Buying rural land

Rural land means land that is used or apparently intended to be used for gain or profit for grazing of livestock, dairying, poultry farming, viticulture, orcharding, beekeeping, horticulture, the growing of crops of any kind, and vegetable growing.

So, even though your weekender in the country may not have stock on it, the fact that it is apparently intended for such use, would make it rural property under the law.

Under the Property, Stock and Business Agents Act 2002, Real Estate Agents can act in the purchase or sale of rural properties up to 20 hectares in size. However, a licensed Stock and Station Agent must handle properties over that size, and any livestock transactions. Before dealing with an agent, ask to see their licence and then call the Office of Fair Trading on 13 32 20 to check that it is current.

Important issues to consider when buying rural land are:

1. The economic climate of the area. Is the land to be used for agriculture, commercial purposes or private use?
2. Check that the property has appropriate council approvals and council zoning for any external buildings, and any future development.
3. What about your health and age? (Do you expect to have need for services that are found in cities and regional centres?)
4. What are the property taxes?
5. Does the contract include any licences such as water usage etc.?
6. What about accessibility of service utilities such as power and telecommunication?
7. Check for flood plains, areas with access problems, water problems.
8. Particularly check for any easements or rights of way that may be through the property. Even though they may have not been used for some time, their use by others can affect your rights as well.
9. Check that effective controls are in place and work has been maintained to control noxious pests on the land, such as rabbits and noxious weeds. Eradication of these can be expensive.

If looking for undeveloped land check the following:

1. Water tables, depth, quality and reliability.
2. Proximity of utilities and costs to bring them to the land / property and for installation and maintenance.
3. Country road maintenance and accessibility in adverse climate conditions.

Clearing sales

If buying a property, ensure exactly what is being sold to you along with the property. Many owners of rural land, when selling, conduct what is called a clearing sale, during which farm and household implements are auctioned. Whilst these auctions are commonly conducted by the real estate agent selling the property, it is important to note that the conduct of clearing sales is not a normal activity of agents, and any funds paid to the agent in trust for the owner of the goods are not protected by the Property Services Compensation Fund. Many sales are conducted on a cash only basis.

Before you buy a home

Before you begin the process of buying a home, it not only makes sense to look around at a range of properties, it is also important that you prepare yourself well by exploring and understanding your financial options as well as your legal rights and responsibilities.

By law, a residential property cannot be put on the market until a sale contract has been drawn up. You have the right to examine the contract at any time during the buying process, even before you make an offer.

In this section, you will find information about arranging finance and pre-purchase property inspections.

1. Getting finance
2. Property inspections

Buying into a strata scheme

What is a strata scheme?

A strata scheme is a building or collection of buildings, where individuals each own a small portion (a lot) but where there is also common property (eg. external walls, windows, roof, driveways etc) which every owner shares ownership over.

Strata schemes are, in effect, small communities where the activities and attitudes of residents can have a significant impact on the satisfaction and enjoyment of others. It is important for people to be aware of the responsibilities and obligations when owning a property in a strata scheme.

Strata scheme:

One of the major differences between owning a house and owning a unit (known as a ‘lot’) in a strata scheme, is that the external walls, the floor and roof do not usually belong to the lot owner. These areas are usually common property and the maintenance and repair of these parts of the building is usually the responsibility of the owners corporation. As it is common property, the lot owner is not able, without permission of the owners corporation, to alter or renovate these areas, or install services such as cable television. As a further example, a lot owner is not allowed to put an additional window in a common property wall without obtaining owners corporation approval.

Before purchasing a strata lot, it is essential that the prospective buyer is clear on where the common property boundaries are. This information is available from the strata plan, which shows the layout of the strata scheme and the common property details. Close attention should be paid to items such as sliding doors leading to balconies, garage doors and balcony railings, as strata plans may differ on whether these items are part of the common property or not.

It is recommended that expert advice be obtained if there is any uncertainty over common property boundaries. For a definitive answer on what forms common property in your strata scheme, you should refer to the strata plan for your individual strata scheme. A copy of the strata plan may be obtained from Land and Property Information NSW (formerly the Land Titles Office) at the corner of Macquarie Street and Prince Alfred Road Sydney NSW, or on 9228 6798.

