Identify Legal And Ethical Requirements Of Property Sales Event 1
1.
In a “Contract Of Sale” there are a number of documents that are included. They are:
A Certificate of Title
This is a certificate that is issued by the land titles office. It’s a legal explanation that provides any registered dealings that concern the land under the Torrens system.
A Certificate of Title (Common Property) This is completely separate certificate of title. This is in favor of the owners’ corporation that’s in relation to common property in a strata plan. An owners Corporation hold common property.
Plan of the land
This is a copy of the official diagram of the land that the house is built on. It shows information such as boundary measurements and the lot number.
Sewerage Diagram
A diagram that shows the position of the sewer lines for the property. These are usually obtained through a water supply authority.
Section 149 Certificate
A section 149 Certificate is essentially a document that indicates what type of development is permitted and what is not permitted on the land. The section 149 Certificate also shows any planning affection’s that have to do with the block of land.
Copies of all Dealings or Instruments (benefiting or burdening land)
These are documents that essentially create a right of way, agreements or limitations on use.
Certificate of Home Warranty Insurance
This is a document that is in relation to the actual building structure. The building must less than 7 years old in order to be eligible for the structural insurance. A builder, owner or developer must provide this certificate.
2: An exclusive agency agreement is essentially a document that gives the agent the right that authority from the vendor to proceed with the sale of his/her property for a period of time. Commission is still compensated regardless of who sell the property during the selected period of time.
3: With a Open Agency Agreement 2 advantages are:
- A vendor can enter a variety of sales agreements with a number of different real estate agents.
- The vendor can sell his property without having to pay a commission to the agent.
With that being said 2 dis-advantages are:
-The agent who gets selected is the only agent out of the group of agents that can sell the property.
- The agent doesn’t receive a commission.
4: With a Sole Agency Agreement 2 advantages are:
-For the agent if he cannot seem to find a buyer, another agent may have a buyer and can approach the agent who’s having difficulties and introduce the buyer.
-For the vendor he/she has the right to sell his/her property privately.
With that being said 2 dis-advantages are:
-If the vendor decides to sell the property privately, the agent does not receive a commission. - The Agent can do a lot of work and unfortunately get no commission.
5:
2 advantages for an open inspection include:
-It’s valuable to the vendor, agent and the purchaser.
- Can introduce a number of potential buyers to the property
With that being said 2 dis-advantages include:
A one on one inspection with the agent the purchaser feels pressured.
-The vendor that has his/her property for sale must be aware not to leave valuables around as these can be stolen.
6: An easement is a right that is attached to a block of land or even attached to another block of land. An easement must be registered to the title of the land. The individual who has a easement is known as a “Servient Tenement” or also know as “Burdened”. The Individual who has benefitted from the easement is called the “Dominant Tenement”. Many local councils, water suppliers and authorities of different services use this concept of easement to look after drains, electricity wires and poles and facilities through privately owned properties. An example of an easement is where one owner has access over a neighbors land to reach their property.
