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THE GREEN MOUNTAIN STATE

Buying Land in Vermont

Vermont regulates development through Act 250, a state permitting programme that reviews projects against environmental and community criteria. Combined with Current Use enrollment on a large share of the state's forest and farm land, the questions on a Vermont parcel are distinctive.

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Act 250 and when it applies

Act 250 review is triggered by development or subdivision above defined thresholds, which vary with the town's zoning status and the parcel's subdivision history. A single house on a large lot commonly falls below the threshold; subdividing, or building in certain circumstances, does not.

The critical point for a buyer with plans: the trigger depends partly on what has happened to the parcel before, because prior subdivisions count. Ask the district environmental commission whether the parcel has Act 250 history and what your intent would trigger.

Current Use and the change tax

Use Value Appraisal substantially reduces the tax burden on enrolled forest and agricultural land, and much of Vermont's rural acreage is enrolled. Forest enrollment requires a management plan prepared by a forester and periodic compliance.

Withdrawal triggers a land use change tax calculated against fair market value of the withdrawn land, which can be a large number. Before buying enrolled land with development intent, calculate that exposure.

Terrain and access

Vermont is steep, and buildable ground is the scarce element on many parcels. Driveway construction on mountain land is expensive, and town road access may be seasonal — Vermont's class 4 roads are not maintained in winter, which affects year-round use and insurability.

Verify road class and maintenance status with the town, and confirm legal access where the approach crosses private land.

What to verify

Act 250 history and what your plans would trigger. Current Use enrollment, management plan obligations and change tax exposure. Town road class and winter maintenance. Septic feasibility, which on Vermont hillsides varies enormously. The risk scorecard for the fundamentals.

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