BUYING PROPERTY IN AUSTRALIA

  

 The following information is a general guide as to issues that may arise when purchasing a dairy property in Southern N.S.W & Victoria, Australia.
Land may be purchased in Australia under the following entities.                                                              


Individual
Partnership
Company
Trust with corporate trustee
Partnership of the above
Your accountant or solicitor can advise you with establishing this. We recommend giving these options serious thought as establishment costs for setting up a partnership or company with a trust are numerous. Purchasing land as an individual & subsequently transferring to a trust or company structure also involves substantial costs.

Rural Property International have a range of solicitors and accountants that can discuss with you the most appropriate structure for your entity & oversee all matters relating to the purchase prior to entering into any legally binding contract.


Before any contract of sale is supplied, by law the Vendor is obliged to disclose all information regarding the said land. The information that should be included are as follows:


Copy of Title
All information covering easements, planning issues, services to the property, water rates, municipal rates, livestock diseases, notices affecting the land & any other relevant information.
Issues that may arise from the contract may include

Water is a valuable commodity & crucial to any property. Rural Property International can seek all information regarding to water entitlements. Irrigated land may involve several issues relating to water, these may include:


Registration of dams to a certain size
Water right
Stock & Domestic Water
Drainage
Community drainage schemes
private schemes
Easements granted to water authority
Ground water licences & licence transfers

If a current status of any livestock diseases on the property is unavailable, a certificate should be obtained prior to an exchange of contracts on the property.


We can guide you through any information relating to Stamp Duty. Stamp Duty is payable on transfers of land in Victoria & NSW.
In respect to this matter, some savings can be made in regards to the following:

Moveable Plant & Equipment- If there is a substantial number of moveable plant & equipment, the amount apportioned to this can be taken off the dutiable value of the land. The SRO(State Revenue Office)  has specified these items & Rural Property International can guide you through this.
Multiple Certificate of Title- If the land being purchased has multiple titles it is possible to apportion values to each title to reduce the overall amount on the dutiable value of the property as a whole.

Water Right & Other Water Entitlements- There are two methods to deduct the value of the water on the property from the dutiable value of the land.

Base Value – By deducting the value of the water in the water right from the dutiable land only. The SRO allows a certain amount per megalitre depending on the irrigation area & price per megalitre. 
Stock & domestic water entitlements are exempt from using this method.
Valuation-A registered valuer can advise on the value of the water right & does not have to use the base method as per the SRO. This can include ground water entitlements. However, using this method may incur additional costs for carrying out the valuation.

These are payable to the Land Titles Office when the a transfer is registered. The amount is scaled, however the maximum payable for one transfer of $500,000.00 or more is $1,323.00.

 

 

Rural Property International has endeavored to ensure that all information on this web site is correct.  However, we make no warranty with regard to the accuracy of the information on this web site and will not be liable if the information is inaccurate, incomplete or out of date.  The contents of this web site should not be used as a substitute for seeking independent professional advice.The hotlinks to other web sites are provided as a service to users.  We are not responsible for and do not endorse linked sites, nor are we able to give assurances regarding their content, operation or accuracy.