There has been a 'strong increase' in land values across South-East regional NSW according to the NSW Valuer General.
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The Valuer General, Dr David Parker, released his report covering land valuations from July 1, 2020 to July 1, 2021 on Tuesday.
Encompassing residential, industrial and rural land, the findings reveal some significant increases in value.
Overall land value in South East regional LGAs jumped from $27.7 billion to $33.9 billion, an increase of 22.6 percent.
Goulburn Mulwaree, Queanbeyan-Palerang Regional, Snowy Monaro Regional, Snowy Valleys, Upper Lachlan and Yass Valley were the LGAs being looked at.
Dr Parker explained the process by which value is determined.
"Land value is the value of the land only and does not include the value of a home or other structures," Dr Parker said.
"Private contract valuers with expertise in their local areas have prepared the July 1 2021 land values on behalf of the Valuer General, to determine new land values across the region.
"The valuers consider a range of factors in determining land value, including the features of the land and its legally permitted use.
"Valuer General NSW has quality assured the land values for fairness and consistency."
So where were the biggest increases in the region and why?
Residential
The smallest growth was recorded in residential land across the region but values till went up by 15.5 percent.
The report wasted no time signaling out changing work and lifestyle arrangements, a common theme since the COVID-19 pandemic began, as the key factor.
'Low interest rates, flexible working arrangements and shifting lifestyle preferences have increased the appeal of the region,' the report read.
'Better property affordability compared to Sydney and the ACT has also led to increased demand and value levels.'
The LGA that saw the biggest increase was Snowy Monaro which witnessed residential land value jump by a whopping 34.9 percent in the 12 months being measured.
Commercial
Despite fears that COVID would plunge the country into a tough recession, commercial land values made some big leaps, rising by 18 percent.
Goulburn Mulwaree saw a 14.55 percent rise in value with Yass recording a moderate increase of 6.29 percent.
Queanbeyan-Palerang recorded a huge spike of 35.9 percent with the report noting that Queanbeyan CBD, Bungendore and Braidwood saw high demand despite disruptions to businesses caused by COVID.
Industrial land values also rose by similar numbers, 18.8 percent.
Rural
Rural properties of all types saw increases with the region, recording a rise of 33.9 percent.
Upper Lachlan rose by almost 50 percent (45.89 percent) while Queanbeyan-Palerang rose by 34.18 percent.
The report concluded that low interest rates and high livestock prices has created a demand for land.
'The increases follow good seasonal conditions, along with low interest rates and strong livestock prices having all supported a significant increase in demand for agricultural land and increased sale prices and land values,' it read.
'In general, the markets in bushfire impacted areas have also recovered with strong demand from existing holdings to expand in a high rainfall area, and from lifestyle purchasers from outside the area seeking hobby farms.'
Revenue NSW will use the July 1, 2021 land values to calculate land tax for the 2022 land tax year.
Registered land tax clients will receive a land tax assessment from Revenue NSW from late January 2022.
The public can find more information on land tax at https://www.revenue.nsw.gov.au/
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