LAND SETTLEMENT

Wanganui Chronicle, Volume 75, Issue 178, 30 July 1932, Page 20 (Supplement)

LAND SETTLEMENT

NEW FACILITIES FREEHOLD SUBDIVISIONS Regulations under the legislation of 1929 and last session which was designed to increase land settlement, increase production, and provide opportunities for men with a reasonable amount of capital to acquire farms were published in the Gazette issued recently. One of the principal features of the scheme is that facilities are afforded for advances to be made by the Land Purchase Board to purchasers of parts of privately-owned freehold properties. A special memorandum issued by the Lands 'Department advises applicants 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 no circumstances will advances be made for the purchase outright of the whole of the vendor’s property, this merely substituting one new settler for an established farmer. 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.

Procedure Outlined. 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 proits 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, in any assistance. 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, and when called upon to do 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 tais be done, the board will reject the application, and if an advance has been made the board may call it up, together with interest. AU advances of purchase money will be secured by first mortgage for 36$ years, repayments of principal and interest (at 6 per cent.) being made in half-yearly instalments, 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. “It would save the time of both parties and of the board,” the department states, “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.” Money for Improvements. 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 value of the stock offered as security for the advance.