Blog

search
sign up Your signup was successful Subscribing..

BLOG

< back

Real Estate sale agreements - which one do you choose?

By Kay Keam - 1 Jul 2009

Whether you are looking to buy or sell property anywhere in New Zealand, you need to be aware that there will soon be three different "standard" agreements for sale and purchase in circulation.

 

From 1 July 2009, two new forms of sale and purchase agreement will come into play. One has been designed by the Real Estate Institute of New Zealand. The other shortened form has been designed by the Auckland District Law Society. These new forms will join the familiar Auckland District Law Society and Real Estate Institute of New Zealand form (currently on its eighth edition).

While lawyers and real estate agents are generally very familiar with the current form and the law that has grown up around it, the new forms will need to be learned by all of us.

The Auckland District Law Society's shortened form of the current agreement will not attach the general terms of sale. However, those general terms will be implied, so you do need to know what they say. Not all the general terms of sale are appropriate in every case and may need amendment. But unless you know what those terms say, this may be difficult to do.

The Real Estate Institute's new form of sale and purchase agreement is not based on the current familiar agreement. So agents, lawyers, buyers and sellers alike will need to learn how this new form works.

We will keep you updated as we find out more about the new forms. In the meantime, before signing any "standard" agreement for sale and purchase of real estate, please check with us first.

If you would like help with real estate purchase agreements or have any questions regarding these changes, please contact Kay Keam.

 

Forward to a friend

Leave a comment

Submit