Information to use: CPPDSM4008A: Identify legal and ethical requirements of property sales to agency work Assessment - Completing Forms:Sales Inspection Report & Exclusive Agency Agreement
Information to use:
CPPDSM4008A: Identify legal and ethical requirements of property sales to agency work
Mr John Simpson decides to sell his property at 1 Lucky Street Uptown which is where he currently lives. His best phone number is 0444 111 222 and would like that all emails be sent to his private email address - &..n@net.au
His Solicitors are Wills Solicitors, 1 Smith Street Star Town 2754. Their email is <..d atnetflix.com.net phone details are>
They are using the real estate agent, Real Estate Training Solutions at 1 Training Street Trainingville ACT. Their email is <..iatrets.com.au phone number abn no license they are registered for gst.>
The property being sold is 1 Lucky Street Uptown 2753.
Fixtures & fittings included with the sale of 1 Lucky Street Uptown are;
Blinds & and Blind Fittings, Curtains & Curtain Fittings, Fixed Floor Coverings, window screens and Light Fittings. There are No excluded items to be noted.
There are no known details of covenants, easements, defectsotices affecting the property known to the agent at the time of listing.
The property is not subject to any ongoing tenancy at the time of sale.
The price the property is to be listed at is $700,000.00 (the owner's/ vendor's decision)
The estimated selling price range provided by the agent to the vendor was $680,000.00 - $700,000.00 & it has been agreed that the most suitable method of sale is the Private Treaty method.
There are no special terms or conditions of sale to be included in the contract known to the agent at the time of listing.
They agree to enter into a 90 day Exclusive Agency period (calculate the date from the date you are doing this form).
The agent asks the owner for information on annual expenses such as council rates etc.
The owner advises the agent, they pay the following annually:
Council rates; $1,500.00
Water rates: $850.00
Sewer rates: $500.00
Fire and Emergency levy: $150.00
Land tax: Nil
The commission/fee payable to the agent is agreed at 3% of the sale price including GST. (ensure you complete the section in the form by calculating the dollar figure payable at the maximum estimated selling price)
The principal/vendor will reimburse the agent for the following expenses to be paid on settlement/invoice:
The vendor authorises the agent to allow prospective purchasers to inspect the property in company of the agent only.
The agent discloses they receive NIL rebates, discounts or commissions from any third party or otherwise.
The agent confirms the following with the owner:
There is mains water supply: sewer
Hot water system: electric and solar
Gas: mains gas
Power and Telephone: is connected
No cable TV
There is a Reverse cycle air conditioning system
No water treatments and no watering systems installed
There is ceiling insulation
There is no electronic security systems
There are deadlocks to front and rear doors
There sensor lights at rear door
All windows have locks
No swimming pools and no spas
There are hard wired smoke alarms
There are safety switches in the switchboard
The vendor/owner has been provided with a 'consumer guide' prior to signing the agreement.
There are NIL additional instructions or special conditions in regards the agreement.
The bank details of the principal/vendor are not required at this time & there are Nil additional instructions to be recorded.
Estimated selling price evidence by way of a Comparative Market Analysis has been provided by the agent to the vendor/owner.
A Residential Premises Loose -fill Asbestos Insulation questionnaire has been completed by the vendor and provided to the agent.
The Capital Gains Withholding Payment is not applicable as the estimated market value of the property is below the ATO clearance certificate requirements.
Note: You are to assume/make-up other information that may be required to complete the form.
Note: It is not a requirement for this assessment, for the form to be signed. However, in reality when completing the form on behalf of the landlord/lessor, always ensure it is signed for it to be valid.
