26 July 2019
Any person involved in the sale and purchase of property, and that includes many people at some time or rather, will be aware of Land Information Memorandums (LIM’s). This is a record produced by the Council of relevant information that they hold on the property. It includes Building Consent information, Rating information, details of District Plan provision, and any restrictions or limitations pertaining to the property. It is now common practice for all purchasers to request a LIM prior to purchase.
However, the LIM can contain surprises for the vendor. Information can be held on Council records that the owner is not aware has been placed on the file. For example a property owner may have obtained a building consent for a swimming pool, but neglected to have a code of compliance certificate issue upon completion. This would be recorded on the LIM.
A prudent vendor is well advised to seek a LIM prior to placing their property on the market, and to address any issues that may prevent a sale occurring. Sometimes incorrect information can be stored on property files, and this can be rectified prior to marketing a property. The LIM can then be supplied to purchasers, and sales do not need to be conditional on obtaining that information.
Because a standard residential LIM can take up to 10 days to produce, and urgent LIMs are significantly more expensive, it can save both time and money for the Vendor to take the initiative and obtain a LIM.