Consumer News

Material or not. That is the question.

31 October 2016

By Tim McKibbin – REINSW CEO

Every property has a past and there are some things a buyer can find out after purchase they wish they had known before.

Sales agents are bound by law to disclose ‘material facts’ to avoid this problem. What are materials facts exactly?

Unfortunately it’s not straightforward, but some examples given include whether the property has a building defect like asbestos, or if it was the scene of a serious crime.

However what if the seller doesn’t tell the agent something? An agent can’t disclose something that they don’t know about.

This is why REINSW is working with the government to clear up the confusion.

We’re also asking that an obligation is placed on the seller to disclose material facts in the interests of consumer protection.