Are you buying a home? How do you know what is included in the sale? Is the dishwasher included? Is the TV antennae included? These and other items are issues that should be specifically addressed in the contract.
The specific details of what is included in the sale is normally contained on the front page of the contract. Buyers should ensure that they properly instruct and discuss with their lawyers as to what they intend including or what they think is included. It is also common for real estate agents to fill out the details of the inclusion. In that case, buyers should ensure that they are aware what inclusions the Agent is marking on the contract before they sign.
Once the Contracts are exchanged and dated, the inclusions cannot be changed unless agreed to by both buyer and seller.
This is also the case with exclusions to the property. For example, if the Vendor does not want his "mounted plasma TV" included in the sale, his lawyer will mark this as an EXCLUSION on the contract. This means that the owner will be taking the TV away from the property at settlement. As a buyer, if you want the TV to remain, make sure that it is marked as an inclusion on the contract.
"pool equipment" is another common area of dispute. If you want the pool equipment to remain on the property, make sure it is marked as an inclusion. Some owners take the pool equipment with them to their new property.
I recently acted for a client that had palm trees on the property (in the ground) that they wanted to take with them. This is uncommon, but was marked as an exclusion on the contract.
Where can you find the list of inclusions on the contract? On the 2005 edition of the contract (as approved by the Law Society of NSW and Real Estate Institute), this is normally found about 1/2 way down the front page in a box.
Before you sign the contract, make sure that you are specifically aware of what comes with the property and what is excluded.
I always suggest that you address the issue of inclusions and exclusions with the Agent at the time of inspection. That way, it is easy to identify what is and what is not included and can be accordingly marked on the contract. You don't want to get to settlement time and find out that the big 50inch TV which you thought would stay mounted in the lounge room has been removed and there are holes left in the wall.
Buyer beware.
(Note - This is general advice only, buyers and sellers should obtain specific legal advice before entering into a contract)
Comments by Dean Carver
Property Lawyer, Sydney NSW
Ph: (02) 9773 4550
