Conditions in your sale and purchase agreement
Know which conditions to talk through with your lawyer before you sign a sale and purchase agreement.
- Common conditions cover finance, a builder's report, the LIM and your lawyer's approval.What does Building report mean?A building report is a written check of the property by an accredited inspector that lists any defects; settled.govt.nz suggests one that meets the standard NZS 4306:2005. settled.govt.nz (Te Kāhui Kāinga Ora / REA): Learning about the propertyWhat does LIM mean?A LIM (land information memorandum) is a report from the local council about the property, such as its rates and what the council's records hold on it. settled.govt.nz (Te Kāhui Kāinga Ora / REA): Understanding the sale and purchase agreement Ask which suit this property.
- Pre-approval from a bank is not final lending approval; the bank still values the property before it commits.
- Ask whether extra checks fit the house: an engineer, drain camera, meth test, body corporate papers or an insurance quote.
- Every condition needs a date. Ask your lawyer how the dates line up, as councils and builders can be slow.
- Ask your lawyer when the property becomes your insurance responsibility and have cover ready before then.
Check the details. Your property lawyer drafts and explains the conditions; ask them what each one means for this property.
Official pages
Shortened from a Berry article first written 2026-05-16. Figures we could not check against a public source were taken out. This is general information, not advice.