Monthly Archives: June 2010

Considerations When Buying Land for Your Next Home

By: charles gueli

Considerations for finding and buying land for a new home are mind boggling.  That’s why 80% of the people wanting to build a new home, buy from a developer or builder.  But if you have adventure in your heart, let’s do it.

 

First, think about proximity to the elements of your life that you need to reach (job, family, etc.).  If you’re ending up in an urban area, the land will be more expensive and have more zoning restrictions than a piece in a rural area.

 

Then look into the local zoning to be sure you can build a house without needing to get a variance.  You realtor should have that information.  Once you have your architect in place, he/she will be able to get the other town requirements, which will be reflected on the drawings.  But there are a few other things you might want to check out on your own.

 

The local building department should be able to tell you about any intended development that might have an impact on your desired lot.  Any nearby residential developments in the planning stages; shopping centers; enlarging roads for added traffic?  I would ask the realtor these questions as well, but you’re more likely to get accurate information at the building department.

 

Next, how much land do you want?  Wooded lot or open? Flat or sloping?  Do you want a view?  Maybe watch the sunsets?  Think about the position of the house on the land. 

 

Then check out the location of the closest utility pole. Bringing electricity and telephone lines long distances can become very expensive.

 

Always WALK the lot – at least around the perimeter.  It’s the only way to make sure you don’t have wetlands, excessive grades, or other natural impediments to your intended construction.  These issues will diminish the value of the property.  Don’t overpay.  Comparison shop, like you would for a pair of shoes.

 

Are the people in the local town friendly?  Ask about any history about the area.  Find out what the local taxes are like.  Go around with realtors and see what’s available.  Buy a local newspaper and check comparable prices.  I almost forgot – the internet will probably have some good information you can use.  You might also get some information about what your house will be worth once it’s built.

 

Next, what’s nearby?  Parks, streams, a lake, an ocean, shopping, a library, transportation, a hospital, museums, – anything that might have an impact on your decision to buy.  Transportation usually has a positive impact on the value of any land within walking distance. 

 

If you’re not in a hurry, see the property during various seasons.  It could look very different.  These issues will help you organize your thoughts and prioritize your choices BEFORE buying land.

 

About the Author

Charles Gueli invites you to ask questions and take advantage of the resources on http://www.continuous-home-improvement-help.com , where guidance, information and support are always available.

(ArticlesBase SC #1066645)

Article Source: http://www.articlesbase.com/Considerations When Buying Land for Your Next Home

The 8 Golden Rules for Buying a Building Lot. How you can avoid common mistake many people make buying land

By: Kelly Peterson

The 8 Golden Rules for Buying a Building Lot.  How you can avoid common mistake many people make buying land.

We often have come across someone who has recently purchased their lot and then ask us standard questions like “Where do you think I should build?”  “What about my utilities?”  “How big a house or footprint can I have?” and quite a few others that should be asked or considered prior to purchasing a lot.

Here are our 8 golden rules for buying land:

  1. Is it in city limits or in an unincorporated part of the county?  Often times when you are looking at property within city limits, the utilities including sewer are already in place, whereas outside of city limits, often times there is no cable, no power, no sewer, no water, and no driveway.  Each one of these items needs to be addressed.
  2. You need to know if the land “percs” for an onsite septic system, what type of septic system will need to be installed, and how much it will cost.  If you are planning on building a 4-bedroom home and the property can only install a 2-bedroom septic system, the property is not worth much.  You need to know this before closing on your purchase.  Within days of making an offer, or prior to making an offer, you should ask the current homeowner if he has any documentation of a perc test and septic design and when that design expires.  Often times you will need to hire someone to conduct a test and make your offer contingent upon this factor.
  3. Is there water available?  The biggest mistake you can do is find a great price on a property, find that it percs, but find out later that it will cost tens of thousands of dollars to drill 200 feet down to install a water well.  Although you cannot be 100% sure without an actual drilling, an experienced local drilling company can provide you information of lots nearby and their drilling depths and associated costs.  They usually have standardized bids with variables that include depth that can provide you a general price range of the associated costs.  You also have to watch out for having enough pressure to install a sprinkler system inside your house.  Many municipalities include this in the building code for rural areas where fire trucks may not have easy access.
  4. Wetlands – In King County, Washington, and probably a few others, it is required that you have a “Critical Areas Designation” completed by the county.  The county comes out and takes a look at your property and designates certain areas as wetlands and requires setbacks from this area for your building.  This is a complex topic and we suggest that you spend a few hundred dollars before purchasing your property and hiring an expert in the field that will review your potential property and provide valuable feedback.
  5. Other Utilities (Power, Phone, Cable, and Internet) – Unless you are planning to go completely wireless with cell phone, satellites, and solar you need to contact the local utility companies and find out about access to your property and the associated costs.  You’d be surprised at how much it can cost to bring power just a few hundred feet to your property or convert the lines to underground.  It’s often good to know if you have access to natural gas or if you will be using a service for propane tanks.  This may also factor into your decision.
  6. Setbacks – Every jurisdiction has their own set of rules for setbacks from property lines.  If you are buying a large parcel it may not be as important, but a smaller parcel in the city can exclude you from using the house plan you want based on the setbacks and the foundation footprint you end up with.  Often times, they also may have rules based on the ratio of impervious surface with the overall square footage of house or even the ratio of the square footage of the house with the total square footage of the lot.  Be sure to check your local zoning office to verify you can build the house you want.
  7. You see it all the time as you drive around:  Houses are not taking advantage of their view and facing the wrong way simply because of the driveway access and location of the garage.  You are selecting a lot on certain factors, but mostly location.  Did you buy the house because of its amazing view of the mountains to the East, or maybe the water views to the West?  Make sure that the house plan you select maximizes your view and you design the position of the house to take advantage of this, this would include reviewing your driveway access.  If you are in a rural area, you may have to apply for driveway access in a certain location and the county will have to approve the location.
  8. Hire a real estate with experience with the type of property you are looking for.

