It is important to remember that certain information which could affect the value of the property must be disclosed to prospective purchasers. This is so that the real estate transaction is open and transparent and buyers know exactly what they are purchasing.
These 'disclosures' must be included in the ‘Form 1', which is a legal document provided by the vendor to a prospective purchaser. If you are selling a property through a real estate salesperson, they will generally prepare the Form 1 on your behalf so it is important to work closely with them to ensure that all the necessary detail is included.
The Form 1 must include information advising of restrictions such as encumbrances, covenants and easements, outgoings such as rates and other relevant notices which impact on the property.
While the Form 1 will provide certain information relating to the property, it is the responsibility of potential purchasers to also make their own enquiries if they have specific concerns. It is the responsibility of the purchaser to find out anything that is not covered in the Form 1.
Your real estate agent will be able to provide further information about what needs to be disclosed in a Form 1. Make sure you ask any questions if you are unsure about this process so that your sale can progress smoothly.
To assist consumers with real estate queries, REISA operates a free information service – REISA Query Connect on free call 1800 804 365, between the hours of 9.00am to 4.00pm each weekday. This service is staffed by knowledgeable real estate professionals with many years of practical experience.