In NSW, your home can't go on the market until a contract for sale has been prepared. That means no listing, no sign out the front, no auction date and no open home until the contract is ready.
The contract has to be prepared by a licensed conveyancer or solicitor, and the law sets out documents that must be attached to it. Get it wrong and a buyer may be able to walk away from the sale after exchange.
If you're thinking of selling, sorting out the contract is the first job, ideally while you're still choosing an agent.
Documents every NSW contract must attach
These are the prescribed documents under section 52A of the Conveyancing Act 1919 and Schedule 1 of the Conveyancing (Sale of Land) Regulation 2022. For a standard residential sale, they include:
Property certificate (title search): who owns the property, plus mortgages, caveats and other interests on the title.
Planning certificate (section 10.7): zoning and planning controls from your local council.
Drainage diagram: where the sewer and drainage lines run on the property.
Easements, covenants and restrictions: copies of any registered dealings that limit how the land can be used.
Smoke alarm and loose-fill asbestos notice: a required notice, unless it's already printed in the contract.
The contract also has to list any inclusions and exclusions (what stays and what goes) and include the prescribed cooling-off statement.
Extra documents for pools, units and off-the-plan
Swimming pools and spas. If your property has a pool or spa, the contract must also attach one of:
a valid certificate of compliance
the relevant occupation certificate plus evidence the pool is registered, or
a valid certificate of non-compliance
This doesn't apply to lots in strata or community schemes with more than two lots. You can check whether your pool has a current certificate on the NSW Swimming Pool Register. If you don't have one, sort it out before you list.
Units and townhouses. Strata and community title properties have their own requirements under Schedule 1. Your conveyancer will order the right plans and records for your scheme.
Off-the-plan. If you're a developer selling off the plan, the contract needs a disclosure statement plus draft plans, by-laws and any schedule of finishes.
What happens if something's missing
If a prescribed document isn't attached when contracts are signed, the buyer can rescind (cancel) the contract within 14 days of exchange.
For a seller, that's the worst possible timing. You've accepted an offer, you may have committed to your next purchase, and the buyer has a legal way out. A buyer having second thoughts, or one who's found a cheaper property, can use it.
On top of that, agents can't market a home without a contract ready, so a late or incomplete contract also delays your campaign.
Remember: sellers don't get a cooling-off period. Once contracts are exchanged, you're bound. Buyers of residential property usually get 5 business days, except at auction. Our guide to the cooling-off period in NSW explains how it works.
How to get contract-ready
Engage a conveyancer. Do this as soon as you decide to sell, so the contract isn't holding up your agent.
Tell us about the property. Pools, granny flats, renovations, strata, tenants and anything you want to exclude from the sale (a pendant light, a garden shed) all affect the contract.
We order the searches. The title search, planning certificate, drainage diagram and any registered dealings come from the relevant government bodies and your council.
We draft the contract. We prepare the contract, attach the prescribed documents and add any special conditions you need, such as a longer settlement.
Your agent can market the property. The contract goes to your agent so they can list, advertise and hold inspections.
We handle exchange and settlement. When an offer comes in, we deal with the buyer's conveyancer, any requested changes and settlement through PEXA.
Frequently asked questions
Who prepares the contract for sale in NSW?
A licensed conveyancer or a solicitor. Your real estate agent doesn't prepare it, but must have it before marketing your property.
Can I advertise my house before the contract is ready?
No. Advertising, putting up a sign, announcing an auction or giving the address to buyers all count as offering the property for sale, and that can't happen until the contract has been prepared.
Do I need a contract if I'm selling privately, without an agent?
Yes. You still need a contract for sale prepared before you advertise.
What if the buyer finds a document is missing after exchange?
They may be able to rescind the contract within 14 days of exchange. That's why it pays to have the contract checked properly before it goes out.
Do I have to attach a building and pest report?
No, they're not prescribed documents for a standard sale. Buyers usually arrange their own.
Can I pull out after exchange?
Generally no. Sellers don't get a cooling-off period, so once contracts are exchanged you're committed.
Get your contract ready with My Property Kit
Our licensed NSW conveyancers prepare your contract for sale, order every prescribed document and look after your sale right through to settlement, for a fixed fee. We work with sellers across NSW, whether you're using an agent or selling privately.
Sources
Sales contracts: requirements for property agents, NSW Fair Trading
Using an agent or selling privately, NSW Government
Conveyancing (Sale of Land) Regulation 2022, Schedule 1, NSW Legislation
Conveyancing Act 1919, NSW Legislation
This article is general information only and isn't legal advice. Speak to a licensed conveyancer or solicitor about your sale.