We hope this helps in making your lot purchasing process and you can avoid the many pitfalls people make buying land.

About the Author

Kelly B. Peterson builds custom and spec homes in the greater Seattle area including Whidbey Island.

(ArticlesBase SC #954471)

Article Source: http://www.articlesbase.com/The 8 Golden Rules for Buying a Building Lot. How you can avoid common mistake many people make buying land

Guide on How to Buy Land

By: Maria

Some home buyers would rather buy land to build their ideal homes in. In fact, there is something about purchasing vacant parcels that appeals to people who want to construct their homes in their own pace and budget. A few acres can be so enticing and buyers envision themselves constructing the newly-built home of their dreams. There is that longing to build a home the way you exactly want it. And for those who have the money to spare, unimproved vacant lots are ideal and appealing.

Whatever motivates you, purchasing land is surely a whole lot different from buying an already constructed home. There are a few things that need to be discussed when buying land however, such as zoning requirements, land-use, easements, access, and utilities. They are tremendously essential in any land purchase and should be given due consideration. True enough a land acquisition can be a complicated thought process. When purchasing an existing home, someone has already been involved around issues concerning what is permissible on land.

First off, you should find the proper zone and know the plan. Once you have decided on what you want, you must spend some time t the zoning department. Check with your local zoning ordinances to determine the kind of house you want. As soon as you have recognized the particular parcels that you find interesting, zoning actually tells you whether you can have a home on that site.

There is actually a long-range plan for land-use that you should be aware of. There will be numerous areas selected for residential uses, businesses, public use like schools and parks, and agriculture. The zoning department will disclose information and warn you whether you will have a nice neighborhood or not. You certainly do not want to buy a vacant lot close to a maximum-security prison.

While you are presently surveying the area, assess highway congestion and inquire about planned road enhancements. If your ideal parcel is in a city with nicely built houses seated on six-lanes, chances are, those homeowners did not foresee that a road is going to be constructed there when they have bought it decades ago. So in buying land, there is no easy way on how you can predict the change of road plans.

Next step is to figure out if the land is an unlisted acreage or in a recorded subdivision. If your vacant lot is in a subdivision, review the subdivision restrictions. Whether you are going to buy land in rural areas or in the city, these restrictions apply everywhere. You may also look into utility easements as they will not be available for construction. Subdivision restrictions can help you identify your boundaries. These restrictions cover every issue concerning the sort of pets you can have to whether you can have a humongous truck in your driveway.

Determining the costs involved should also be considered in buying land. Financing for unimproved parcels is a huge market. If your vacant lot purchase price is not that eye-poppingly huge, you can take out home equity loans on your existing residence and bask in tax deductions.

About the Author

Land Real Estate in San Diego CA, Land for Sale in Cardiff By The Sea CA and Land for Sale in Carlsbad CA can offer you a whole deal of information about the real estate market. Whether you want to sell your house, buy a property or rent one, getting all the information that you need will give you a great advantage.

(ArticlesBase SC #1526582)

Article Source: http://www.articlesbase.com/Guide on How to Buy Land

Why Is There Interest in Buying Land?

By: Russell Ward

Many years ago I went to auto auction with my local dealer.  There was a sea of cars as far as the eye could see.  So which one do I choose?  Before I arrived, I looked at my budget, determined my family’s needs and narrowed my choice to one mini van make/model.  When I arrived I could have been overwhelmed by the shear volume of vehicles but I wasn’t as I already knew what I was looking for.  Once there, I popped open a few hoods and after some searching I finally decided on my purchase.  The process to make a purchase decision took much time and energy – but it was worth it.  After a month of gathering information I arrived at the auction ready to pull the trigger to buy.  I enjoyed that minivan for years.   I am still grinning about that car.

When it comes to land, many people are kicking the tires.  There is an enormous amount of land can be purchased.  So it can be overwhelming where to start.  Many are at stage where they are doing their research and narrowing down where, when, and for how much they are going to purchase land.  Some will go to a land professional for help.  But many are going to do all the investigative work on their own.  So what are the key types of land investors are looking for?

Retirement – We all have hopes and dreams.  One dream for many is to retire.  But where?  The National Association of Realtors conducted a poll and found that nearly 60% of Baby Boomers hope to move to a rural setting when they retire.  There are nearly 80 million Baby Boomers – this means that almost 48 million people dream about moving to the country.  I bet you have met some of these people or maybe this is you.

What does that mean to those us who are land professionals?  Get ready to supply Boomers with land parcels.  What type of land parcels are they looking for?  Boomers are buying as small as a half acre to hundreds of acres.  It is time for those who represent land to get ready for this influx of activity.  Right now some are at your doorstep determining whether you are the person to work with.

I see myself as a supplier of hopes and dreams.  Many will buy land for retirement but most will never move to the country, but at least they will fulfill a part of their dream.  Wouldn’t you agree dreams drive major purchasing decisions?

Investment – It is an understatement that this has been a challenging year for any increase in value in your investments.  As we know the stock market is mired in much uncertainty.  Where are investors going to turn to rebuild their portfolios?  Some investors will leave the traditional investment grid and scour for low risk hard assets such as land and gold to invest in.

Recreational Use – Some investors will simply want to enjoy their “own slice of heaven” by buying land that they can either hunt, fish, drive their ATV, etc.  They are buying not only to recreate but also for investment.

Many internet land websites have reported from a 42% to 500% increase in visitor traffic.  What does that mean to those of us who are land professionals?  Investors are starting to do their research to determine where to invest to get the best value for their money.  But they are not ready to pull the trigger as yet because investing in land is a new idea.  Once they get comfortable, we are going to see a wave of land purchases that are going to be mind boggling.  Is your business prepared to service this demand?

