From 15 August 2016 NSW Real Estate Agents have new responsibilities relating to property inspection reports.
Agents are required to keep a record of property reports and provide this information to prospective buyers when they ask for a contract for sale (regardless of whether or not the buyer asks for information about the reports).
Failure to comply may result in penalties of up to $4,400 for corporations and up to $2,200 in any other case.
Agents must record the following details for each report that they are aware of or can reasonably obtain:
These records must be kept for 3 years.
The idea is to make it easier for buyers to obtain pre-purchase reports and reduce the costs of obtaining reports for properties they bid on but may not end up securing.
Buyers will have the option to be able to request an already available report at a reduced cost or request a new report with the knowledge that an inspector has already conducted a report on a particular property and negotiate a reduction in cost.
No, sellers do not have to tell their selling agent that any pre-purchase reports have been completed for their property and the seller does not have to obtain any reports.