Average herd sizes are increasing year on year and it’s becoming apparent many farms across the country have no clear successors to take over the business. Therefore, attracting skilled people to farm businesses is more important now than ever before.
How can the dairy farming sector offer something more than other workplaces?
Salary, work-life balance and hours worked are a big part of it. Another incentive that may swing things in the sectors favour is housing.
The cost of living, house purchase and rental prices are all on the rise. If farms can reduce this burden for potential staff, they are in a much stronger position when it comes to providing an attractive job opportunity.
This week, we are looking at the options out there when it comes to housing people on farms and the costs associated with it. The suggestions are based on the fact there is no suitable house on the farm already.
Mobile homes
The most common option on farms over recent decades has been mobile homes. They are simple, can be cheap and are relatively effective.
They serve a purpose in a short-term scenario where funds are tight and the situation might be rushed, but in the long term, they are probably not the strongest option.
The interior of a Wallace Mobile Home costing €36,000 on its website.
There is a huge variation in the standard of mobile homes when it comes to things such as insulation, heating and comfort. A lot of this comes down to the spec, age and level of maintenance of the mobile home.
Some of the more modern and expensive options are extremely well kitted out. They are spacious and comfortable, while also offering a warm and well-insulated environment for winter months.
Then there’s the other end of the scale where they can be cold, damp and very confined. The difference is usually reflected in the purchasing cost. Modern mobile homes that are well equipped can cost anywhere from €25,000 to €50,000.
Cheaper options are available between €7,000 to €15,000. However, these are often substandard options if farms want to maintain a good status of living for their employees.
Modular homes/log cabins
In recent years, modular homes and log cabins have exploded on to the scene. In most cases, they are small, but offer a comfortable and a longer-term approach to accommodation.
The internal view of the three-bed modular home.
There’s lots of different options with these types of accommodation. They typically come as a kitchen/living room, bathroom and then a range of bedroom options from one up to four.
The level of comfort can be dictated by the buyer. In the main, they come as a basic insulated structure, which is assembled over a couple of days to leave a turnkey solution to accommodation.
In most cases, the modular homes come with plumbing, built-in kitchen and bathroom units, as well as hot water systems and electric. They are built to last, with most companies offering structural warranties as long as 80 years.
External view of a three bed modular home. Smaller models are available with prices ranging from €70,000 to €120,000
Modular homes are energy efficient, with most of them carrying an A or B rating. The cost of a modular home varies, but two-bedroom compact units are available for approximately €70,000.
Bigger three- or four-bed models are available for €120,000. Both prices include VAT and installation.
Log cabins are slightly different, as they require more maintenance and they are not likely to last as long as the modular homes.
They are cheaper than modular homes, but also provide a very comfortable option. A very basic unfurnished structure of a two-bed model is available, costing around €20,000.
Heating, plumbing, groundworks, kitchen and bathroom kit-out and cabin assembly are all extra costs on top of the basic €20,000 cost. This price rises closer to €50,000 when all things are considered.
For both options, you need a site survey beforehand that will determine what level of infrastructure and foundation will be needed to erect the home.
These modular options do require planning permission. On farms off the beaten track, it may be easier to navigate planning issues, but this would require consultation with the selling company and local authorities.
The Government is currently looking at loosening restrictions when it comes to planning, particularly in smaller-scale development projects and in modular homes. This would be a significant boost for farms considering this type of investment.
The talks are just finished going through a public consultation and there’s likely to be some form of amendments in the coming months, so it may be worth waiting clarification on this.
The National Ploughing Championships will offer an opportunity for farmers to see what’s available when it comes to these types of homes.
Building on farm
Building an additional dwelling house may be an option to suit certain situations. This option is very common on farms in New Zealand and England, where a farm manager also lives on the farm.
Careful consideration is required in this scenario in terms of site selection. It will be important to choose a site that will retain its value into the future. A location away from the farmyard or the original dwelling house would be a safe option.
If the farmer ever chose to sell the farm or sell the additional house in the future, the properties could be sold as separate lots. This way, the house is likely to carry a higher value.
A house could provide a good rental income should the farm manager or employees not require the house.
The costs to build a house on the farm will vary depending on the build. It's unlikely you’ll build a reasonable house for much less than €200,000 in the current climate. The advantage is this property is likely to hold its value at a minimum long into the future.