What type of land are investors searching for?  Hunting land, recreational land, retirement homesite, farmland, timberland, hobby farm, and waterfront lots just to name a few.  There is going to be an amazing convergence on not just one land type but on different types of land all at the same time.  That is why the market will be hot and grow rapidly in the coming years.

Why invest in land?  Historically, land has proven to be a safe investment even during times of market volatility.  Now, investors are reevaluating their investment strategies and are looking for something they can touch and feel.  They also feel they are in more control of the results of their investment compared to the ups and downs of the stock market.

There are many investigating the potential benefits of land investing and some will feel that investing in land can prove to be secure and lucrative.  Also investing in land can provide an alternative to fulfill some of their investment goals that are outside the stock market.

How can we serve you?  We can help you to connect with an affordable parcel of land that will meet your investment needs.  Call 1-877-8VACANT (1-877-882-2268) or email us at info@vacantlandguide.com today to learn more.

“Ninety percent of all millionaires become so through owning real estate.” – Andrew Carnegie

Many millionaires will emerge in the next few years because of vacant land.

About the Author

Russell is the ONLY person in the country training real estate investors how to control or buy raw land at half-price. The time has never been better to learn the inner workings of land.

He is a full-time raw land investor who has been extensively involved in more than 600 land transactions ranging from .25 acre to 500 acres. These real estate deals involved over $9,000,000 in total sales. Russell has produced a six-figure income in real estate, solely generated through vacant land transactions. He has two Master degrees, including a Master’s in Management with an emphasis in entrepreneurship. He resides in Jacksonville, Florida.

Russell has used his insight and experience in vacant land transactions to write the Home Study Course, Vacant Land Guide – How to Buy Vacant Land at Wholesale Prices. His passion for training and educating investors in vacant land real estate is evident in both the content of the Guide and the personal presentations that he puts on for investors. His intent is to equip the investor so that he or she may go out and become an independent and successful vacant land investor.

(ArticlesBase SC #1137397)

Article Source: http://www.articlesbase.com/Why Is There Interest in Buying Land?

Facts about Buying Land – The Tips to Making a Remarkable Purchase

By: Maria

Buying land is surely as valuable as home purchase which is everybody’s dream and ultimate desire. However, those who plan to buy land need to consider more things than just simply finding the perfect dream house for him and his loved ones. Most available lands are under land ordinances set by their respective states and local authorities. Therefore, before finalizing a transaction for land purchase, it is imperative that you get to check first with the local authorities to know the entire scenario about land buying.

What are factors to consider in buying land?

Finding the perfect topography and the appropriate building suited for the land requires not only your gut feeling and initial instinct. You definitely need to hire professionals who are skilled and highly trained in this area of real estate. It is best that you seek advice especially when deciding if the land is truly suitable for your home plans. This is also where the importance of knowing land ordinances comes in since different states have different standards. For instance, some states require construction of building or any form of structure on lands smaller than 20 acres and the like.

Other factors you need to consider are as follows.

  • Prone to natural hazards. Find out if the land you are planning to buy is prone to natural calamities like flood or fire. You can do this by securing a natural hazard disclosure which includes sufficient information regarding the background of the venue.
  • Accessibility of utilities. This is very important since the convenience and comfort of your daily routine depends mainly on the proper function of your house. For instance, check if you have good access for water supply. You must also ensure that you have enough supply of electricity, a reliable cable and telephone line, among others. Most residents install generators to make sure that they have backup whenever there is utility failure in the place.
  • Livestock sounds and smells. Remember that country life is far too different from urban living. If you are getting rid of air pollution caused by fuel gases of big vehicles and cars, in the country you need to expect smells from pig sties or poultry farms. Therefore, you need to be amenable by the smell of livestock wastes and brays or squawks you are bound to hear.

What are the advantages of buying land?

For instance, you are getting a much lower price rate given the trend of land purchase in the real estate industry. Compared to the limited space in urban households or dwelling places, having your own land means more air, space and the luxury to enjoy nature through trees and other foliage. You also have the opportunity to customize your own home according to your preferences and style. Most importantly, nothing beats the fresh air and relaxation you will find in lands located at the countryside.

Buying land is after all a very exciting venture you can invest your time, money and effort into. Finding the perfect land means enjoying a long-term investment you can surely benefit from.

About the Author

To know more about buying land, you can check Phoenix Homes for Sale. Find other real estate ideas and tips by visiting Residential Real Estate in Phoenix AZ.

(ArticlesBase SC #1234038)

Article Source: http://www.articlesbase.com/Facts about Buying Land – The Tips to Making a Remarkable Purchase

What to Look for When Buying Land

By: Melanie Click

When buying land to build a house on, you need to first look at your ideal location, but be sure it is truly ideal. If you intend to stay there until the children are grown up, does it have good educational and sporting facilities nearby? If you don’t want your children to attend boarding school, then it makes no sense to buy a block of land in the outback, even it you do love it there.

Make a list of all the facilities that you need both now and in the future. Transport and proximity to the workplace may be important – only you can decide. If you intend to stay there until the children are grown up, does it have good educational and sporting facilities nearby? If you don’t want your children to attend boarding school, then it makes no sense to buy a block of land in the outback, even it you do love it there. You also need to look at other amenities such as doctors and dentists. Find out if the land has electricity, water and sewerage connected and how much it will cost, if not. If there is no telephone, find out if there is mobile coverage in the area.

Another thing that is important is the slope of the land. Steep means expense when building. It can also make access awkward for construction machinery, as well as yourself. What about flood zones? Being in a flood zone will increase your insurance at the least. You also need to check out building and zoning regulations – and whether any trees can be removed.

