The 32bit version of Max will still be fine on XP64 (only really necessary if you have over 3GB RAM BTW), XP64 will allow Max to render using a lot more memory, we used to have no end of exception errors in Vray under XP 32bit where the render would hit the ceiling of available memory on large renders, those errors dissapeared completely in XP64.
But if your running XP64 and lots of Ram it would make sense to use the 64bit version of Max, unless of course your render farm can only run 32bit then it might be worth either sticking to Max 32bit or remembering to only render to 32bit. Ideally update the render farm.
To answer the previous question re: Compositing, yes it’s typically used where you have large scenes, and specifically to overcome some of the memory issues you have been having, but it is also ideal where you have different elements in the scene that might need to be updated and rerendered.
i.e. in it’s simplest form for your housing scheme, you might render all the houses or groups of houses and render the trees and people as a separate pass, these would all be compositied separately, this means when your houses are complete they could be final rendered giving you a finished pass that doesn’t need to be rendered again. The trees or people can then be worked up and regularly check rendered and composited to the houses without having to rerender the whole file every time. This will save you major headaches as the deadline looms and also ensures that you can be safe in the knowledge that at least some of the important elements are in the bag.
As you get more used to the process you can render separate passes for the shadows, irradience, diffuse colours, zdepth, anything you like, this becomes very powerful as it gives you control over the individual elements in post production, colour adjust, darken the shadows etc. etc. We often render out of Vray with a velocity channel which can then be used in fusion to provide correct motion blur, it’s easier to control and tweak in Fusion and makes the Max renders much quicker.
Simple tip just render the passes with alpha channel against black, this will provide the easiest compositing process and don’t forget to implement either premultiply by Alpha in Max or post multiply in the compositing software to avoid halo’s around your passes. You might find that using exr file formats are preferable to lots of elements renders, we prefer these now to rla or rpf’s