Selling Property In New Zealand

Selling your property is one of the most significant financial transactions you will make, and what happens on the legal side determines whether it goes smoothly or becomes unnecessarily stressful. A well-prepared sale protects your rights, keeps the timeline on track, and makes sure you receive every dollar you are entitled to. We manage the entire legal process on your behalf — from reviewing your agency agreement before the property goes on the market, through to the funds landing in your account on settlement day.

Who this is for

Owner-occupiers selling and moving on. Whether you are upsizing, downsizing, or relocating, you need the legal side of your sale handled carefully and on time. We review your agency agreement, prepare or check the Sale and Purchase Agreement, manage all pre-settlement steps, and coordinate settlement day so you can focus on your move rather than the paperwork.

Investors selling a property. You have held the asset and you are ready to sell. Before the contract is signed, we will review the tax implications of the sale — including whether the bright-line rules apply — and work alongside your accountant on any structuring questions. We move at the speed your matter needs.

Trusts and companies selling a property. When a property is owned by a trust or a company, the sale requires additional steps: trustee, director, or shareholder resolutions authorising the sale, additional identity verification for all relevant parties, and careful review of the ownership structure to ensure the transaction is properly documented. We handle all of that alongside the standard sale process so nothing is missed.

What we do

Reviewing your agency agreement

Before your property goes to market, you will be asked to sign a listing authority with your real estate agent. This is a binding contract, and the terms — including the commission rate, the marketing levy, the exclusive period, and the conditions under which the agent earns their fee — are negotiable. Most vendors sign without reading it carefully. We review it for you, explain what you are agreeing to, flag anything that is not in your favour, and tell you exactly what your options are if the agent does not deliver.

Pre-sale due diligence

Before your property is listed, we carry out a legal review of the title and the property records to identify any potential issues that could affect the sale. We check the title for encumbrances, restrictions, or other registered interests that a buyer’s lawyer will raise, and we review the Land Information Memorandum for any potential issues. We document our findings and raise any issues with you and the listing agent before a buyer sees them, so there are no surprises during the negotiation.

For unit title properties, we prepare or review the Pre-Contract Disclosure Statement, which is a legal requirement that must be provided to any prospective buyer before they sign. Getting this right early prevents delays later.

Preparing the Sale and Purchase Agreement

The Sale and Purchase Agreement is the legal document that governs the entire transaction. Every term in it — from the price and deposit to the settlement date and what happens if something goes wrong — has legal consequences. We prepare or review the agreement on your behalf and make sure it protects your interests. Specifically, we ensure the following are clearly and correctly documented:

Vendor warranties — what you are warranting about the condition and compliance of the property, and where appropriate, the specific exclusions that limit your liability.
Chattels — a complete list of what is included in the sale, what is excluded, and the condition each item must be in on settlement day.
Settlement date — confirmed to suit your timeframe and coordinated with any other transaction you have running at the same time.
Possession — in most sales the buyer takes possession on the same day as settlement. If you need to remain in the property for a period after settlement, we include a specific clause that sets out the terms clearly and protects your position.
Deposit — the amount, where it will be held, and the conditions under which it is released. See understanding property deposits in NZ.

For private sales where there is no real estate agent, we draft the agreement from scratch. Where you are selling through an agent, we review the agent’s draft before you sign and flag any terms that create unnecessary risk for you.

Reviewing offers

When an offer arrives — whether at auction, through a tender process, on a deadline sale, or by direct negotiation — we review it the same day. We go through the full agreement, not just the price: the conditions, the timeframes, the special terms, and any clauses that could create problems after signing. We explain clearly what each part of the offer means for you, identify what is worth negotiating, and advise on the risks before you make any decisions. You will know exactly what you are agreeing to before you sign.

Pre-settlement

Once your agreement is unconditional, we will:

Contact your bank to arrange the discharge of your existing mortgage. Banks generally need four to seven working days to prepare the discharge documentation, so we begin this process as soon as the agreement goes unconditional.
Calculate the rates and water apportionments — the amounts the buyer reimburses you for rates and water charges you have already paid that cover the period after settlement.
Prepare the settlement statement, which sets out exactly how the purchase price is applied, and send it to the buyer’s lawyer for agreement.
Confirm the handover plan with you and the agent — including the keys, the chattels included in the sale, and the timing of access on settlement day.

Settlement day

On settlement day, we take care of everything so you do not have to. We coordinate directly with the buyer’s lawyer to receive the purchase funds, arrange the repayment of your mortgage to the bank, and confirm the transfer of the title to the buyer. We keep you updated throughout the day, and we do not release the keys until we have confirmed that the full amount has been received. If the buyer’s funds are late for any reason, we hold your position and make sure your legal rights are protected until settlement is completed.

Post-settlement

Once settlement is complete, we send you a full account of how the funds were applied, arrange the release of any deposit held by the agent, and close your file. If any questions arise after settlement — for example, a dispute about a chattel that was supposed to be included in the sale, or a query from the buyer about something that came up after they moved in — we deal with the buyer’s lawyer on your behalf.