About the Author

A convenient option is to have both a house and land package. Examples include Cranbourne house and land and house and land packages Geelong. There are many packages for house and land Victoria.

(ArticlesBase SC #664329)

Article Source: http://www.articlesbase.com/What to Look for When Buying Land

Guidelines for Buying Land

By: Dave Simpson

Like a house, buying land can be a very stressful business, unless you follow certain guidelines. I aim, in this short article, to give you some tips to make the whole experience of buying land as smooth as possible.

First of all, know your budget and stick to it. Many people get themselves into serious financial problems when they buy land that is overpriced, or simply more than they can afford. You should also consider the reason for buying the land, for you may be able to pay more for land that is for investment purposes than for say, your retirement. Longer term investment in land can also affect your budget, especially if you are buying the land under a finance deal.

Another factor to consider is what is the potential future value of the land you are considering purchasing? If you are buying for retirement purposes or to build a house to live in then you probably want to buy land that is already zoned and has suitable infrastructure already in place. If you are a speculator then it may be worth checking what the future land use proposals are for you could be picking up a bargain. Always check with your local Zoning office before buying land, this can prevent nasty shocks in the future. You don’t want to end up living next to a slaughterhouse or freeway!

Its a little different when it comes to land investment. If you are speculating then it may well be worth taking extra risks and buying discounted land to sell when people decide to come and settle there. Always consider local amenities and natural features such as a Lake Front, Lake View, or nearby gold course as these always attract a premium price when developed.

Finally, ensure that the deal is legitimate. Perform due diligence, get a lawyer involved if the deal warrants it and ensure that you get, for example a Warranty Deed, or a similar document to prove that you actually own the land, and of course you should ensure that the person selling you the land actually owns it in the first place!

About the Author

If you are looking for land to buy then you should check out my website at http://www.uslandauctions.info where you will find a wide range of land for sale in every state in the US.

(ArticlesBase SC #574718)

Article Source: http://www.articlesbase.com/Guidelines for Buying Land

Property in South Africa – Guide to Buying Property in South Africa

By: Les Calvert

There are no restrictions on foreign nationals investing or buying real estate in South Africa. Indeed, for generations, foreign nationals have been very active in the real estate market in South Africa.

As will be discussed more fully later, real estate in South Africa actually is known as or termed immovable property

Investment Property in South Africa

The investment real estate market in South Africa has been profitable for foreign nationals for years. There were some tentative times directly after the end of Apartheid in that country. However, as time has marched on from the period of transition, foreign nationals have carried forth in their investment in South African real estate — immovable property — on many fronts.

By way of example, foreign nationals play a significant role in the ownership of real estate or immovable property in the commercial sector. Foreign nationals own everything from office buildings to hotels and resorts.

There are no restrictions on the types of real estate that a foreign national can invest in within South Africa

Residential Real Estate in South Africa – Single Family Properties

Many foreign nationals have taken to purchasing some fairly high cost properties in South Africa. These men and woman have purchased these costly residences to be used as second homes and for holiday or vacation purposes. Many people — including a significant number of Europeans — regularly take extended holidays in South Africa. Since the end of Apartheid, a greater number of people from across the globe are taking to spending extended holidays in South Africa. This includes an ever growing number of North Americans, Canadians and U.S. citizens alike.

The single family dwelling market is fast moving and brisk in many different areas of the country. Not only can foreign nationals be found investing in these types of residences in the more urban centers in the country, but they are making purchase of these types of property in rural areas as well. As will be discussed, many foreign nationals enjoy making an extended holiday stay in South Africa (and have done so for many years). Thus, many of these foreign nationals have been interested and continue to be interested in buying single family residences — and at times very substantial properties — in urban and in rural regions of the country where they can live for a portion of the year.

Residential Real Estate in South Africa – Apartments

Because of the high rate of foreign investment in all sectors of the South African economy, many foreign nationals regularly can be found purchasing apartments in the major urban centers in that country. These foreign nationals find themselves in country for more extended periods of time. These men and women find the purchase of apartments to be an economical manner in which they can provide themselves housing during their time in South Africa on business.

There has also been a brisk business in the buying of apartments in resort communities by foreign nationals. Many foreign nationals are taking a two-pronged approach to buying apartments in resort venues. First, they are using these properties for their own holiday purposes. Second, they are letting out these premises to other foreign nationals when they are not personally using the property. Many foreign nationals have found that they can make a tidy sum by renting or leasing an apartment in a resort locale during that part of the year when they are not personally in residence in the resort community apartment.

Holiday Property in South Africa

For generations, Europeans and men and women from other countries the world over have made South Africa a holiday destination. Indeed, the history of people from Europe and elsewhere around the world making long and extended holiday stays within South Africa is long and legendary. As a consequence, the market in vacation or holiday real estate in South Africa is well established.

For the foreign national interested in purchasing vacation or holiday property in South Africa, the options and opportunities in regard to such property is extensive and varied. A foreign national has the ability to purchase anything from a high priced villa in a trendy resort community to a snug and tidy apartment in a sprawling urban setting to a lovely chateau in a rural area in the country.

A number of foreign nationals have taken to investing in different holiday and resort properties. Indeed, foreign nationals have been active in the development of hotels, apartments and free standing dwellings that are leased or rented to people who have traveled to South Africa on holiday. Overall, this type of investment has proven to be very lucrative for many foreign nationals from different countries the world over.

Specific steps to buying real estate property in South Africa

In South Africa, the laws governing the buying and selling of real estate actually are called laws governing the buying and selling of immovable property or land. At the present time, there are no restrictions on a foreign national buying and owning real estate in South Africa. Indeed, foreign nationals have bought and owned real estate — immovable property — in South Africa for generations.

