Are you in the process of buying or selling a property in New Zealand? Then you need to familiarize yourself with the new sale and purchase agreement (SPA) that has been introduced.
The SPA is the legally binding document that outlines the terms and conditions of the sale or purchase of a property in New Zealand. In the past, the SPA has been criticized for being too complicated and difficult to understand. However, the new SPA has been simplified and made more user-friendly.
One of the significant changes in the new SPA is the addition of a section that outlines the buyer`s obligations. This section makes it clear what the buyer needs to do after signing the agreement, such as arranging financing and obtaining any necessary consents.
Another change is the addition of a clause that states that the seller must provide the buyer with a copy of any relevant building reports or property records. This clause is a significant improvement, as it ensures that the buyer is fully informed about the condition of the property before completing the purchase.
Furthermore, the new SPA includes a clause that requires the parties to disclose any known defects or issues with the property. This clause ensures that the buyer is fully aware of any potential problems with the property before purchasing it. This is essential, as it can help to prevent problems from arising after the sale is complete.
In summary, the new sale and purchase agreement in New Zealand is a significant improvement on the previous version. It is more user-friendly and provides more protection for both buyers and sellers. If you are in the process of buying or selling a property in New Zealand, it is essential that you familiarize yourself with the new SPA and ensure that you understand all of the terms and conditions.