Property Law FAQ - New Zealand

How much does a property lawyer cost in New Zealand?

Property lawyer costs in NZ typically range from $800-$2,500 for standard residential conveyancing. Complex transactions, commercial property, or subdivisions cost $3,000-$10,000+. Most lawyers charge fixed fees for conveyancing rather than hourly rates.

How long does property settlement take in New Zealand?

Standard property settlement in NZ takes 4-6 weeks from signing the Sale and Purchase Agreement. However, this can be extended to 8-12 weeks for chain transactions or if finance conditions need more time. Unconditional settlement typically occurs 10 working days after going unconditional.

What is a LIM report and do I need one?

A LIM (Land Information Memorandum) is a council report containing information about a property including building consents, resource consents, rates, and known hazards. While not legally required, getting a LIM is strongly recommended as it can reveal issues like unconsented building work or flood zones. LIM reports cost $200-$400.

What does a property lawyer do during conveyancing?

A property lawyer handles the legal aspects of buying or selling property, ensuring your interests are protected throughout the transaction.

• Reviewing and advising on the Sale and Purchase Agreement
• Conducting title searches and reviewing the title
• Arranging settlement with your bank
• Checking for caveats, encumbrances, or restrictions
• Preparing transfer documents for LINZ
• Calculating rates and other adjustments
• Ensuring legal ownership transfers on settlement day
• Holding and transferring deposit funds

Can I use the same lawyer as the seller?

No. You cannot use the same lawyer as the seller in NZ. This is a conflict of interest as both buyer and seller have opposing interests in the transaction. Each party must have independent legal representation to protect their interests.

What is a title search and why is it important?

A title search examines the legal record of property ownership held by Land Information New Zealand (LINZ). It reveals:

• The legal owner of the property
• Any mortgages registered against the property
• Caveats (claims or interests by third parties)
• Easements (rights others have over the property)
• Covenants (restrictions on property use)

Title searches are essential to ensure you're buying from the legal owner and understanding any restrictions on the property.

What happens if I find problems after buying a property?

Your options depend on what was disclosed and when:

• Seller misrepresentation: If the seller failed to disclose known defects, you may have grounds for a claim
• Building defects: Claims under the Building Act against builders or councils (10-year limit)
• Real estate agent issues: Complaints to the Real Estate Authority
• Insurance: Some defects may be covered by home insurance

Do I need a lawyer to buy property in New Zealand?

While not legally mandatory, using a property lawyer is strongly recommended and practically essential in NZ. Banks require a solicitor to handle mortgage documentation, and the conveyancing process involves legal complexities that protect your interests. Going without a lawyer is risky and rarely saves money.

What are chattels in a property sale?

Chattels are moveable items included in the property sale. Common chattels include:

• Curtains and blinds
• Light fittings
• Dishwashers and other appliances
• Garden sheds
• Fixed floor coverings
• Heat pumps

The Sale and Purchase Agreement should clearly list all chattels included. Disputes over chattels are common, so ensure the agreement specifies exactly what's included.

What is an easement on a property?

An easement is a legal right for someone else to use part of your property for a specific purpose. Common examples include:

• Right of way: Access across your land to reach another property
• Drainage easement: Right to run stormwater or sewage pipes
• Utility easement: Power lines, water pipes, or telecommunications
• Party wall easement: Shared walls between properties

Easements are registered on the title and remain with the property when it's sold.