Living in rural country can be quite peaceful and quiet. A relaxing lifestyle indeed. If you want to buy a regional property, here is a list of a few common things you should look out for:
Land Covenants:-
When buying regional property, it is important to read the terms and conditions. In purchasing a block of land that was subdivided will often be subject to a number of land covenants. These terms and conditions underline what you can and can’t do to your land. It may impose regulations such as disallowing you to have a front fence or you must have the house built within 12 months from the land settlement. Another may require a full landscaped garden to keep the standards of the area high.
It’s important that you check these with a solicitor. If you plan to farm on your land or build a particular house, these terms and conditions may restrict or eliminate these objectives.
Who are your neighbours:-
Before buying a regional property you should fully understand who your neighbours are. The clear skies and fresh air maybe what you seek, but certain neighbours may be running farms that leave quite a stench. Animals and fertilisers can really smell bad. Effluent may spread across to your land, fertiliser spray could blow across to your property and your sleeping patterns may be effected by early workers or noisy animals.
If you are accustomed to this, then you may be fine. We still suggest you become aware of your neighbour’s activities and identify how close their actions are to your land. Ensure you are comfortable with these activities so they don’t disrupt the very purpose why you want to live in country Australia.
Water supply/usage:-
Owning real estate in rural Australia may not be connected to a central sewerage system or a town water supply. These sites may rely on septic tanks or other systems. This relates to both buying new and established property. If it’s an established regional property, it is important to review the quality of the installation.
Determining council consents and required maintenance is also quite important. If there is a consent on an existing house, it would be advisable to ensure those consents are transferred into your name as part of the purchase. If this is overlooked and there are issues, this can be an extremely costly exercise to rectify.
Local pests or diseases:-
If you are buying in regional country Australia and plan to establish a farm or continue on from an existing farm, take note if there are any pests or diseases that may affect your farm and your personal lifestyle.
Diseases can come from the grass or plants, while pests such as wasps and fruit flies can make your experience very challenging. If you are inexperienced, ask your local authorities, council or solicitor to find out before proceeding. If you remain unsure about the circumstances don’t be afraid to organise a soil test or pest inspector to check the place out. Having the purchase subject to positive results should be well documented.
Economic growth areas:-
Many people consider size and price first when buying a regional property. This can prove a costly mistake. Quality before quantity… It may be wise to buy in an economic growth corridor where there are economical factors that will increase your property value. Having some amenities, shopping precincts and town centres can make a difference. It will improve liquidity (if you plan to sell) and maintain sustainable prices for the future.
You should also be wary of buying in an area supported by one industry alone, such as mining or agriculture. In such regions, a decrease in mining activity or a natural disaster could cripple the local economy causing your property value to plummet.
Your local community:-
Any suburb has its own community culture. It can be easily noted in inner city suburbs, but regional locations are not as easy to read up on. Perhaps taking some time to learn the area, take a walk, eat out and meet the locals. This will help you envisage yourself living in the area or renting it to someone who may be like-minded to you.
Buying regional property can be a very exciting time for you and your family. We hope this article helps you think carefully before buying.
If you’d like to learn more about buying an investment property, please don’t hesitate to contact us. We would welcome the opportunity to help with your property purchase. Our YouTube channel and Market Insights also provide a wealth of information to assist you with many areas relating to property investments.
While we have taken care to ensure the information above is true and correct at the time of publication, changes in circumstances and legislation after the displayed date may impact the accuracy of this article. If you want to learn more, please contact us. We welcome the opportunity to assist you.
Mar 2018