A large farm building converted to a home. Smaller buildings could be perfect for one-bed apartments.
A similar option could be the renovation of an old or disused farm building. It's becoming a more common sight to see these older storage sheds converted into small apartments or granny flats.
To convert a building to the current regulations won’t be cheap, but a budget of €100,000 should go a long way. The costs are totally dependent on the condition of the old building and plans for the new one.
With both options, planning permission will be required and, with a conversion, the building will need to be built in line with strict regulations.
These options are a long-term investment approach and offer flexibility in the future, provided the site is well chosen and the build is well carried out.
Renting
The alternative option to mobile homes, modular housing and shed conversions is to rent a house or a room in the local town or area. This is a solid choice, as a rented house offers a very reliable option when it comes to comfort, warmth, space and so on.
However, it’s becoming increasingly difficult to find available houses in Ireland. The costs are significant too if one is considering renting a full house.
In most rural areas, it’s still a cost of at least €1,000 per month. Over 10 years, that’s a total cost of €120,000.
There’s also the option of renting a room within a house for employees, but this mightn’t be the most attractive choice to them. A room will likely still cost in the region of €500 to €800 per month, depending on the location and the house.
Investing in accommodation for people in the business is somewhat of a necessity where additional help is needed, particularly on those bigger farms where you’re hoping to attract good, skilled people.
Good accommodation offers an added incentive over neighbouring farms or alternative industries that don’t have it as an option.
Based on my experience of different options, I’d be leaning towards a well-kitted-out modular home or building an additional house or conversion. They are both long-term options with the potential to last a lifetime. I’d be happy to stay in either option myself.
It’s a big investment in the business, one that needs consideration. However, if you are at a sufficient scale to require extra labour or feel you might be there in the future, it’s a no brainer.
Happy people who are good at their job can never be quantified by a figure or return on investment calculation. Comfort is vital and no-one wants to be returning after a long day’s work to a substandard living arrangement.
Overall, I’d give an investment in accommodation for people in the business a rating of 5/5 and one that farmers should strongly consider.
Average herd sizes are increasing year on year and it’s becoming apparent many farms across the country have no clear successors to take over the business. Therefore, attracting skilled people to farm businesses is more important now than ever before.
How can the dairy farming sector offer something more than other workplaces?
Salary, work-life balance and hours worked are a big part of it. Another incentive that may swing things in the sectors favour is housing.
The cost of living, house purchase and rental prices are all on the rise. If farms can reduce this burden for potential staff, they are in a much stronger position when it comes to providing an attractive job opportunity.
This week, we are looking at the options out there when it comes to housing people on farms and the costs associated with it. The suggestions are based on the fact there is no suitable house on the farm already.
Mobile homes
The most common option on farms over recent decades has been mobile homes. They are simple, can be cheap and are relatively effective.
They serve a purpose in a short-term scenario where funds are tight and the situation might be rushed, but in the long term, they are probably not the strongest option.
The interior of a Wallace Mobile Home costing €36,000 on its website.
There is a huge variation in the standard of mobile homes when it comes to things such as insulation, heating and comfort. A lot of this comes down to the spec, age and level of maintenance of the mobile home.
Some of the more modern and expensive options are extremely well kitted out. They are spacious and comfortable, while also offering a warm and well-insulated environment for winter months.
Then there’s the other end of the scale where they can be cold, damp and very confined. The difference is usually reflected in the purchasing cost. Modern mobile homes that are well equipped can cost anywhere from €25,000 to €50,000.
Cheaper options are available between €7,000 to €15,000. However, these are often substandard options if farms want to maintain a good status of living for their employees.
Modular homes/log cabins
In recent years, modular homes and log cabins have exploded on to the scene. In most cases, they are small, but offer a comfortable and a longer-term approach to accommodation.
The internal view of the three-bed modular home.
There’s lots of different options with these types of accommodation. They typically come as a kitchen/living room, bathroom and then a range of bedroom options from one up to four.
The level of comfort can be dictated by the buyer. In the main, they come as a basic insulated structure, which is assembled over a couple of days to leave a turnkey solution to accommodation.