RETS Real Estate Training Solutions Real Estate Training Solutions Pty Ltd PO Box 682 Richmond NSW 2753 Tel: 1300 850 980 Agent No: 90897 Email: admin@rets.com.au ACTRO 12S @ Lawsoft Pty Ltd EXCLUSIVE RESIDENTIAL SELLING AGENCY The Seller appoints the Agent to sell the property. The Agent accepts the appointment and the parties agree that the appointment is subject to the terms as set out herein. Seller Name Address Mobile 1 email 1 Mobile 2 email 2 Sellers Conveyancer / Lawyer Name Address Mobile Phone email Fax Agent (Licensee Name Salesperson Carmen Freitas emai admin@rets.com.au Mobile 1300 850 980 Property Report being improved / unimproved land situated at and known as and being Allotment / Lot / Unit on Plan and being whole / portion of Certificate of Title Volume / Folio see detail on Inspection Report below; the Agent must inspect and deliver that report prior to this Agreement being signed AGENT'S ESTIMATE OF PRICE SINGLE AMOUNT OR BETWEEN AND $ SELLER'S ASKING PRICE By law marketing must not be less than the Agent's estimate or the lowest of the Seller's price. Marketing and Sales Report MARKET WITH A FIXED PRICE $ MARKET IN THE RANGE Yes MARKET WITH NO PRICE Yes METHOD OF SALE auction, list with price or range, no price, expressions of interest, tender AUCTION Yes No Proposed Auction Date time SETTLEMENT DATE 30 days O other reaforms.com.au Training - 4008AEXCLUSIVE RESIDENTIAL SELLING AGENCY page 2 Term of Agency The agency is from (and including) until midnight on and is an exclusive agency except as detailed below and if an exclusive agency at commencement it continues as a general agency after that period until notice of not less than 1 month is given in writing to the Agent at the end of the exclusive agency. If the agreement is for a FIXED TERM that exceeds 90 days, the Seller can terminate this agreement (without penalty) by giving 30 days notice in writing to the agent at any time after the end of the first 90 days of the term. Exclusive Agency | Yes No - Detail other type if not exclusive IMPORTANT: If this is a sole or exclusive agency agreement. This means you may have to pay the agent commission even if another agent (or you) sell the property or introduce a Buyer who later buys the property. Associated and Previous Agents The Agent is authorised and can appoint other agents to assist in the sale but only one commission is payable if so . The Property was previously listed for sale | No | Yes Agent WARNING: Have you signed an agency agreement for the sale of this property with another agent? If you have you may have to pay two commissions (if this agreement or the other agreement you have signed is a sole or exclusive agency agreement). Chattels Included with Property Sale (if any) Detail all other property to be included in sale that are not part of the property's fixtures and fittings Exclusions from Sale (if any) Detail other property (fixtures and fittings and other property) not included in the sale ( use an Annexure as necessary ) such as any fixtures / pot plants and garden ornaments etc] Tenancies ONo Yes Managing Agent Tenancy End Date Known Encroachments and Fences not on Boundary or Orders and Notices Alterations and Works made without Consent (if any) Swimming Pool and Spa Compliance Not Applicable Pool / Spa on Property Pool /Spa Complies CGT Withholding Tax (Sale Price is $750,000.00+) Sellers must have a CGT clearance at settlement to avoid 12.5% withholding tax being paid to Taxation Office (ATO). If Applicable Seller to apply; or Seller's Accountant or Tax Agent to apply GST issues relating to the Property The Seller is or is required to be registered for GST | No Yes ABN The Seller must obtain advice from their accountant regarding GST issues if the property is not their home and exempt. Special Terms and any Contract special terms required (if any) reaforms.com.au Training - 4008AEXCLUSIVE RESIDENTIAL SELLING AGENCY page 3 Professional Fee Upon the Agent effecting a sale of the Property the Seller will pay the agreed Professional Fee to the Agent at settlement. Basis of Professional Fee (including GST) - Calculated as follows: Estimated Fee based on the Agent's maximum estimated selling price the Fee would be (including GST) This Fee will vary based on the actual Sale Price of the Property WARNING: Have you signed an agency agreement for the sale of this property with an other agent? If you have you may have to pay 2 commissions (if this agreement or the other agreement you have signed is a sole or exclusive agency agreement). Seller's Marketing Costs The Seller will reimburse and pay to the Agent all marketing expenses approved from time to time by the Seller (and as may be increased by amending this Agency), to include a ny searches any government charges and are payable irrespective of whether or not the property is sold. The following marketing expenses and other fees are as approved by the Seller at the time of signing this