Cleaning inside & out

The Sellers agree to clean and tidy the Property including:  clean the oven, steam-clean the carpets, clean windows inside and out, dust, mop floors, mow, remove all belongings and rubbish, and: _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _.  This work must be completed before 9.00am on the last business day before the Settlement Date. If at that time the Buyers are not satisfied that the work has been completed, or that it was not completed to the standard reasonably expected of commercial contractors, then the Buyers can withhold $__________ from settlement (in the Buyers' Solicitor's Trust Account) and this money can be drawn from trust to pay invoices for the actual costs of completing the work, with any money left over then paid to the Sellers.

 (NOTES: This clause is tough on Sellers. By putting an amount in the clause - the chances of a last minute dispute are reduced. The clause is as short as possible, given the difficulty of defining what is “clean” means, and how to resolve a mess.  The terms of the retention are simple - perhaps too simple ... but a complete agreement about all possible terms might run for several pages.)

Cleaning exterior (only)

The Sellers agree to arrange for the outside of the building to be cleaned, including removing all dirt, grime, mould, spider-webs, graffiti and other marks. This work must be completed before 9.00am on the last business day before the Settlement Date. If at that time the Buyers are not satisfied that the work as been completed, or that it was not completed to the standard reasonably expected of commercial contractors, then the Buyers can withhold $__________ from settlement (in the Buyers' Solicitor's Trust Account) and this money can be drawn from trust to pay invoices for the actual costs of completing the work, with any money left over then paid to the Sellers.

 (NOTES: This clause is tough on Sellers. By putting an amount in the clause - the chances of a last minute dispute are reduced. The clause is as short as possible, given the difficulty of defining what is “clean” means, and how to resolve a mess.  The terms of the retention are simple - perhaps too simple ... but a complete agreement about all possible terms might run for several pages.)

Belongings and junk to be removed

The Sellers must remove all their belongings XE "belongings"  from the Property, including: _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _, prior to 9.00am on the last business day before the Settlement Date.  If at that time the Buyers are not satisfied that the Sellers have done this, then the Buyers can withhold $__________ from settlement (in the Buyers' Solicitor's Trust Account),  and this money can be drawn from trust to pay invoices for the actual costs of disposal of the remaining items, with any money left over then paid to the Sellers.

(NOTES: This clause can be tough on Sellers. It could be used to benefit Buyers, for example, where there are a number of car bodies on the property, or if there is an unusual quantity of “junk”.)

Money withheld to fix a fence

At settlement the Buyers can withhold $__________ from settlement (in the Buyers' Solicitor's Trust Account) and use that money to pay for construction of a fence as follows:  _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ (type, length, position). Money remaining after construction of the fence must then be paid to the Sellers.

(NOTES: This is a simple clause, for what can be a complicated arrangement. Accurate details of the fence to be constructed should be included.  Ideally, a quote would be obtained and this quote would be noted in the clause and a copy of the quote attached to the contract.)

"As Is"

The Buyers agree to buy the Property ‘as is’, without any warranties from the Sellers about the Property, and without seeking any compensation or making any complaint about the Property.  The Standard Conditions are varied accordingly.

(NOTES: Where a property is being sold cheaply because it is so obviously run down, then it is often only fair that the Buyers be restrained from making any complaints later, or trying to re-negotiate the price for the property.  This clause is a very simple one to achieve this purpose.  Ideally, the Sellers' solicitors would draft a long condition, deleting each of the standard conditions which might allow the Purchaser to cancel.  Obviously, such a contract should not be conditional on a building or pest inspection.)

Unapproved structures

The Buyers understand that the improvements on the Property do not all have appropriate Council Approval ¾ and the Buyers will not seek to cancel this Contract or seek compensation from the Sellers (or Agent) as a result.

(NOTES: This clause discloses generally that there is a problem. The clause then seeks to prevent the Buyers from making any complaint about Council approvals. This clause is a very simple one to achieve this purpose.  Ideally, the Sellers' solicitors would draft a long condition, deleting each of the standard conditions which might allow the Purchaser to cancel, or claim compensation.  Obviously, agents must be extremely careful with the representations they make about such properties.)

Flooding

The Buyers understand that the Property is low lying, and is periodically affected by run off, or by retention of water ¾ and the Buyers  will not seek to cancel  this Contract or seek compensation from the Sellers (or Agent) as a result.

(NOTES: Strictly speaking, standard REIQ contracts are not able to be cancelled for flooding.  However, many Sellers will consider it wise to disclose the problem "up front" as this lessens the chance of the Buyers being surprised, and then seeking some alternate means of cancelling the contract - for example, by claiming misrepresentation by the agent.)

Flooded in '74

The Buyers understand that the Property may have been flooded in the 1974, and the Buyers will not seek to cancel this Contract or seek compensation from the Sellers (or Agent) as a result.

(NOTES: Strictly speaking, standard REIQ contracts are not able to be cancelled for flooding.  However, many Sellers will consider it wise to disclose the problem "up front" as this lessens the chance of the Buyers being surprised, and then seeking some alternate means of cancelling the contract - for example, by claiming misrepresentation by the agent.)

Unfinished "spec" home

This contract is conditional on the Seller's purchase contract for the Property settling on the same day as this contract. The Buyers will accept a 'transfer by direction' at Settlement.  The Seller agrees with the Buyers:

(a) That the Seller will complete a building on the land (in accordance with the Plans and Specifications attached to this Contract) by the Settlement Date.

(b) If there is a shortage of materials, the Seller may present alternatives (including different colours or materials) for the Buyers’ approval. If the Buyers do not respond within  5 days to the Seller’s request for approval, the Seller may substitute alternatives (provided they are of equivalent or better quality than the originals).

(c) If the Local Government or other Government authority requires changes to the building, the Seller may make those changes provided that the Seller wherever possible adheres to the original plans and specifications. The Buyers are not entitled to make any objection or claim for compensation in respect of any such alterations.

(d) Provided the building on the Property is complete (in every detail) the Buyers are not entitled to delay Settlement or withhold the balance purchase price or any part thereof at settlement by reason of any defect, shrinkage or fault in the building.

(e) Within  _ _ _ _ _ _ _ _ _ _ _ _ months after Settlement, the Buyers may give written notice to the Seller of defects, shrinkages or faults (each called a “Problem”) with the Building. Each such Problem notified to the Seller, which is caused by faulty materials or workmanship, shall be fixed by the Seller as soon as practicable having regard to the nature of the Problem and the desirability of coordinating access by tradesmen.

(NOTES:  This condition has two parts.  The first paragraph protects the Builder where they haven't yet settled the land purchase.  The balance of the clause requires the Seller to finish the building. Complete plans for the building should be attached to the Contract.  The clause has been drafted to be as simple as possible.  Theoretically, a "perfect" clause would have most of the terms expected in a building contract.  It would be dangerous for an agent to negotiate the signing of a contract like this, without both Buyers and Sellers first obtaining thorough legal advice on the terms of the contract.)