CONVEYANCING - RESIDENTIAL SALE
WHAT IS A SECTION 32 STATEMENT?
When you put a property on the market your estate agent will ask you for a Section 32 statement. This is because you cannot validly sell the property until the purchaser has a signed section 32 statement. Did you know that if your section 32 statement contains errors your purchaser can end the contract of sale right up to the settlement date, leaving you to pay your estate agent’s commission anyway (after all, it wasn’t their fault the section 32 was faulty) and deal with any other fallout (such as somehow paying for the home you bought which was meant to settle on the same day!). You can also be caught by the Australian Consumer Law and for misleading advertising. Only recently a client of mine was able to recover $10,000 from their vendor because of a misrepresentation that the farm property had ‘3 phase power’. Given all of this, the section 32 statement is the most important document in your sale process. If it is done well, it will be smooth selling!
WHAT I NEED TO PREPARE A SECTION 32 STATEMENT
I have a standard questionnaire which you can download it from the ‘further information’ tab on this site. Feel free to fill it out and email it to me. Alternatively, give me a ring and I will email it it with my Standard Cost Disclosure.
Probably the most IMPORTANT question in the questionnaire is: "have you done any building or renovation works in the last 7 years either without a permit or under a permit that doesn’t nominate a registered builder ?" If so, you may need an Owner Builder Report and if the works cost more than $16,000, Owner builder Insurance. If your estate agent advertises the house as having a ‘new kitchen’ then you have done owner builder works in the last 7 years and you will need that report. It is no use getting the owner builder report after you have sold. It plus any necessary owner builder insurance MUST be in the section 32 statement. Failing to put it in the section 32 gives your purchaser a right to end the contract any time up to settlement and recover any money they have paid. This leaves you to pay the Estate Agent their commission (not their fault you didn’t have an accurate section 32!) and to deal with any other fallout. You might also be fined.
AFTER YOU SIGN A CONTRACT OF SALE
Once you have entered into a Contract of Sale with a buyer, I manage the conveyancing process up to and including settlement.
If you would like my help, please email me with details of your property and I will send you a cost disclosure statement with a complete run-down of the legal work I will do as part of your sale. You can also check out my competitive rates at fees.