Land market in Belgium is starting to cool down

In Flanders, the average price of agricultural land rose by 1,5%, while in Wallonia the price of land fell by 1,4%. On average, the price of land in Belgium has increased by 0,5%. The increase does not take into account the inflation rate in Belgium, which was 7,7% in the first half of the year. "Just like with other types of real estate, the period of sharp price increases seems to be over for the time being," says notary Bart van Opstal, spokesman for Notaris.be in the Agricultural Barometer explanation. "The war in Ukraine is also creating uncertainty in agriculture, causing the market for agricultural land to cool down somewhat."

General trend
In Flanders the average price of land is €63,11 per hectare, while in Wallonia one hectare costs an average of €37,01. The differences in the price of agricultural land in the different regions are therefore increasing. In 2017, land in Wallonia was on average €20.73 cheaper than in Flanders. That difference has now increased to €26.09 per hectare. In the past five years, agricultural land in Belgium has increased in value by 23,1%. Adjusted for inflation, the real price increase is 7,5%. In Flanders, agricultural land has increased in value more than in Wallonia, namely 23,9% to 22,5%. The most expensive provinces in Belgium are West Flanders, where the average price in the first half of 2022 was €77.32 per hectare and Antwerp at €67.37 per hectare. In the Liège region, the average price of land is lowest at €34.99 per hectare. The average land price gives a good picture of the general trend, but does not always say something about a specific plot, says Van Opstal. "For example, land that is not leased is worth much more than leased land whose lease is still long."