In most strata schemes, the lot owner owns the inside of the unit but not the main structure of the building. Usually the four main walls, the ceiling, roof and the floor are common property. The internal walls within the lot (eg. the wall between the kitchen and loungeroom), floor coverings such as carpet and fixtures such as baths, toilet bowls and benchtops are all the property of the lot owner. While it is sometimes a hard concept to envisage, a lot owner effectively owns the airspace (and anything included in the airspace) inside the boundary walls, floor and ceiling of the lot.

Airspace can also extend to balconies and courtyards. You should get proper advice about ownership of such things as a tree in the courtyard or responsibility to maintain a pergola covering a balcony or courtyard. They could be in your airspace and therefore, would be maintained at your cost.

Owners corporation and executive committee

The owners corporation is the body made up by all the owners in the strata scheme. The owners corporation has an executive committee which can make many of the decisions on its behalf.


Levels

The role of the owners corporation is to look after the business of the strata scheme. To carry out this role, the owners corporation must set up and keep an administrative fund (for day-to-day operational expenses) and a sinking fund (for long-term future expenditure). The owners corporation must estimate how much money is needed each year for the funds to cover all the expenses and needs of the strata scheme. The levy amount to be paid by owners is decided at each annual general meeting by a majority vote. All levies must be worked out based on the unit entitlements of each lot. Levies are usually paid every three months.

An owners corporation has the same type of expenditure as a conventional householder. There are council rates, water and electricity charges for common areas, building and public liability insurance and repairs and maintenance of common areas. In a strata scheme, there is also additional expenditure such as workers compensation insurance, building valuations, the resolution of any disputes which may arise within the scheme and any other matters related to the running of the scheme.

Lot owners must be aware that they will be required to make regular contributions to the owners corporation to cover the maintenance and administration of the strata scheme. Owners should pay close attention to the quality and finishes of a building as everything the scheme has to offer must be maintained eg. swimming pools, lifts, tennis courts, saunas etc.


Are there any meetings I would have to attend?

While it is not compulsory for any lot owner to attend owners corporation meetings, a strata scheme operates better if those concerned take an interest in its affairs. It is helpful if people are willing to make themselves available for election to the executive committee. There would usually be several meetings of the owners corporation each year, although the annual general meeting (when levies are set for the coming year and the executive committee is elected) is the only meeting required by law. The executive committee would usually meet more often than the full owners corporation, as there would normally be a number of issues to deal with during the year.


What are the by-laws/lifestyle restrictions?

By-laws are a set of rules that all people living in a strata scheme must follow. By-laws are made in relation to issues such as safety and security measures, floor coverings, the keeping of pets etc.

What should I do before signing a contract?

You should get professional advice about the complexities involved in buying property. If you are interested in buying a strata unit, it is essential you look at the records of the owners corporation and know as much as you can about the maintenance of the building.

Particularly, you should consider how much it may cost and whether there are signs that money may need to be spent soon. Sometimes your solicitor will arrange this for you, but not always. There are companies which specialise in inspecting the books and they know what to look for. You can inspect the records yourself (upon payment of the necessary fees) and the owners corporation must make these records available:

* the strata roll (shows: who owns each unit, mortgagees and others who have an interest in lots, general information about the strata scheme, the name of the managing agent, insurance details, the by-laws and the unit entitlements for the scheme and each lot)
* general records, such as notices served about disputes or required by legislation, orders, minutes of meetings, accounting records, financial statements, correspondence received and sent, notices of meetings, details of proxies, voting papers
* plans, specifications, certificates, diagrams and other documents if supplied by the original builder at the first annual general meeting
* the certificate of title for the common property
* the last financial statements
* current insurance policies and the receipt for the last premium paid
* other records held by the owners corporation, and
* records or books of account kept by a strata managing agent.

Buying off the plan

If you are contemplating the purchase of a strata unit off the plan, some of the issues that you need to carefully consider include:

* the contract
* home warranty insurance
* selling price
* changes to plans
* quality of finish
* management contracts in place
* exclusive use or special privilege by-laws
* unit entitlement.