Agency and payable as they arise. Item When Payable Amount APPROVED AMOUNT (inclusive of GST) Disclosure of Rebates, Commissions and Discounts (if applicable) The Agent may receive benefits which if so are disclosed in an Annexure Not Applicable ACCEPTANCE Electronic signing: The Seller and Agent each acknowledge and consent to the Seller and the Agent or their attorneys and representatives signing this form and agreement and any Notices under the Act by electronic and/or digital signatures under the Electronic Transactions Act (Cth) and ( ACT) and delivering this Authority and any Notices under the Act by email. SELLER DATED Seller is Owner Mortgagee in possession Attorney / *Executor for AGENT DATED Acknowledgements The Seller acknowledges receipt of the following prior to entering into this Agency Agreement - *tick/cross applicable x Yes* Sales Inspection Report and report as to Pricing reasonableness [x Yes* General Conditions for Residential Agency agreement (attached) which are and form part of these terms. reaforms.com.au Training - 4008AEXCLUSIVE RESIDENTIAL SELLING AGENCY page 5 3.2 3.3 4.1 4.2 4.3 4.4 6.1 6.2 6.3 11 1.2 10 10.1 10.2 10.3 10.4 10.5 10.6 GENERAL CONDITIONS AUCTION (if applicable) The Agent will offer the Property for sale by public auction at the time and in the manner detailed herein and or as further detailed in any auction direction forms or otherwise in writing. AGENTS AUTHORITY The Seller authorises the Agent to accept the deposit or other moneys d ue to the Seller under the contract for the sale of the Property and the Agent will hold any moneys received in accordance with the provisions of the Agents Act 2003. The Agent will be entitled to receive a deposit guarantee in lieu of a cash deposit The Agent is not required to communicate all offers. The Seller irrevocably authorises the Agent to transfer to itself from ti'ust all professional fees and expenses and all claimed interest and costs upon settlement The Agent is not authorised to sign a Contract for the Sale of the Property unless expressly instructed and authorised in writing by the Seller to do so either prior to auction or othennrise for a Contract by private treaty. CON11NUING AUTHORITY If there is a continuing authority period, it starts on the day after the day on which the exclusive authority ends and 3.1.1 lasts for the number of days specified in the Term of Appointment, unless cancelled, and 3.1.2 on the day it starts, the Agent's exclusive appointment ends. The Seller may caan the continuing authority period at any time by written notice to the Agent If the continuing authority period is cancelled, any Professional Fee remains payable. FORM OF AGENCY The Agent will be the Sole Agent (unless the initial appointment is as a General Agency) for the sale of the Property during the Term. The Agent may determine this Agency agreement at any time. The Seller will not be entitled to withdraw the Sole Agency granted during the term agreed unless the Agent is in fundamental breach of this Authority and is not using its reasonable endeavors to market the Property alter prior written notice from the Seller. If there is a dispute as to this clause and entitlements the parties will arbitrate the dispute pursuant to clause 16. If t he Seller was not entitled to terminate then the Agent will be paid damages by the Seller for wrongful termination to be determined by the arbitrator. A General Agency will entitie the Agent to promote the Property and introduce or procure a Buyer for the Property and the Seller will in all things assist the Agent in the Agent's endeavors to sell the Property. The Seller warrants that no otheragent will be appointed during the period of any Sole Agency unless othenrvise specified herein. WARRANTY BY AGENT The Agent will at all times act in the best interests of the Seller and comply with the provisions of the Agents Act 2003 and ethics. DEEMED SALE The Agent will be deemed to have elfected a sale of the Property; if during the term of the Agency the Agent introduces a prospective Buyer who does not settie on the Property as a result of the Seller failing to enter into a contract for an amount at or above the Seller's Selling Price in the Schedule or at (or more than) the price later agreed to be offered or the auction reserve price (for whatever reason), or failing to use its best endeavors as required by Clause 14 of this Authority; or if the Seller sells to a Buyer not introduced by the Agent which sale is entered into during the Sole or Exclusive Agency, and which sale is not effected by the Seller exercising its right to sell privately; or if during the term of the Agency the Agent introduces a Buyer who enters into a contract after the expiry of the Sole or Exclusive Agency but before the Seller enters into another Sole or Exclusive Agency with another Agent. In the event there is a transfer of the benecial ownership of the Property to a Buyer introduced