Generally speaking, the buying and selling of immovable property or real estate in South Africa is governed by decisions of the courts of that country. The one area in which statutory law does play a role when it comes to buying and selling real estate/immovable property in South Africa is in the area of the ownership of mineral rights. When it comes to mineral interests that might be underneath the surface of a particular piece of property, that interest as a general rule belongs to the “people of South Africa.” In other words, even though a foreign national may be able to buy real estate in that country, more often than not a foreign national will not be able to easily purchase a right to extract minerals from that real estate. (Of course, a contract can be entered into with the government that will grant an individual of business the right and the ability to withdraw minerals from underneath the surface of land.)

Because there are some tribes that exercise some degree of local autonomy in South Africa, some foreign nationals wonder what impact these more or less autonomous governing authorities might have on their ability to purchase real estate. Historically, local, tribal or customary law had little impact on the buying and selling of real estate in South Africa. However, in recent years, the national government has given some recognition to parallel lines of authority within the country. Therefore, if a foreign national is interested in buying immovable property in an area that is included within an autonomous, that foreign national will need to make certain that he or she understands the particular regulations in that area that might have an impact on the purchase of real estate in that area. Because there are so many different local variants that might come into play depending on what region of the country a person is considering investing in real estate in, it is impossible to detail them all in this limited space. Therefore, a foreign national who is interested in purchasing real estate in South Africa will want to make certain that he or she has access to very capable legal representation.

The underlying real estate purchasing process in South Africa is simple when all is said and done. A tentative or preliminary contract is entered into between the buyer and seller. As in many other countries around the world, a deposit is made upon the property by the purchaser. The amount of the deposit is negotiated between the parties. Additionally, the terms of under what conditions a deposit might be returned are also negotiated between the parties to the agreement.

Following the execution of this preliminary contract, the buyer will embark on his or her efforts to find appropriate financing for the real estate. There are many different mortgage lenders within South Africa that deal regularly with a foreign clientele. With that said, it is also perfectly permissible for a foreign national to obtain mortgage financing from a firm located in that person’s country of origin. The government of South Africa is flexible as to where a person obtains his or her financing to fund a real estate or immovable property purchase in that country.

Once all of the requirements of the initial agreement have been satisfied, a final agreement of sale and transfer of immovable property is executed between the parties. It is at this juncture, when this agreement is duly executed, that ownership of the immovable property is transferred from the seller to the buyer. With this conveyance, a new title to the real estate is registered immediately with governmental authorities.

Again, it is important to keep in mind that there might be some slight variances in this procedure in some of the more autonomous regions of the country. However, with the assistance of capable legal counsel, a foreign purchaser of immovable property or real estate in South Africa will be able to maneuver through the legal requirements.

Property Abroad always recommends using a Solicitor or Lawyer.

About the Author

Property Abroad’s directory Les Calvert writes interesting and useful articles on all subjects dealing with overseas investment property and buying property in South Africa. Visit their website to view their property for sale in South Africa and other useful information on buying property abroad.

(ArticlesBase SC #263286)

Article Source: http://www.articlesbase.com/Property in South Africa – Guide to Buying Property in South Africa

Re-Colonization Of Africa Through Buying Agricultural Land: Wealthy Nations And Their Multinationals On The Rampage

By: Akinyi

AFRICA’S WILLED RECOLONISATION

By Akinyi Princess of K’Orinda-Yimbo

The global food crisis of 2007/2008 that triggered riots from Cape to Cairo and from Senegal to Haiti made governments and their agriculturally-engaged companies to get on the saddle and gallop – with their thinking caps on. Export tariffs were slapped on staple food crops to minimise how much could be sold outside their countries.  In my book – Darkest Europe and Africa’s Nightmare: A Critical Observation of Neighbouring Continents, I mentioned, rather apocalyptically, that if we Africans don’t take care then the outside world will turn our continent into “a timber plantation.” This is now happening, but on a worst-case scenario. Africans are being colonised again and this time not with the power of  weapons but through Africans themselves selling their continent willingly. The 99- and 999-year lease – a remnant of colonialists – surely cannot fool anybody. This is equivalent to a full century and/or full millennium which translates into three and a half to thirty-four consecutive generations of Africans.

Africans are selling the one natural resource they can’t afford to sell – their land. Especially arable land. In Antananarivo, Madagascar, earlier in 2009, President Ravalomanana’s government was overthrown by angry urban poor who were already spending two thirds of their income to feed themselves ever since the 2008 massive rise in global prices for commodities like rice and wheat. This was not just because of his own private jet bought from a member of the Disney family for his own use with public funds – no. President Ravalomanana was leasing 1.3 hectares (half the size of Belgium and half of Madagascar’s arable land) to South Korea’s Daewoo for 99 years to grow maize and palm oil and send all harvests during this period back home to feed South Koreans. Daewoo paid nothing: they PROMISED to improve the island’s infra structure. And of course they would provide “jobs for the citizens of Madagascar by farming it, which is good for Madagascar” (read cheap slave labour). As usual the public was kept in the dark. Until the news was leaked by London’s Financial Times. This is the first government in the world to be toppled by angry mobs and the military for “land-grabbing”. Kudos to the people.

There are more than 100 similar land-grabs globally, since September 2008, where huge tracts of farmland are bought up by wealthy countries as well international corporations. Mark Weston, Britain’s international development policy consultant does the colourful canvas thus: “Imagine if China, following a brief negotiation with a British government desperate for foreign cash after the collapse of the economy, bought up the whole of Wales, replaced most of its inhabitants with Chinese workers, turned the entire country into an enormous rice field and sent all the rice produced there for the next 99 years back to China… Imagine that neither the evicted Welch nor the rest of the British public knew what they were getting in return for this, having to content themselves with vague promises that the new landlords would upgrade a few ports and create jobs for the local people.