For State Agencies and Public Organizations

The Federal Surplus Personal Property Donation Program enables certain nonfederal organizations to obtain personal property that the federal government no longer needs. The Federal Property and Administrative Services Act of 1949, as amended, provides for the transfer of surplus personal property to State Agencies for Surplus Property. Surplus personal property includes all types and categories of property, except:

• Land or other real property;
  
• Certain naval vessels; and
  
• Records of the federal government.

The following activities are eligible to receive donations of federal surplus personal property through the State Agencies for Surplus Property (SASP):

Public agencies

• Nonprofit educational and public health activities, including programs for the homeless
  
• Nonprofit and public programs for the elderly
  
• Public airports
  
• Educational activities of special interest to the Armed Services
  
• Other donee activities

Expanded Ellettsville license branch opens

"Our customers in rapidly growing northwestern Monroe County and surrounding areas now have a new and improved license branch in Ellettsville," Stiver stated. "The customer-friendly design will help our staff provide even better service in a professional environment."

"With the new branch design, we can improve the efficiency of our operations and maintain or reduce customer visit times," said Stiver. Average customer visit times at the Ellettsville branch in 2008 are just over 7 minutes, compared to the statewide average of about 9 minutes, according to Stiver.

The new Ellettsville branch is 1,200 square feet larger than the former branch. This additional space allows for more seating and the installation of a public restroom. The customer service area has expanded from five to six computer terminals with space available for two more terminals in the future.

Federal Acquisition Service

The President’s Management Agenda calls on federal agencies to meet twin goals of reducing government spending and improving performance. With these outcomes in mind, GSA Former Administrator Perry announced in summer 2005 the agency’s plan to restructure some of its primary functions.

The most significant outcome of this reorganization is a new GSA Service, the Federal Acquisition Service (FAS). FAS is the consolidation of GSA’s Federal Technology Service (FTS) and Federal Supply Service (FSS). Many factors led to the planned reorganization, including shifting customer needs, an evolution in how agencies acquire technology products and services, and a greater emphasis on GSA’s role in federal procurement.

The FAS organization has 10 program areas:

• Office of Administration - manages human capital planning and analysis, competitive sourcing program management, emergency management, employee development and training, space management and other service-wide managerial and administrative functions.


• Office of Acquisition Management - ensures that GSA’s activities are fully compliant with federal laws, regulations, and policies, and that operating practices are consistent across business lines and regions.


• Office of Assisted Acquisition Services - complements the programs of the Integrated Technology Services portfolio by providing acquisition, technical and project management services that assist agencies in acquiring and deploying information technology and professional services solutions


• Office of the Chief Information Officer - develops and manages applications and systems in support of the needs of the FAS business lines and staff offices in accordance with policy established by the GSA Chief Information Officer.


• Office of the Controller - delivers financial and business information to FAS leaders and program managers to ensure sound resource and business decisions are made.


• Office of Customer Accounts and Research - enables GSA to better understand customer requirements and become a strategic partner in helping agencies meet their acquisition needs.


• Office of Integrated Technology Services - groups together in one portfolio the GSA business lines that acquire information technology, telecommunications, and professional services.


• Office of General Supplies and Services - groups together in one portfolio the GSA business lines that acquire a broad range of commercial products and closely-related services, as well as some specialized logistics-based activities.


• Office of Travel, Motor Vehicles, and Card Services - groups together in one portfolio GSA business lines that share commonalities and can provide opportunities for synergy and scale.


• Office of Strategic Business Planning and Process Improvement - provides a strategic vision for all of FAS, consistent with the overall GSA strategic vision, and also a consistent set of tools to help achieve the vision.

Benefits from the establishment of FAS include a deeper understanding by GSA of customer requirements; stronger management of the agency’s acquisition processes and programs; and greater integration of GSA business lines to provide multiple channels for customers to acquire the products, services, and solutions they need. The intended outcome is a GSA organization that is capable of delivering excellent acquisition services efficiently and effectively and providing value to federal customers and the American taxpayer.