or procured by the Agent and the transfer is effected by some means other than a transfer of legal ownership from the Seller, then that transfer of the benecial interest will be deemed a sale effected by the Agent and in particular but without limiting the effect thereof in the event one of the Sellers is a corporation, a transfer of the shares of that corporation giving control to another will be deemed a transfer of that Seller's interest in the Property; in the event one of the Sellers owns its interest in the Property as trustee, a transfer of the beneficial interest of that trust will be deemed to be a transfer of that Seller's interest in the Property; and the Agent's Professional Fee will be calculated by reference to the 'Professional Fee' in the Schedule and calculated to the value of the Property to the extent of the benecial interest transferred. TRANSFER NOT FOR MONEY Should the consideration to be given by a Buyer be expressed other than in monetary terms, the Professional Fee will be calculated by reference to the scale or amount under 'Professional Fee\" in this Authority. VALUATION For the purposes of clauses 7 and 8 above and in the absence of agreement between the parties as to the value of the Property, either party may request the President of the Society to appoint a valuer to ascertain the value of the Property. The costs of the valuation will be borne equalty by the parties. EXPENSES AND PROFESSIONAL FEE The Agent is authorised by the Seller to incurthe expenses set out in this Authority. The Agent may expend more on one expense than another in the Agents discretion but such that the total is not exceeded without the written consent of the Seller. The Seller will pay the amount of the expenses and Professional Fee within 1' days after invoice, or at settlement whichever is the earlier, and in the event they are not paid then the Agent may issue a written notice by letter or other form requiring immediate payment. In the event any moneys demanded by a notice issued pursuant to clause 10.2 are not paid within the time stipulated in the notice, those moneys will then upon such default become a charge over the Property and any other real property the Seller may own from time to time until paid in full to the Agent. The moneys will also be a charge over the settiement proceeds arising from the sale of the Property. The Agent will not be entitled to caveat the Property or such other real property owned by the Seller to secure payment of the moneys due under the charge herein granted but may apply to register a mortgage over any land owned by the Seller to secure the charge and the Seller will consent and not object if the debt is due and outstanding even pending any dispute between the parties. All costs incurred by the Agent in collecting the moneys demanded in the notice issued pursuant to clause 10.2 including stamp duty and all legal costs of any applications and recovery costs on a solicitor client basis will be payable by the Seller and the Agent will be entitied to $300 for each notice issued. The Agent may receive rebates on advertising and associated expenses from third parties as disclosed under the Act and the Seller acknowledges and agrees the Agent will not be required to account for any disclosed rebates. The Seller acknowledges any rebates are in addition to the Professional Fees payable. Any prepaid expenses not expended by the settlement date will be repaid to the Seller. Notwithstanding the above, the Seller agrees to pay all expenses and Professional Fees no later than settlement if the property is sold. The Seller will pay interest on any outstanding monies payable to the Agent calculated at 10% per annum. reaforms.mm.au Raining - 4008A EXCLUSIVE RESIDENTIAL SELLING AGENCY page 6 10.7 In the event GST is imposed on any service in respect of this Agency agreement, any amount payable by the Seller to the Agent or a third party (for all other goods and services to include advertising) in respect of those services will be increased by the rate at which GST is imposed at that time. The Seller will pay the increased amount to the Agent at the same time payment is due under this Agency agreement to the Agent for the services and the Agent will render a tax invoice. 11 FORM AND MANNER OF CONTRACT 11.1 The Agent will offer the Property for sale in the form of Contract complying with the Civil Law (Sale of Residential Property) Act 2003 as varied from time to time and complete the parts allowable under the Act. 11.2 The Agent will not offer the Property for sale u nless all required documents are prepared including the proposed Contract of Sale and they are available for inspection by any prospective Buyer. 