When selling rural land there are many matters to be considered before signing a Contract of Sale.
If you do not consider:
any farming crop;
and plant and equipment;
and ear tags or brand names;
any vegetation requirements of the Department of Natural Resources, Mines & Energy;
the condition of the land;
the erection of boundary fences;
any agistment agreements, supply agreements, or electrical guarantees, then failure to disclose the above and many more could lead to your contract of sale being terminated or worse, having the buyer sue you for damages for failing to disclose certain matters that could affect the buyer’s right to graze or cultivate the land.
At Chris Sheath & Associates, we will take the time to discuss your sale to ensure a full disclosure regarding your property is given to the buyer. We will also advise you of the problems that could potentially affect you after the sale.
Not only will we provide advice for you in relation to your sale, we can prepare the Contract of Sale on your behalf to ensure your rights are protected. This may include carrying out various searches with local Government agencies to guarantee appropriate representation of the land is provided to any prospective buyer.
Whilst acting on your behalf, we will take away the stress of selling a rural property by liaising with your bank to either release mortgage or ensure the bank will be ready for settlement to avoid any delays. We have extensive experience dealing with the rural sectors and agri-business departments of the big four banks and specialist banking institutions such as Bank West, Rural Bank and Rabobank.
We appreciate that these tasks are to be conducted at a very stressful time in your life, particularly if it involves moving house, and we will attend to such matters in a timely manner in order to reduce the stresses that come with uncertainty when selling or purchasing.
The water licencing legislation is quite complex and the practices and procedures have varied many times over the last few years.
Generally speaking, a water licence attaches to land and transfers automatically to the buyer with the title to the property whereas a water allocation is relocatable as it is considered to be a separate asset and can be transferred separately to the land it is associated with.
Complications can arise when a water licence is attached to two or more parcels of land and only one parcel of land is sold resulting in the water licence becoming jointly owned by each landowner.
If a permit to take water exists by way of a water allocation and intended to be sold with the property it is associated with, it would be essential to ensure that the water allocation is included in the Contract of Sale to avoid any argument or the buyer paying for the water allocation but later discovering that the water allocation was not transferred with the property.
If you are thinking of selling and are concerned about how your water entitlement may be affected, we invite you to discuss your options with us which may involve options to transfer, amalgamate or make new application for the allocation of water to separate properties. Please contact our office on 4638 5541 to see how we can be of assistance to you.