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Once a contract of sale has been executed by the buyer the seller(s) will sign the contract.

If a real estate agent is acting for a seller, they will prepare the contract of sale. A conveyancer could also prepare the contract of sale.

There are a range of contracts that can be used for the sale of land in SA. They are similar but have different clauses. The contract chosen will often depend on who is creating the contract.

If a real estate agent is creating the contract they will generally use a REISA contract. If a conveyancer is preparing the contract they may use an AICSA Contract and if a lawyer is preparing the contract they will most likely use a Law Society of South Australia Contract for the Sale of Land.

There is also a standard form Contract for the Sale of Residential Property prepared by the Society of Auctioneers and Appraisers (SA) Inc.

Fixtures, fittings and special conditions

An important matter which a contract for the sale of land deals with is what is and what is not included in the sale. The contract may also be made subject to the satisfaction of certain conditions.

When a property is sold the sale includes all fixtures but excludes fittings.

A fixture is anything permanently attached to the property that would cause damage if removed. E.g. carpets, blinds, curtains, light fittings or built-in BBQs.

Fixtures are included in the sale and remain on the property when sold.

Fittings on the other hand are not included in the sale.

The vendor can take these things with them and include any personal effects of the vendor, free-standing furniture, rugs and pot plants.

If a vendor wants a fixture to be specifically excluded from the sale, it needs to be detailed in the contract and the purchaser needs to agree to this along with who will pay for the cost of removal and rectification works if required?

The same is true for fittings.

A purchaser may request a particular item be included in the sale.

An example could be a microwave built for a specific cupboard in the kitchen.

The vendor must agree to this inclusion but is not obliged to.

An example of a special condition:

The Schusters have made the contract ‘subject to finance’.

This special condition must be satisfied within the time stated.

This protects them in the event their loan application is refused.

If the condition is not met, eg. the obtaining of finance, then the contract will not proceed.

Another common special condition is a buyer makes the property purchase ‘subject to’ the sale of another property they own.

You should consult a conveyancer regarding such conditions including the appropriate wording of special condition clauses as that will give you a high level of protection.

An example of a special condition:

The Schusters have made the contract ‘subject to finance’.

This special condition must be satisfied within the time stated.

This protects them in the event their loan application is refused.

If the condition is not met, eg. the obtaining of finance, then the contract will not proceed.

Another common special condition is a buyer makes the property purchase ‘subject to’ the sale of another property they own.

You should consult a conveyancer regarding such conditions including the appropriate wording of special condition clauses as that will give you a high level of protection.

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