The Preliminary Agreement For Sale And Purchase is a fundamental document in New Zealand property transactions, typically used at the initial stage of a property sale when a buyer wishes to formalize their interest in purchasing a property. This agreement sets out the basic terms of the transaction while allowing for due diligence and various conditions to be satisfied before the sale becomes unconditional. It includes essential information such as party details, property description, purchase price, settlement date, and any specific conditions that must be met. The document is designed to comply with New Zealand property law requirements and provides protection for both parties during the conditional period of the sale. It serves as a stepping stone to the final sale and purchase agreement, while being legally binding in its own right, subject to any conditions being satisfied.
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1. Parties: Identification of the vendor and purchaser with full legal names and addresses
2. Background: Context of the agreement and brief description of the property transaction
3. Definitions: Key terms used throughout the agreement
4. Property Details: Complete legal description of the property including title references and physical address
5. Purchase Price: Agreed purchase price and payment terms including deposit requirements
6. Due Diligence: Terms and conditions for the purchaser's investigation period
7. Conditions Precedent: Essential conditions that must be satisfied before the agreement becomes unconditional
8. Settlement: Settlement date, process, and requirements
9. Warranties: Standard warranties provided by the vendor regarding the property
10. Default: Consequences of default by either party
11. General Provisions: Standard contract clauses including notices, amendments, and governing law
1. Chattels: List of moveable items included in the sale, used when specific chattels are being included
2. Tenancies: Details of existing tenancies, required when the property is sold with tenants in place
3. GST: GST treatment of the transaction, required when either party is GST registered
4. Building Conditions: Specific conditions related to building inspections or reports, used for properties with potential building issues
5. Finance Condition: Conditions related to purchaser obtaining finance, used when purchase is subject to finance
6. Land Covenant Provisions: Special conditions relating to land covenants, used for properties subject to covenants
7. Resource Consent Requirements: Conditions related to obtaining necessary resource consents, used for properties requiring development or modification
8. Body Corporate Provisions: Specific provisions for unit title properties, used for apartments or units
1. Schedule 1 - Property Details: Detailed description of the property including certificate of title, legal description, and area
2. Schedule 2 - Chattels List: Comprehensive list of all chattels included in the sale
3. Schedule 3 - Payment Schedule: Detailed breakdown of payment terms including deposit and settlement payments
4. Schedule 4 - Special Conditions: Any special conditions agreed between the parties
5. Appendix A - Title Documents: Copy of certificate of title and relevant title documents
6. Appendix B - LIM Report Requirements: Specifications for required Land Information Memorandum report
7. Appendix C - Property Inspection Requirements: Requirements and standards for property inspections
8. Appendix D - Due Diligence Checklist: Checklist of items to be reviewed during due diligence period
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