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Foreigners buying land in Chile: There is only one restriction, foreigners can not buy land along the frontier of the country and this is not the case, and that is the only restriction.
In Chile there are no extra or special taxes or condition applied to foreigners purchasing land.
Sale Contract: The sale contract needs to be sign in Chile in order to be legal.
Location: The lot is 25 miles from Valdivia, a city in were you can find anything you may need, supermarkets, banks, medical services, out door markets with fresh fruit and fish.
The construction restrictions: the Idea is to build a construction that stays in harmony with the environment using native materials from the area (wood). The construction size is 1000 square feet on a one story construction, but you can double it with a two story home.
Water: there is under ground water at approximately 16 feet depth, there is spring water 50 feet from your lot and a river (Rio Naguilan) 10 minutes from the village (walking distance).
Flood: there is no risk of flood since the land is placed on top of a small hill.
Power: There is no electricity you have to use solar power or generator.
Access: the lot is 25 miles from Valdivia, the firs 8 miles are paved the rest is a dirt road kept in good conditions, during winter the last meters before arriving to the land may require a 4x4 (800mt, half a mile).
Regarding the eco-village project: there is nothing built there yet, the people of the village is just beginning to organize and meet each other, they want to build a common well to provide water for every one (but if you want to build your own in your lot there is no problem).