Written by As of 1 September 2021, the Property and Stocks Agents Regulation 2014 has been amended to prescribe new material fact that agents must disclose to prospective land and property buyers.
The Property and Stock Agents Amendment (Material Facts Disclosure) Regulation 2021 requires agents to disclose when certain orders, within the meaning of the Residential Apartment Buildings (Compliance and Enforcement Powers) Act 2020, are in force in relation to the property. These orders include a building work rectification order, a prohibition order or a stop-work order on a property at any time.
This is an important clarification, as there was previously some uncertainty whether real estate agents were required to disclose to prospective purchasers. This is important for prospective buyers because knowledge of the existence of an order is crucial in a consumer’s decision on whether to purchase a property.
Agents who are aware of a material fact set by the regulations, or ought reasonably to know, and fail to inform prospective purchasers face a maximum penalty of $22,000.
For more information, including a list of all the current orders, visit here.