I have been approached by an Officer of DELWP regarding disclosure requirements in the Vendor’s Statement with respect to planning information and the property site measurements.
Why a FREE property report versus PAID?
As we should be aware, DELWP are in the process of modernising the digital cadastre. This is a very large project which will extend over a four-year period. There is a $45m investment which should result in Victorian property boundaries being accurately displayed in digital format. It is hopeful that this project will reduce financial costs and boost productivity for all those involved in the planning stage of large infrastructure (Government and the private sector particularly).
DELWP are concerned that Practitioners and Consumers are relying on those site measurements displayed on the FREE property report to identify property. The FREE property report does not necessarily show accurate boundary measurements of the property being sold/purchased. Further it does not include information about exhibited planning scheme amendments or zonings that may abut the land.
Practitioners should be aware of the print on the FREE property report which clearly states “All dimensions and areas are approximate. They may not agree with those shown on a title or plan”. DELWP recommends “for more accurate dimensions get copy of plan at Title and Property Certificates”. Further the FREE report sets out a disclaimer at the foot which says “the content is provided for information purposes only. No claim is made as to the accuracy or authenticity of the content. The Victorian Government does not accept any liability to any person for the information provided”. However, it does also state that “Notwithstanding this disclaimer a vendor may rely on the information in this report for the purpose of a statement that land is in a bushfire prone area as required by Section 32C (b) of the Sale of Land Act 1962 (Vic)”.
Best practice is to attach to the Vendor Statement a current Title Search with current Title Plan as well as a Planning Certificate issued pursuant to S199 and generally purchased through Landata or other such provider.
If the Practitioner chooses to take risk and attach a copy of the FREE property report then that Practitioner should ensure that it is a clear copy and that all words can be read. Particularly the reference to the words “for more accurate dimensions get copy of plan at Title and Property Certificates” must be clearly legible. Practitioners should be aware of the wording on the FREE property report which clearly states the “..report IS NOT a planning certificate issued pursuant to Section 199 of the Planning & Environment Act 1987”. The Practitioner must ensure that the zoning information is also correct.
Approximate costs through Landata are:
Register Search Statement $7.35
Copy Title Plan $6.99
Planning Certificate Express $7.28
TOTAL $21.62
A Planning Certificate issued pursuant to S199 should be applied for and attached to the Vendor Statement to avoid issue.
Unfortunately, some consumers/practitioners have been caught out!! A Free property report which results in non-disclosure of crucial information may result in a PI Claim.
Planning Certificates have been discussed in the Basic Course and also in Part 3 of the Masterclass Series and will be explored further at the Introduction to Conveyancer course later this year.
Joan Lentini
AIC Vic President