Section 32 Vendor Statement: Complete Guide for Victorian Sellers
Learn what a Section 32 Vendor Statement is, what it must include, and how Victorian sellers can avoid costly mistakes when selling property.
Introduction
Selling property in Victoria involves more than finding a buyer and signing a contract. One of the most important legal obligations for sellers is preparing a Section 32 Vendor Statement. This guide explains what it is, what it contains, and how sellers can ensure compliance.
What Is a Section 32 Vendor Statement?
A Section 32 Vendor Statement is a mandatory disclosure document provided to prospective purchasers before they sign a Contract of Sale. It discloses important information about the property and helps buyers make informed decisions.
Is a Section 32 Mandatory in Victoria?
Yes. In most Victorian property transactions, a Section 32 Vendor Statement must be provided before the purchaser signs the contract. Failure to do so may allow a purchaser to rescind the contract.
Section 32 vs Contract of Sale
The Section 32 is a disclosure document, while the Contract of Sale contains the legal terms of the transaction, including price, deposit, settlement date, and special conditions.
What Must Be Included in a Section 32 Vendor Statement?
Key disclosures typically include title information, easements, covenants, mortgages, planning and zoning details, rates and taxes, building permits, owner-builder information, Owners Corporation details, and government notices.
When Should Sellers Prepare the Section 32?
The ideal time is before marketing begins. Early preparation prevents delays and allows agents to provide documentation to interested buyers immediately.
Who Prepares a Section 32?
A licensed conveyancer or solicitor typically prepares the document, conducts required searches, and ensures compliance with Victorian legislation. If you’re unsure which professional is best suited to assist with your property transaction, read our guide on the key differences between a solicitor and a conveyancer before making your decision.
Common Mistakes Victorian Sellers Make
Common errors include failing to disclose renovations, relying on outdated certificates, assuming the real estate agent prepares the document, and waiting until a buyer is found.
Why Professional Conveyancing Matters
Professional conveyancing reduces risk, improves compliance, and helps facilitate a smooth transaction from listing through settlement. Working with an experienced conveyancer can also help sellers identify unexpected expenses early in the process. To learn more, see our article on hidden fees in conveyancing contracts and how to avoid them.
Conclusion
A properly prepared Section 32 Vendor Statement is essential for a successful property sale in Victoria. Accurate disclosure helps protect both sellers and buyers while reducing the risk of disputes and delays.
Frequently Asked Questions
How much does a Section 32 cost?
Costs vary depending on the property and required searches.
Can I prepare my own Section 32?
While possible, professional preparation is strongly recommended.
How long is a Section 32 valid?
it varies, some searches are only valid for three months such as the Land Information Certificate, Water Information Statement, and Property Clearance Certificate. The documents should be kept current and updated when necessary.
