New Unit Titles Act

16 June 2011

Commentary , Resource Guides

The Unit Titles Act 2010 comes into force on Monday 20 June 2011.  This Act changes the rules relating to the sale and purchase of units/apartments that are part of a body corporate.  Some of the new rules require that information about whether the building has (or had) weathertightness issues will be disclosed to potential purchasers.   The new Act requires:

1.  The vendor of a unit must provide a pre-contract disclosure statement to the potential purchaser(s);

2. After an agreement has been entered into the body corporate must make a further pre-settlement disclosure statement and certify that the information in that statement is correct;

3. The purchaser may request additional information before settlement and the vendor is obligated to provide a further disclosure statement;

4. If the vendor does not provide disclosure statements the buyer now has the right to cancel the agreement.

These obligations will hopefully reveal to prospective purchasers any leaky home issues