Land that is zoned rural under a state or local government planning scheme is valued using the unimproved value methodology.
Note that land zoned as rural-residential or equivalent is valued as non-rural land.
Land that is designated rural (for valuation purposes) will change to non-rural land if, under a preliminary approval for a material change of use, it is used for an urban purpose.
If your valuation notice shows a new unimproved valuation, the land was valued as rural land.
Unimproved value reflects the value of the land in its natural, undisturbed condition. It is the amount for which rural land could be expected to sell for without physical improvements such as houses, fences, clearing, levelling and earthworks.
The unimproved valuation methodology does not take into account the existence of any agreements for leases, development approvals or infrastructure credits and their added value.
Valuers from the State Valuation Service monitor the property market, recording and analysing sales in the local area to determine the current unimproved value of land.
Vacant or lightly improved land sales are used to determine unimproved value, where available.
Improved land sales may be used to determine unimproved value for grazing and farming properties. In these cases, the added value of the improvements (if any) is excluded in the analysis of the sale.
You may be entitled to a concessional valuation if your land is used for farming.