Process and timeline

A typical residential property sale in New Zealand follows the steps below. The exact timeframes will depend on how the property is being sold and how quickly the buyer’s conditions are satisfied.

Step	Typical timing	What happens
1. Instruct	Day 0	You contact us with the property address and the agency agreement. We open the file and begin the identity verification process.
2. Pre-listing review	Day 0 to 5	We review your listing authority and carry out a title and property records check. We pre-draft the special conditions for the agreement.
3. Marketing period	Day 5 to 35	Your agent runs the marketing campaign. An auction or deadline sale date is typically set three to four weeks from listing.
4. Offers and signing	Day 30 to 40	Offers come in. We review every offer on the same day and advise you before you sign.
5. Conditions period	Day 40 to 55	The buyer satisfies their conditions — typically finance approval, building inspection, and legal review. Most condition periods run for ten to fifteen working days.
6. Unconditional	Day 55	The buyer confirms all conditions are satisfied. The deposit is released and the sale is locked in.
7. Pre-settlement	Depends on settlement date	We arrange the mortgage discharge, prepare the settlement statement, and confirm all details with you and the buyer’s lawyer.
8. Settlement day	Depends on settlement date	The purchase funds are received, your mortgage is repaid to the bank, the title transfers to the buyer, and the net proceeds are paid to you.
9. Post-settlement	Settlement day and the following 3 working days	We send you the final account of funds, arrange the release of the deposit, and close the file.

A cash buyer with no conditions can settle two weeks from signing. We will give you a realistic estimate for your specific situation when we provide your fee quote.

What it costs

Fixed-fee estimate, provided up front before any work begins, so you always know what to expect.

Stage 1 — Pre-Sale Attendances

Pre-Sale Attendances Residential
$500

+ GST + disbursements
Pre-Sale Attendances Commercial
$1,000

+ GST + disbursements

Stage 2 — Conveyancing

Conveyancing Residential
$2,000

+ GST + disbursements
Conveyancing Commercial
$2,500

+ GST + disbursements

Disbursements (LINZ, AML identity verification, bank discharge fees, and other third-party costs) are quoted at the time of instruction and vary by matter.

FAQ

Frequently asked questions

When should I get a lawyer involved when selling?

As early as possible — ideally before you sign the agency agreement with your real estate agent. We take a personalised approach to every sale, starting from the very first step. Getting us involved early means we can review the listing authority, check the title for any issues before the property goes on the market, and make sure the Sale and Purchase Agreement is ready to protect you from the moment the first offer comes in.

What happens at an auction from a legal perspective?

At an auction, the Sale and Purchase Agreement becomes binding and unconditional the moment the auctioneer's hammer falls. There is no cooling-off period and no opportunity to add conditions after the auction. This means all of the legal preparation — reviewing the agreement, loading the special conditions, and checking the title — must be done before auction day. We handle all of this for you in the lead-up to the auction.

Do I have to disclose problems with the property?

You are required by law not to misrepresent the property to a buyer. Early in our engagement, we send you a vendor warranties questionnaire that walks you through what you need to disclose and how. If there are issues with the property — for example, unconsented work, a boundary dispute, or a known defect — we advise you on how to document them correctly so your liability is appropriately limited.

How does the bright-line test affect my sale?

The bright-line test is a tax rule that may require you to pay income tax on the profit from your sale, depending on when you purchased the property, how you have used it, and the applicable bright-line period at the time. We assess whether the bright-line test applies to your sale as part of our pre-sale review and work alongside your accountant on any tax implications before the agreement is signed.

When will I receive the deposit?

The deposit is typically paid by the buyer once the agreement goes unconditional, and held in the real estate agent's trust account for 10 working days. After that period, the agent deducts their commission — typically between 2.5% and 4% plus GST, often calculated on a tiered basis — and releases the balance to our trust account. We hold those funds until settlement, when they are applied toward the purchase price and transferred to you after any mortgage or other financial obligations on the property are discharged. We confirm the exact breakdown of figures with you before settlement day.

What happens if the buyer cannot settle on the agreed date?

If the buyer fails to settle on time, you are entitled to take steps to protect your position under the Sale and Purchase Agreement. We will advise you on your options, which may include claiming default interest for each day settlement is delayed or, in more serious cases, pursuing cancellation of the agreement and retaining the deposit. We handle all communication with the buyer's lawyer on your behalf.

Can I pull out of the sale after I have signed the agreement?

Once the Sale and Purchase Agreement is signed and unconditional, both parties are legally bound to settle. A vendor who tries to walk away can be ordered by the Court to complete the sale, and may also be liable for the purchaser's losses. There are limited situations where a vendor can properly exit a signed agreement. If you think you're in one of them, contact us as soon as possible and we'll advise on your options.

How long after settlement do I get my money?

The net sale proceeds — after the mortgage repayment, our fees, and any other amounts deducted on settlement day — are transferred to your nominated bank account on the same day settlement is completed. We send you a full account of how the funds were applied so you can see exactly where every dollar went.

What happens next

Contact us with the property address — even if you have not yet signed an agency agreement or decided how you want to sell. We will explain your options, tell you what to ask your real estate agent for, and provide a written fee estimate within two business hours.

Insights