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Are Farm Renovations the New Property Trend of 2025?
Renovating a farmhouse: dream development or a money pit? We look into the details of the UK's most popular conversion project.
Farm renovations and barn conversions are emerging as some of 2025's most popular property trends.
As farming processes evolved over the past century, more of our iconic rustic agricultural buildings have become derelict. This has led to an increasing trend of farm conversions in the past 35 years. But the farm renovation trend really got its sea legs after 2014 when Class Q was introduced, allowing landowners to convert agricultural buildings into residential property without full planning permission.
Since then, farm renovations have become a hip and lucrative investment. Homebuyers and holidaymakers seem to have the same taste for farm conversions as investors - farm retreats charging an average of £200 per night on Airbnb and selling for north of £ 1 million on Savills.
This can be chalked down to the unique charm of mixing old with new, as well as the fact that farm buildings are usually spacious and pitted against picturesque landscapes.
Historic buildings are an integral part of Britain’s cultural heritage, so the idea of taking on your own farm renovation is certainly a romantic prospect. In fact, in the UK, 78% of our housing stock is older than 1980, and 38% was built before 1946. If you’re thinking of taking on any renovation project, it’s likely you’ll be dealing with a home that’s over 50 years old.
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But renovating an ageing building isn’t without its challenges. The task is likely to come with hurdles and a few unexpected costs.
Furthermore, standard mortgages tend to be out of reach for these types of projects, so investors may turn to alternative financing solutions like bridging finance.
In this article, we explore the unique benefits of renovating a farm building, and the numerous factors you'll need to consider to ensure your project is successful.
See similar: How Clarkson's Clause Has Changed Agricultural Development
The Realities & Hidden Costs
A farm renovation typically involves restoring and improving a farm’s buildings, land, and infrastructure. In the case of historic farmhouses, this can mean tackling a long list of repairs, from replacing a failing roof to addressing damp issues and upgrading outdated plumbing and electrical systems.
In some cases, the farmhouse might have no modern services, and issues with damp will be common. Before you buy the property, make sure to get a good look at the roof and ensure the timbers are inspected for rot.
In other cases, you may uncover stunning momentos of the era in which it was built, and you have the task of choosing what to preserve and what isn't worth saving.
Budgeting is one of the biggest hurdles when restoring a period property. The cost of renovating a farmhouse varies widely depending on its size and condition:
- Small farmhouse: Up to £50,000
- Medium farmhouse: Up to £90,000
- Large farmhouse: £90,000 – £240,000+
Source: Check a Trade
Additionally, unexpected discoveries, such as structural weaknesses, asbestos, or outdated plumbing, can significantly drive up expenses. It can be helpful to factor in at least a 30% contingency buffer for unforeseen costs.
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Tackling a Large-Scale Farm Renovation
For those committed to farmhouse restoration, careful planning is essential. Some homeowners choose to live in temporary accommodation - such as an onsite mobile home - while others tackle the project in stages.
Key tasks often include:
- Replacing or reinforcing beams, fixing walls, and addressing damp issues.
- Adjusting room layouts to suit modern living while preserving the home’s character.
- Enhancing hidden gems, such as flagstone floors, original timber beams, or even staircases that have been built over or covered up.
- Upgrading plumbing, electricity, and heating systems to meet modern standards.
Preserving Character vs. Modernising
Balancing modern convenience with historic charm is crucial.
Is It Worth the Effort?
While a farmhouse renovation can be a labour of love, it’s not for the faint-hearted. Finding skilled tradespeople who specialise in traditional materials can be a challenge, and without careful planning, these projects may take years to complete.
For those considering their own farmhouse restoration, careful planning, expert advice, and a flexible budget are essential. If you do your due diligence and enough research beforehand, you'll be more prepared for any mishaps and it'll be easier to stick to your timeline. And the end result, beautifully restored historic home, is a worthwhile investment.
Financing a Farm Renovation
When imagining a farm renovation, TV shows like Grand Designs might immediately come to mind – where you’ll often see a couple pour their life savings into an ambitious development project. But farmhouse renovations can cost hundreds of thousands of pounds, even if you do have the DIY skills to take some of the tasks on yourself.
There are a few products available for farm renovations. You could be eligible for a renovation mortgage, and more tailored solutions like bridging and development finance are a common option.
You might not have the cash at hand, or maybe you’re planning on living in or near the property while you renovate it, and you want to invest some immediate capital in providing a comfortable space to live in. Financing can help in situations like this, offering a flush of capital to make the costs more manageable. Development finance, in particular, is released in stages, tailored to each stage of your plan and budget.
Bridging finance is more flexible, and you can get access to funds quickly, but you’ll also next to have a watertight exit strategy, such as reselling or refinancing to a mortgage.
Build mortgages are also available, but the eligibility process tends to be a bit more stringent.
Related: How to Finance a Barn Conversion Using a Bridging Loan
Get Access to Market-Leading Rates
At Clifton Private Finance we have experience sourcing and securing finance for farm conversions. We work with leading banks, private lenders, and specialist institutions across the finance market in the UK. We can arrange the most affordable and flexible finance for your project.
We can facilitate a property development loan via a number of specialist lenders across the market – loans of this kind are typically only available from private and specialist development finance lenders.
To see what we can do for you, call us on 0203 900 4322 or book a free consultation below.
