A promising winter crop forecast has instilled renewed confidence in the rural property sector across Australia. The Bendigo Bank’s 2026 Australian Agriculture Outlook indicates a significant increase in sentiment, with national crop production for 2025/26 projected to rise by 12 percent, reaching more than 62.3 million tonnes. This uptick reflects a broader trend, driven primarily by strong performance in Western Australia.
Western Australia’s Remarkable Growth
According to John Hetherington, sales principal at Raine & Horne Great Southern, the 2025 winter crop season is on track to become Australia’s third-largest on record. The forecast for crop production in Western Australia alone has surged by 26 percent since June 2025, contributing an additional 5 million tonnes to the overall national figures. “The old adage that ‘big crops keep getting bigger’ has proven true once again in WA,” Mr. Hetherington stated.
The report highlights consistent increases in both grain yields and receival volumes. As a result, state production estimates are being revised upwards, with Western Australia expected to achieve a record output exceeding 26 million tonnes. “We have witnessed a massive grain crop this season, attracting local buyers to rural property inspections,” he added.
The favorable weather conditions towards the end of winter have allowed crops to flourish, despite some areas experiencing hailstorms. Mr. Hetherington noted that corporate bulk handling facilities are filling more rapidly than usual, leading to high volumes of grain, especially for crops like canola and barley. “To illustrate the strength of WA’s cropping markets, we have heard reports of farmers purchasing extra harvesters to manage the workload,” he said.
Rural Property Market Trends
In 2025, rural real estate values in Western Australia have continued to climb, albeit at a slower pace than in previous years. Mr. Hetherington observed strong sales activity, particularly from local farmers interested in expanding their holdings. “We expect this trend to carry through into 2026,” he noted.
Noteworthy transactions from Raine & Horne Great Southern in 2025 include a record-breaking sale in Tambellup, where two local buyers secured a property for an undisclosed amount. Additionally, significant land was acquired by farmers in Quindanning, and a 178-hectare farm on Millbrook Road in Albany sold for over $3 million towards the end of the year. This property garnered substantial local interest and was purchased by nearby cattle graziers.
The anticipated growth in agricultural production and rural property values not only reflects the resilience of Australian farmers but also underscores the importance of sustainable practices in boosting local economies. As the agricultural sector continues to thrive, it stands to benefit the broader rural property market, fostering a sense of optimism as we approach the new year.
