NZ Buyers Guide Buyers Guide - Ray White_2019_NZ - single page no | Page 27

Chattels
Moveable and removable items of personal property. In real estate transactions, chattels
included in the sale usually include the stove, television aerial, carpets, blinds, curtains,
drapes and light fittings. However, unless chattels are specified in the agreement, they are
not sold as part of the property.
Special Conditions in a Sale & Purchase Agreement
Cash out clause
Conditional upon a Specialist Report
Conditional upon the sale of the purchaser’s property
Conditional upon an existing agreement
Conditional upon a LIM report
Conditional upon Finance
Clear Title
Is a title without any kind of lien or levy from creditors or other parties and poses no
question as to legal ownership.
Commission
A proportion (usually a percentage) of the sale price of a property paid to a real estate
agent for negotiating a real estate transaction.
Company Title
A company owner has a certificate of title and the owner automatically becomes a member
of a company that administers, manages and maintains the property in which the owner’s
flat is registered. The Directors of that company are elected each year at the Annual
General Meeting from owners involved only with that company, i.e.: owners in that block.
Complaints Assessment Committee (CAC)
Preliminary panel who determine complaints about the agents. They can make
determinations and orders under the Real Estate Agents Act 2008 and can file disciplinary
charges in the Real Estate Agents Disputes Tribunal.
Conditional Agreement
This is a legally binding contract, but it is subject to conditions being satisfied, usually by
the purchaser. The conditions will be detailed in the agreement and may, for example,
require that you are able to sell your existing home by a set date or to arrange finance by
a certain date. Conditions can also be included by the purchaser that require the seller
to do something by a specified date - for example, that settlement will take place only on
the condition that the house is painted, the windows repaired or that rubbish around the
section is removed. Note: Purchasers' conditions usually do not prevent the sale-taking
place, but may allow the purchaser to delay settlement without penalty or claim damages if
the conditions are not met in time.
Contingency
Contingency. See Special Condition.
Contract of Sale
An agreement in writing setting out the terms and conditions relating to the sale or
purchase of a property. Also known as an Agreement for Sale and Purchase of real estate.
Covenant
Terms, conditions and restrictions noted on the title. A covenant may affect future plans or
resale of the property.