The Conveyancing (Sale of Land) Regulation was enforced on 1st September, 2017. It introduced several changes that had a direct impact on vendor disclosure obligations, especially on matters concerning sale of land contracts and purchase of residential property options. These regulations are put in place to protect a buyer’s interests and ensure they have all relevant information regarding the property.
The vendor is required to attach a number of documents to the contract of sale. These documents include disclosures, warranties, conditions, etc. They need to disclose and describe any serious damage or defects in the property and title. The buyer must read and accept these documents before they sign the contract. Without this disclosure, vendors are liable to get into legal trouble. Most contracts include zoning or planning certificates, certificate of home warranty insurance, property certificate, official plan of land, etc. The 2017 regulations made some additions to the already established set of requirements. Here’s a small introduction to these obligations:
1. Additional sewer diagram
The vendor must attach an additional sewer diagram wherever necessary. This diagram will show the location of main sewer lines in relation to the property so future owners can carry out digs and repairs without any problems. If property owners aren’t aware of sewer line locations, they may hit and damage them during renovations.
2. Strata Bylaws
Vendors are obligated to include all strata bylaws applicable to the scheme in the contract. This ensures prospective buyers are aware of these bylaws and understand their obligations as well.
3. Warnings
Vendors are required to include a warning for the possibility presence of loose fill asbestos. If this warning isn’t included, the contract can’t be considered valid.
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