“Then, imagine that, after a few years – and bearing in mind that recession and the plummeting pound have already made it difficult for the UK to buy food from abroad – an oil-price spike or an environmental disaster in one of the world’s big grain-producing nations drives global food prices sharply upwards and beyond the reach of many Britons. While the Chinese next door in Wales continue sending rice back to China, the starving British look helplessly on, ruing the day their government sold off half their arable land. Some of them plot the violent recapture of the Welch valley.”

This – huge tracts of land being “sold” to foreigners for “promises” – is what is happening all over Africa this very minute. Except that in my experience not many Africans are that good at organising themselves as a unified force to recapture their valley. They would either fall upon each other with machetes for a few grains some “kind” soul dropped them from the air, or they’d turn into a trillion factions with double the number of “generals”.

Even the great pope of the free market, Financial Times, has used words like “rapacious” for the likes of Daewoo, warning that it was the most “brazen example of a wider phenomenon” where rich nations are trotting the globe buying up the natural resources of poor countries. The new colonialism is vast in Africa, with the buyers being wealthy countries unable to grow their own food. The Arabs are back fleeing their barren sands to turn Africa into their granary like they did one and a half millennia ago (in Egypt at the time). The Gulf states are in the lead in this new investment. Bahrain, Saudi Arabia, Kuwait, Oman, Qatar, controlling between them 45% of the world’s oil, are snatching AGRICULTURAL LAND in Egypt, Ethiopia, Cameroon, Zambia, Uganda, but also in Cambodia, Brazil, Kazakhstan, Ukraine and Russia. South Korea has grabbed a staggering 960,000 hectares in Sudan, the largest country in Africa, where at least 6 other rich countries are said to have secured large land-holding – and precisely where the local population are among the hungriest and least secure in the world. The Saudis are negotiating 500,000 hectares (not acres) in Tanzania. Companies for the United Arab Emirates have snapped up 324,000 hectares in Pakistan. Highly populated countries like China, South Korea and India have acquired swathes of African farmland to produce food for export. India recently lowered tariffs for Ethiopian commodities that could enter India after the Indian government lent money to 80 Indian companies to buy 350,000 hectares of farmland in Africa, particularly huge tracts in Kenya and Ethiopia. And this is the same Kenya where, in the year 2008, the locals of African descent were chopping each other’s limbs off, being shot by their own police and armed forces and burning innocent men, women and children locked up in churches – because of the land tenure! This is the Kenya where the Gallmanns, Briatores and Bransons and many others own private ranches the size of 3 Cypruses, where Prince William and his girlfriend spend a bit of “Hollywood in the bush” once or so a year – the rest of the time, all the above celebrities have their small states looked after by their private property “my Africans” – while 75% of Afro-Kenyans have no scratch of land to plant a tomato!

Kenya made a deal with Qatar, an Arab land with only 1% arable land, to acquire 40,000 hectares of land to grow food. A third of Kenya’s population was facing food shortages and President Kibaki had no better answer for hungry Kenyans opposing the deal but to impose a state of emergency and then turn around to appeal for international food relief. Where is the logic here, by the bony ancients? If Qatar can grow food on Kenyan soil to feed Qataris, why can’t Kenya grow food in Kenya to feed Kenyans? The land offered to Qatar is in the fertile Tana River delta with an abundance of fresh water. Some 150,000 Kenyan farming and pastoralist families for whom the land is communal graze their 60,000 cattle there. It is no wonder that, supported by opposition activists and environmentalists fearing the destruction of a pristine ecosystem of mangrove swamps, savannah and forests, the people now threaten armed resistance. When that happens, the rest of the world will only report about “warring African tribes”, not a group of people fighting to keep their land and ecosystem instead of allowing it delivered to Qatari farmers to feed their Arabs.

Next door in Uganda, 400 small farmers comprising a total of 2,000 people, were driven out (using violence through the Ugandan army) of their land in 2001 to make room for the German coffee grower Neumann Kaffee Gruppe. This was against the OECD guidelines for multinational concerns. On 24th August 2001, the concern’s boss, Michael R Neumann, together with President Museveni inaugurated the plantation. The people who were driven off their land can since then neither feed themselves adequately nor pay school fees for their children. This is another in a long line of  violations of social human rights perpetrated by yet another African so-called leader against his own citizens. Are Africans surprised when the rest of the world view them as some strange pathogens? Who is polishing the patina of Africa’s “bad image”?

Mozambique has signed a $2bn deal to give 10,000 Chinese “settlers” land in return for $3m in military aid from Beijing. Right. Take the land for 99- or 999-year lease and settle down while you give the starving Mozambicans both reason and means to kill each other off, leaving Mozambique a Chinese province. Food is a weapon is a weapon is a weapon….

But the list is long. The British investor Cru Investment Management has grabbed tracts of the fruitful agricultural land in dirt poor Malawi. US investment banker Philippe Heilberg, assisted by a “warlord”, acquired 4,000 square kilometres of land in southern Sudan. Congo-Brazzaville is allegedly selling 10 million hectares to Euroancestral South Africans to farm. Multinational finance concerns such as Deutsche Bank, Blackstone Group, Goldman & Sachs and Dexion Capital all have invested in African agricultural land. The World Bank and International Finance Corporation are engaged in “the development of agro-business” big time in Africa and other developing countries ever since the food crisis of 2008, pumping billions to agro-concerns to ensure food production in Africa for their own countries. All such investors no longer want to depend on speculators, they want to eliminate middlemen and take control themselves. Cru Investment spokesman, Duncan Parker maintains, “Africa has what it takes to be one of the leading food producers worldwide. Her potential in workers is big, her soil productive and there’s plenty of sun and water.”

Is the man not talking about the same Africa whose people are starving and dying of diseases that could be avoided by mere clean drinking water?

