DEMAND for holiday and second homes in North Yorkshire remains strong - despite foot-and-mouth disease.

And although the agricultural property market understandably remains quiet, one local agency believes there could be an influx of land on the market once the crisis is over.

Mr Nicholas Gee, Craven director of the North Yorkshire-based Dacre Son & Hartley, said demand for residential property from people outside the area was strong.

"This is positive news for the people of North Yorkshire and indicates that people have long-term plans for the area," he said, "Such news can only be welcomed by the local economy."

Mr Ian Cox, director and head of agricultural and land management at the Otley branch, said the supply of agricultural land onto the market had dropped off throughout the crisis, as farmers had more pressing issues than property sales to consider.

"Once the disease has been stamped out, however, there may well be an influx of land back onto the market, as a number of farmers, especially those nearing retirement with no heir to the family farming business, may not re-stock their farms," he said.

"They may, instead, choose to take the compensation for their livestock and realise the capital value of their holdings."

It remained to be seen what demand for agricultural land would be like after the crisis.

"We may be faced with a market where supply outstrips demand, given the state of the industry at present," he said.

"In this situation, land prices would obviously fall, which would be a further blow to farmers, especially as before the crisis agricultural land was holding its price well, despite the many setbacks the industry has suffered over the past few years.

"However, the good news is that the strong residential market will bolster the value of farm units where the farmhouse is included in the sale, so the timing for capitalisation of the property may prove to be in the farmer's favour."