Here’s a brief summary of its effect on your business as real estate agents, and what you and your developer clients should consider. We’ll provide a more comprehensive summary once the legislation comes into force:
- The Big Ticket items
- it relocates and slightly amends pieces of legislation from the Land Sales Act across to the Body Corporate and Community Management Act
- it increases the maximum deposit developers can call for under ‘off the plan’ contracts to 20%
- it varies disclosure requirements for ‘off the plan’ standard format lot sales particularly regarding retaining walls
- When will it take effect
- this will commence on the same date of commencement of the Property Occupations Act (later this year, hopefully!)
- What should you do now ?
- If you have any developers issuing OTP contracts and selling down land at the moment, you should advise them to update their disclosure statements and their contracts now.
If you or any of your developer clients require any further information please feel free to call us when convenient.