LAND SETTLEMENT

Dominion, Volume 25, Issue 248, 15 July 1932, Page 8

LAND SETTLEMENT

New Law’s Provision ASSISTING PURCHASE Parts of Freehold Areas Arrangements have been completed bv the Lands Department for the administration of the Lund Laws Amendment Act, which was passed by Parliament last session, and-whlch has as its principal objective the encouragement of settlement by. means of granting facilities for the purchase by Intending settlers of parts of freehold properties. Regulations under the new Act were published in the Gazette yesterday. The objects of the new scheme are to increase land settlement, to increase production, and to provide opportunities for men with a reasonable amount of capital to acquire farms. One of the cardinal features of the scheme is that facilities are to be provided whereby advances may be made by the Land Purchase Board to buyers, of parts of privately-owned freehold properties. Applicants are warned by the Government that the part of a property selected for purchase must be of a nature to provide a living, and the residue remaining to the vendor must be sufficient to provide him with a living. In a special memorandum on the point, the Lands Department says that in no circumstances will advances be made for the purchase outright of the whole of the vendor’s property, thus merely substituting one new settler for an established farmer. Reading Requisite. The portion of a property to be purchased must be on a formed access road, and if it is not the vendor and the applicant, must make arrangements between themselves for the'provision of a road before the completion of the purchase. A vendor must be, prepared to give a land transfer title for the portion to be sold. Upon receiving the application from the prospective purchaser, the Land Purchase Board will decide whether to arrange for inspection and valuation of the property, and it may require the applicant to attend for examination as to his. experience and finance. The applicant may be required to produce documentary evidence as to his means in relation to the purchase of the property, its general improvement and stocking. An applicant must be landless as defined by the Land Act, that is, he must not hold land which in the opinion of the Land Board ; is sufficient for the maintenance of himself and his family. The Land Purchase Board is authorised to advance not more than 90 per cent, of the purchase money. It is stated this is not an indication that the board will advance the full 90 per cent, in any instance. Applicants must be prepared to pay in cash to the Commissioner of Crown Lands the balance of the purchase money upon completion of arrangements for purchase, or when called upon to do so by the board. No Excess Payments. The applicant must not agree with the vendor to pay any amount in excess of the purchase money as ratified by the board, or to secure by promissory notes or other means the payment of any excess amount. Should this be done, the board will reject the application, and if an advance has been made the board may call it up. together with interest. All advances of purchase money will be secured by first mortgage, and In addition to the ordinary provisions it is laid down that mortgagors must reside continuously on the land. They must not transfer without the consent of the Minister of Lands. In a significant statement the department says that it would save the time of both parties and of the board if vendors would fix their purchase prices at bedrock at the outset. Valuations will be based on the productivity of the land, and unless offers are made at reasonable prices the board will decline to treat with the parties. Loans for Development. Applications may be made to the Land Development Board for loans for the erection of buildings, clearing, draining, fencing, cultivation, grassing or general improvements. Each application must include a definite programme of work, and this must be closely adhered to. No advance will be made for more than 80 per cent, of the estimated value of the completed improvements for which the loan is required. Advances will also be made for the purchase of stock and chattels, and In this instance no advance will be more, than 60 per cent, of the estimated vahfe of the stock offered as security for the advance.