By Ken Raiss September 25, 2024

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Prescribed Documents When Selling Property in NSW

Property Investment
Prescribed Documents When Selling Property in NSW

What are the prescribed documents?

These are documents that must be included in a Contract of Sale in NSW according to The Conveyancing (Sale of Land) Regulation 2010 under Schedule 1 Prescribed Documents.

The documents are prepared by the Vendor’s Conveyancer/Solicitor to inform the potential buyer of relevant information about the property the buyer needs to be aware of. These documents are needed to protect the Purhaser.

List of prescribed documents

Section 149 (2) Certificate – (Council zoning of land, residential or commercial etc.)
Service Drainage Diagram – (Location of services)
Title & Title notations – (Owners & restrictions on Land use)
Deposit Plan or Strata Plan – (Location of Lot)

Note: In New South Wales it is compulsory for the agent to have a copy of the Schedule 1 Prescribed Documents with the Contract of Sale BEFORE they can market the property in accordance with the Conveyancing (Sale of Land) Regulation 2010 (NSW).

What happens if the prescribed documents are not attached?

The Conveyancing Act and Conveyancing (Sale of Land) Regulations provide that if the Prescribed Documents are not included in the sale of a land contract, the buyer may rescind (pull out of) the contract for the seller’s failure to attach to the contract the documents prescribed at any time within 14 days after the making of the contract unless the contract has been completed.

Although under the general law and the Conveyancing (Sale of Land) Regulation 2010 (NSW) there are significant disclosure requirements on vendors in that vendors need to disclose “prescribed documents”, a purchaser should, after the exchange, make enquiries to determine whether any of the “prescribed warranties” have been breached – e.g. unapproved Council Structures or Boundary disputes.

Note: If a Contract of Sale is exchanged in haste sometimes by Sales Agents – and any of the Prescribed Documents are missing – the Purchaser can rescind the Contract within 14 days of the exchange of Contracts (under the Conveyancing Sale of Land Act) And if Standard Conditions are not present the Purchaser can rescind the Contract anytime up to Settlement – been established by case law.

About Ken Raiss Ken is director of Metropole Wealth Advisory and gives strategic expert advice to property investors, professionals and business owners. He is in a unique position to blend his skills of accounting, wealth advisory, property investing, financial planning and small business. View his articles

2 comments

Olivia 2019-10-07 17:28:07

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Rene 2017-10-14 23:56:23

I think what you have written is quite correct. This has helped me also confirm my understanding of what is required and a good read. Regards

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Olivia October 7, 2019

Where does it say in the Conveyancing (Sale of Land) Regulation 2010 (NSW), that ALL Schedule 1 Prescribed Documents must appear in the Contract of Sale BEFORE an agent can market the property. I am trying to understand how so many agents provide ‘marketing contracts’ with the s10.7 and drainage/sewer diagrams forthcoming.
I can only find Section 4, (Documents to be attached to contract) in the Regulations which refers to 52A (2) (a) of the Act – which says those documents are to appear in the Contract before is is signed. Which is quite different to ‘before the property is marketed’.
I would really appreciate if you could steer me in the right direction.

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Rene October 14, 2017

I think what you have written is quite correct.
This has helped me also confirm my understanding of what is required and a good read.

Regards