2023 the average price of farmland was approx. 5,000 EUR/ha. The price of farmland varies significantly from region to region and it depends on various factors. The price of farmland that is located near public roads and towns, has a fertile soil, its size is above average and it is completely in ARIB’s register of field arrays can even reach 8,000 EUR/ha.
Every year, in the case of the sales transactions of about 600 ha of farmland in Estonia, the offers of LignaMets OÜ has proved to be the best. Our average purchase price of farmland in the last 6 months was approx. 6,300 EUR/ha.
Determining the price of farmland
When the price of forest land relies on the price of land and standing timber, the price of farmland is affected by parameters related to the location of the immovable and the land as a production unit. The properties of the soil are important, the condition of the field and its possible uses (production land has a higher value than grassland). High quality soil is expensive and it takes skills to maintain it, using only the approved agrotechnical methods, contributing continuously to the functioning of land improvement systems and crop rotation, also letting the farmland rest. When estimating the price of farmland under brushwood, the current situation and future perspectives are taken into account, whether it is more reasonable to afforest the area or cultivate it. What also play a role are demand and supply on the market and regional competition.
Factors affecting the price of farmland and grassland
Soil quality rating and the fertility of the soil
Access to the immovable
Size of the immovable
Current lease contracts on the immovable
Land improvement systems
Other factors
The location of the immovable
The shape of the immovable
Surface topography
Use so far
Subsidies (ARIB)
Agricultural competition
We are buying farmland! Contact us!
FAQ about purchasing farmland
What is the process of buying farmland like?
First, the landowner needs to decide whether they want to sell the whole immovable or a part of it and ask for respective price offers. To get a price offer, you need to submit your name, contact information, the name of the immovable you want to sell and its cadastral reference. Also, it is already worth considering pointing out encumbrance – does the farmland have an active lease and how long is it valid for? Does the farmland have a mortgage and what is the outstanding sum? After selecting the best price offer, the contract is signed at a notary’s office.
Do you also buy grassland and meadows?
Yes, you can offer us also grassland, meadows, fallow farmland and overgrown farmland for purchasing, if it is possible to restore its agricultural value.
How much does a hectare of farmland cost in 2023?
The price of farmland is the most important matter for a landowner. When it comes to how the price of a field is determined, the most important factors are the field’s location, the fertility of the soil, its surface area and accessibility. Additionally, the market value of a field is significantly affected by demand and supply on the market and regional competition – are there more or fewer offers than the companies’ current capacity to invest. From year to year, the cost of arable land has increased. In 2023, fertile farmland might even cost 8,000 EUR/ha.
How much does a hectare of grassland cost in 2023?
Grassland is mostly found on soil that has a low level of fertility and which is annually used for stocking animals’ bedding and feed through mowing. In 2023, the price of grassland ranges up to 4,000 EUR/ha. Peaty land costs less, and a functioning drainage system has an essential role. Grassland that is located on fertile mineral soil costs more.
What is the lease price of farmland in 2023?
As the price of land, the lease prices have also increased over the years. When some years ago a good lease price was 140 EUR/ha, then today the price level reaches 250 EUR/ha. The price increase has been caused by the Agricultural Registers and Information Board’s (ARIB) subsidies increasing and the high inflation. Starting from 2023, ARIB’s new subsidy system is in force and we shall see how it will affect lease prices.
Do I need to pay income tax when I sell farmland?
When selling farmland, the matter of taxation depends on how the immovable was acquired. If the seller has received the land during the ownership reform or they have inherited restituted land, then selling the farmland for the first time is exempt from income tax. When a seller has previously bought the farmland, income tax is applied to the difference between the previous purchase price of the immovable and the current sales price, meaning the profit. When the farmland was gained via a gratuitious contract, income tax applies to the whole sum.
What web address should I visit to see the surface area registered in ARIB?
The Agricultural Registers and Information Board’s (ARIB) interactive map stores the information on the farmland and grassland array. In order to see the data, you need to find your field on the map and activate the field array layer on the taskbar. In order to see what crops have been grown there over past years, you need to deactivate all layers and then activate the layer “Requested fields” for the year you are interested in.
Kui suur on PRIA toetus?
2022. aastal oli ühtne pindalatoetus (ehk ÜPT) 131,95 eur/ha. Kliimat ja keskkonda säästvate põllumajandustavade toetus (rohestamine) 60,13 eur/ha. Lisaks makstakse harijatele ka teisi toetusliike nagu Natura toetus, mahetoetus, noortaluniku toetus jms. Täpsem info on leitav PRIA koduleheküljelt.