And Philippe Heilberg told the US media that whatever political and legal risks he is taking in Africa at the moment will pay most lucratively because he expects several African states in the coming years to simply fall apart. Can Africans legitimately blame Heilberg for his arrogance and indifference? Besides, when one listens between the words, there is always a plan-in-motion behind such blatant utterances. Africans may well be the next Palestinians – pariahs in their own land.

And now food is not the only thing that African land is needed for. Think of the recent EU Desertec cordoning off the Sahara for solar energy for Europe. In the Desertec Concept are the words:

In the upcoming decades, several global developments will create new challenges for mankind. We will be confronted with problems and obstacles such as climate change, population growth beyond earth’s capacity, and an increase in demand for energy and water caused by a strive for prosperity and expansion.The DESERTEC Concept provides a way to solve these challenges.

The question is, SOLVE THEM FOR WHO? Certainly not for Africans. And how doest this concept work?

It works just like a coal steam power plant, with the difference that concentrated solar power is used for steam production, instead of coal. Large mirrors are positioned in such a way that they reflect and concentrate the sunlight onto a certain point much like capturing sunlight through a magnifying lens. A major advantage of this technology is that a part of the sun’s heat can be collected in heat storage tanks during the day and then run through steam circuits at night or specifically during peak hours, depending on the demand. With this technology, renewable and controlled energy can be provided according to the demand of the electricity grid.

        Yet Africans, fifty years down independence road and with the technology already existing and sitting their for a price they can more than afford, cannot position large mirrors in such a way that they reflect and concentrate the abundant African sunlight like capturing sunlight through a magnifying lens! Africans have had the Sahara forever – but they just couldn’t come up with the idea of getting some solar energy from this vast desert. No idea from the whole of Sunny Africa? Yes they could, if Africans start thinking of themselves as worthwhile human beings too, and join forces to keep what is theirs theirs. Otherwise Africans might as well follow the butcher meekly to the slaughter house because that’s where they’re going to end up – in “native reserves” dying off as a people until the few Africans left are put in museums like they were once the main attraction in circuses all over the West in the 18th through early 20th centuries.

German, British and American companies have also bought land in Tanzania and Ethiopia to grow biofuels. Ethiopia – the byword for famine – argues that since it imports oil, biofuels will set off price fluctuations and dependency on oil! What about the environmental impact – 75% of the land allocated to the foreign biofuel firms are forested and these forests will have to be chopped off! The Chinese chopstick manufacturers are delighted.

A Norwegian biofuel company will create “the largest jatropha plantation in the world” by deforesting vast tracts of land in northern Ghana. The company was back to darkest Europe when it flagrantly cheated an illiterate chief to sign 38,000 hectares with his thumbprint. Jatropha is a non-too-demanding plant that produces oily seeds from which biodiesel can be made.

This entire new scramble for poor countries’ land is the result of the food crisis of 2007-2008 when the price of wheat, rice and other cereals skyrocketed across the globe. When the food-grower countries applied tariffs to minimize the amount of staple crops that left their countries, the supply was further tightened resulting in prices shooting further up. It was a policy-created scarcity rather than the true-and-tried traditional supply and demand. A situation arose where rich countries reliant on massive food imports put on their thinking caps. They began to put the fundamentals of global trade (that each country should concentrate on its best product and then trade it) under the microscope. The Gulf states, among other rich countries, with their unimaginable amounts of cash from trading oil suddenly realised you can’t eat cash dipped in oil. Nor can you gnaw on a Rolls-Royce. Or feed your children computer chips. The sheikhs & associates saw that the costs of food imports had doubled in five years. The future boded for worse – both regional and global markets were no longer reliable.

        The perfect answer was to own agricultural land. “Control of foreign farmland”, writes Paul Vallely, “would not only secure food supplies, it would eliminate the cut taken by middlemen and reduce food-import bills by more than 20 percent. And the benefits could only increase.” Because the fundamental conditions that had ushered in the worldwide food crisis remain unchanged and could easily get worse.

According to the UN the world population will double by 2050. To grow enough food to feed 9bn people choke the planet. So, long term strategies are the right response. When the Prime Minister Taro of Japan (the world’s largest food importer) asked the G8 leaders in Italy: “Is the current food crisis just another market vagary?” he answered his own question: “Evidence suggests not; we are undergoing a transition to a new equilibrium, reflecting a new economic, climatic, demographic and ecological reality.”

Not that the market is asleep either. The cost of land is rising rapidly, making the irresponsible but insatiable African leaders salivate. And we Africans sit with our hands folded on our laps, waiting for some force of nature to come to our rescue. Many are not even aware of the fact that their ancestral land is being offered for re-colonisation, because their governments are big boys who believe informing their citizens of what is going on puts the boys in a subservient position. These are the chaps in this world who are unaware that they are servants of their people.

The food and financial crises combined have made agricultural farmland the new strategic asset. Veteran speculator Jim Rogers, in league with fellow veterans like Lord Jacob Rothschild, said in July 2009: “I’m convinced that farmland is going to be one of the best investments of our time.” This should actually augur well for Africa because there is land in abundance in the continent, and the agricultural sector – Africa’s backbone – is in need of capital and technology. A win-win situation. Except that Africans are auctioning their continent’s most sacred possession for nought and a staggering 99- or 999-year lease (depending on which salivating leader is dealing with whom. There are leaders out there offering the old colonial 999-year lease). That interprets into three and a half to thirty-four generations of Africans – left in limbo. Or as eventual specimens in museums of the wealthy.