In most cases, the modular homes come with plumbing, built-in kitchen and bathroom units, as well as hot water systems and electric. They are built to last, with most companies offering structural warranties as long as 80 years.
External view of a three bed modular home. Smaller models are available with prices ranging from €70,000 to €120,000
Modular homes are energy efficient, with most of them carrying an A or B rating. The cost of a modular home varies, but two-bedroom compact units are available for approximately €70,000.
Bigger three- or four-bed models are available for €120,000. Both prices include VAT and installation.
Log cabins are slightly different, as they require more maintenance and they are not likely to last as long as the modular homes.
They are cheaper than modular homes, but also provide a very comfortable option. A very basic unfurnished structure of a two-bed model is available, costing around €20,000.
Heating, plumbing, groundworks, kitchen and bathroom kit-out and cabin assembly are all extra costs on top of the basic €20,000 cost. This price rises closer to €50,000 when all things are considered.
For both options, you need a site survey beforehand that will determine what level of infrastructure and foundation will be needed to erect the home.
These modular options do require planning permission. On farms off the beaten track, it may be easier to navigate planning issues, but this would require consultation with the selling company and local authorities.
The Government is currently looking at loosening restrictions when it comes to planning, particularly in smaller-scale development projects and in modular homes. This would be a significant boost for farms considering this type of investment.
The talks are just finished going through a public consultation and there’s likely to be some form of amendments in the coming months, so it may be worth waiting clarification on this.
The National Ploughing Championships will offer an opportunity for farmers to see what’s available when it comes to these types of homes.
Building on farm
Building an additional dwelling house may be an option to suit certain situations. This option is very common on farms in New Zealand and England, where a farm manager also lives on the farm.
Careful consideration is required in this scenario in terms of site selection. It will be important to choose a site that will retain its value into the future. A location away from the farmyard or the original dwelling house would be a safe option.
If the farmer ever chose to sell the farm or sell the additional house in the future, the properties could be sold as separate lots. This way, the house is likely to carry a higher value.
A house could provide a good rental income should the farm manager or employees not require the house.
The costs to build a house on the farm will vary depending on the build. It's unlikely you’ll build a reasonable house for much less than €200,000 in the current climate. The advantage is this property is likely to hold its value at a minimum long into the future.
A large farm building converted to a home. Smaller buildings could be perfect for one-bed apartments.
A similar option could be the renovation of an old or disused farm building. It's becoming a more common sight to see these older storage sheds converted into small apartments or granny flats.
To convert a building to the current regulations won’t be cheap, but a budget of €100,000 should go a long way. The costs are totally dependent on the condition of the old building and plans for the new one.
With both options, planning permission will be required and, with a conversion, the building will need to be built in line with strict regulations.
These options are a long-term investment approach and offer flexibility in the future, provided the site is well chosen and the build is well carried out.
Renting
The alternative option to mobile homes, modular housing and shed conversions is to rent a house or a room in the local town or area. This is a solid choice, as a rented house offers a very reliable option when it comes to comfort, warmth, space and so on.
However, it’s becoming increasingly difficult to find available houses in Ireland. The costs are significant too if one is considering renting a full house.
In most rural areas, it’s still a cost of at least €1,000 per month. Over 10 years, that’s a total cost of €120,000.
There’s also the option of renting a room within a house for employees, but this mightn’t be the most attractive choice to them. A room will likely still cost in the region of €500 to €800 per month, depending on the location and the house.
Investing in accommodation for people in the business is somewhat of a necessity where additional help is needed, particularly on those bigger farms where you’re hoping to attract good, skilled people.
Good accommodation offers an added incentive over neighbouring farms or alternative industries that don’t have it as an option.
Based on my experience of different options, I’d be leaning towards a well-kitted-out modular home or building an additional house or conversion. They are both long-term options with the potential to last a lifetime. I’d be happy to stay in either option myself.
It’s a big investment in the business, one that needs consideration. However, if you are at a sufficient scale to require extra labour or feel you might be there in the future, it’s a no brainer.
Happy people who are good at their job can never be quantified by a figure or return on investment calculation. Comfort is vital and no-one wants to be returning after a long day’s work to a substandard living arrangement.
Overall, I’d give an investment in accommodation for people in the business a rating of 5/5 and one that farmers should strongly consider.
SHARING OPTIONS