Residential rural properties are found outside of the city limits and range in size from an acre to a full section (160 acres) or more!
Many people who are looking for a quieter lifestyle, but may not need or want a farm, are moving into rural properties. These properties not only allow for larger homes, but also have ample space to run and play, grow a garden, and have animals not allowed within the city limits.
Many equestrians own rural properties to keep their horses close by to allow for daily riding. Ranchers may own vacant land for livestock to graze, while living nearby. While farmers yield fields of hay, canola, corn and other crops that we, as consumers, use on a daily basis. These properties tend to be a bit larger than a residential rural property, and most likely have outbuildings, such as a shop, barn, shed or an arena.
Rural properties can sometimes be hard to distinguish as a residential property, because of income being made on the property. If income is being made of the property (such a boarding or training horses), then the acreage is considered commercial in the eyes of the real estate board. As a seller it is important to know whether your property is classified as commercial, because GST may be applicable on the sale of the property. The best practice in determining whether GST applies, is to consult your tax assessment and a GST expert. As a buyer, it is important to know if a acreage you like is commercial, as the potential for GST can be a concern.
Other ares that need special attention when dealing with rural properties are utilities (water, gas, electricity, phone, internet, etc). Moving to a rural property from the city can be a shock to the system, if you are not educated and aware of the things that will change. For instance, drinking water – your water on a rural property may not be connected to city water. You may have to deal with a well, water co-op or cistern system. There may be multiple filtration steps before your water is potable and ready for consumption. Waste water on an acreage should also be top of mind. You will need to know how your waste water is handled, is there a septic tank that will need to be cleaned out regularly? Or is there lagoon or mound where the waste water is stored? Important to keep in mind on both accounts, is how close to the house and your potable water system, is your waste water. If the water systems are not in good working order, or have contaminants, it can be costly to have them repaired or replaced.
Many buyers who come from the city also experience a shock when they realize that you may not be able to order delivery for dinner, or that you are the garbage man, or will need to remove your own snow, that mail may not be delivered as often (or to your door), or that you may have a better chance of getting to a hospital before an ambulance can make it to your property. Having an expert in the field is vital to ensuring your rural transaction goes as smooth as possible, and you can rely on their knowledge and experience to get the job done.