Producing enough food to feed 9bn people in 2050 will crush the planet, denuding forests and drainage rivers and ruining arable land. In Copenhagen, capital saw to it that their lackeys, known as governments the world over, treated climate change as Father Christmas – a fairy tale. But, to capital’s delight, oil prices continue to rise in direct relation to fertilizer and tractor fuel – hence biofuels to further cut the land that would be available for food crops. The horrors are ahead because the fat harvest times are over – there won’t be enough food for the table even for the filthy rich – unless they can afford €3m a day residency in outer space. The market economy will this time – as always – not provide for all and sundry as falsely proclaimed. Land prices have jumped from 15% to 30% globally.

After the financial crisis in mortgage-based derivatives, agricultural land is the new strategic asset. An asset that nobody can manufacture or erect, and then sell. Once given away, it is gone and there’s no replica or spare parts, Africans.

Marginally seen, it could be a good thing for African countries. Apart from the staggering and varied natural resources, some of which cannot be found anywhere on the planet, land, as already said, is what Africans have in plenty. All Africa needs is capital to develop her agriculture. A mammoth share of this capital is ferreted out of the continent by the handful few wrongly-wired Africans to develop economies NOT AFRICAN. The Big Curse for which Africans only have themselves to blame. The rest of the world call it capital flight – as if this staggering amount of money simply made up its mind to take to the air and fly to the West – the mad terminologies of our times where human beings call their own dead “collateral damages”.

The financial global players who brought on the crisis are the very same ones now roaming the agricultural landscape and grabbing chunks of it. These land deals should bring investments, technology and know-how to local farmers, reduce dependency on food aid and similar maladies. They should provide infrastructure that goes beyond roads leading from the foreign leaseholder’s farms to the port that transport 100% of their harvests back to their own countries. The deals should enable the building of schools and health centres for the whole community. They should provide enough taxes to the government for more development – assuming African governments would at last invest in their own countries and people instead of castles and numbered accounts overseas. African so-called leaders have some inborn dread of educated and healthy citizens. Instead of recognising the greatest potential to their nations of human resources they see adversaries.

Then there is the problem of monoculture in growing plantation of large-scale food crops dependent of huge amounts of pesticides and fertilisers. This would ruin the long-term sustainability of tropical soils not suited to intensive cultivation, as well as damage the local water table. Soil erosion will occur and ruin long-term land fertility. The diversity of plants, animals and insect life will be drastically threatened while the intensive usage of agrochemicals bring in water-quality maladies. In addition the irrigation of the foreign investors’ plantations would take water away from the indigenous users. So these grabs are in effect water grabs – the most valuable part of these deals – instead of land grabs, since once you own the land you own the water beneath it.

The chief executive of Nestlé, Peter Brabeck-Letmathe puts it this way: “Water withdrawal for agriculture continue to increase rapidly. In some of the most fertile regions of the world (America, southern Europe, northern India, north-eastern China), over-use of water, mainly for agriculture, is leading to sinking water tables. Groundwater is being withdrawn, no longer as a buffer over the year but in a structural way, mainly because water is seen as a free good.”

It is not. The average person in the world uses 3,000-6,000 litres of water daily, less than a tenth of which is used for hygiene or manufacturing. The rest goes to farming. Meat-eating has increased and meat requires ten times more water per calorie than plants. The thirstiest products on earth are biofuels. To grow Soya for one litre of biodiesel takes up to 9,100 litres of water and up to 4,000 litres to transform corn into bioethanol. Brabeck-Letmathe predicts, “Under the present conditions and with the way water is being managed, we will run out of water long before we run out of fuel.” India and the USA combined produce a third of the world’s cereals, but Frank Rijsberman of the International Water Management Institute cautions, “we could be facing annual losses equivalent to the grain crops” of India and the USA.

The land grabs are now a pandemic. As with natural resources in Africa, there is no transparency and foreign governments and multinationals engaged in bribes have no great fear of prosecution in poor countries. In their own wealthy countries, at least somebody may publicly cry foul or demonstrate with huge placards in the streets without fearing being shot down by the police or armed forces.

In Africa land rights are not just written, they also exist through custom and practice. There should indeed be (if nothing else) compulsory sharing of benefits such as construction of schools and health centres. Short leases, or better still contract farming, would leave smallholders in control of their land and contract to investors. On the other hand the investors must never have the right to export entire harvests especially during a food crisis in the host country.

Land-grabs represent a serious violation of the human right to food. Humankind’s most primordial fight was over food. It is food that makes the fittest who then survives. I therefore call to all Africans, Continental and Diaspora, and all friends and fans of Africa, to join me in this fight by going to my web site – www.akinyi-princess.de – and signing in the Guest Book with both your name, the words LANDGRAB REFERENDUM and your valid email address. In addition, please spread the word to your friends, families, social network chums and pals, chat room and forum acquaintances around the globe to join us in the fight. I need at least 25,000 authentic email “signatures” to enable me to write a petition to the AU Commissioner in Addis Ababa demanding that African governments may not simply “negotiate” land grab deals with foreign governments and multinationals without prior consultations with their respective citizens in the form of a referendum. The petition is now being professionally drafted and will be posted in my web site ASAP.

About the Author

A graduate journalist – the London Schools of Journalism as well as an economics graduate of the London School of Economics. Been writing as a freelance journalist since 1980, columnist with various dailies and monthly magazines in Africa and Europe. Gives lectures and seminars in various German universities, colleges and high schools on topics ranging from socio-economy in Africa, Business English, African literature and the socio-ethnological conflicts in the traditions of Africans and the West in general. Written and published articles, papers, novels in Engish and German. Her non-fiction book “Darkest Europe and Africa’s Nightmare: A critical Observation of the Neighbour Continents” published in 2008 by a New York publisher. Full CV – www.akinyi-princess.de. More works as yet unpublished and a children’s fantasy/thriller.

(ArticlesBase SC #1870677)

Article Source: http://www.articlesbase.com/Re-Colonization Of Africa Through Buying Agricultural Land: Wealthy Nations And Their Multinationals On The Rampage