11.3 The Agent will not participate in exchange of final Contracts unless expressly authorised by the Seller or its advised lawyer under section 64 of the Act. 12 INDEMNITY TO AGENT The Seller indemnifies the Agent against all costs, expenses, damages and loss (including any loss of fees) suffered by the Agent and holds harmless the Agent against claims, demands, actions and losses arising from the Agent acting for the Seller save and except to the extent that the costs, expenses, damages and losses are a result of the negligence of the Agent. The Seller indemnies and holds harmless the Agent for any loss or damage whatsoever to the Property or to any goods and chattels of the Seller or any third party in or on the Property arising from the act or omission of any third party during any inspection of the Property or during the auction. The Seller further warrants the Seller has or will provide suitable insurance cover for the Property, the Sellers (or any tenant's) personalty therein and for all persons invited onto the Property for the purpose of offering the Property for sale directly or indirectly. 1 3 SELLER'S WARRANTIES 13.1 The Seller warrants the Seller has good authority and full capacity to sell the Property. 13.2 The Seller warrants all information detailed in this Agency agreement and othenlvise provided to the Agent is accurate and correct. The Seller will promptly advise the Agent of any changes to the information given which comes to the Seller's knowledge or attention. 13.3 The Seller warrants there is no other information material to the sale which the Seller is aware of and should be brought to the attention of the Agent and all equipment and operating xtures are in good working condition. 14 BEST ENDEAVOURS In the event the Agent introduces a prospective Buyer offering to purchase the Property at or above the price to be offered, the auction reserve price or such lower price as may be agreed with the Seller, the Seller undertakes to enter into a contract of sale of the Property. The Seller further undertakes to observe, perform and carry out any contract of sale of the Property effected by the Agent and will use its best endeavors to ensure that settiement occurs. 1 5 TERMINATION Where the Seller has contracted to purchase another property marketed by the Agent and that contract is terminated for any reason the Seller may withd raw the Property from sale and terminate this Agency agreement. 1 6 ARBITRATION Disputes involving the sum of $60, 000 or less will be determined by an independent arbitrator appointed by the President or CEO of the ACT Law Society or the Institute of Arbitrators or similar organisation in ACT at the request of either party. The determination of the arbitrator will be nal and binding between the parties and the provisions of the Commercial Arbitration Act 201'? as amended will apply. The costs of the arbitration will be paid by the partyls as directed by the arbitrator. The arbitrator will advise of procedures and will request payment of reasonable fees prior to acting and in default of payment may refuse to act The parties will have no right of appeal save for manifest error to apply with respect to a question of law u nder the Commercial Arbitration Act 201 7applicable. 1? AFI'ER AUCTION AUTHORITY BECOMES STANDARD PRIVATE TREATY AUTHORITY If this Authority is for and specifies an Auction Sale program then immediately after the Auction or if the property is withdrawn from Auction by the Seller and is not an Auction Authority then this Agency agreement automatically becomes a standard Agency agreement for Sale by Private Treaty and is not an Auction Authority from that time onwards. INTERPRETATION Unless this Agency agreement othennrise req uires 'the Act' means the Civil Law (Sale of Residential Property) Act 2003 as amended from time to time and or the Agents Act 2003. 'the Agent' means the Agent registered under the Act and any employee or representative of the Agent. 'Commission' means Professional Fee as referred to and dened herein. 'Contract' means the sale agreement between a transferee and the Seller for the transfer of the Property. 'Corporation' means a corporation as dened under the Corporations Act. 'Exclusive Agency means the Agent is the only agent appointed and the Seller does not retain the right to sell privately. 'Expenses' means those costs set out above in Sellers Marketing Costs to include any interest, costs and other expenses properly payable in addition to any GST payable for those services. 'General Agency' means more than one Agent may be appointed and the Seller may act 'GST' means A New Tax System (Goods and Services Tax) Act 1999 or any other Act or Regulation amending, replacing or directly associated with that Act and any goods and services or similar tax imposed thereby. 'Land' and 'Property' means the freehold land (including a unit), leasehold land, or community titie, together with all buildings and other improvements thereon the subject of this Agency agreement 'Professional Fee' means that amount agreed as the Professional Fee calculated on the gross price excluding any GST and includes any Administration Fee payable and all expenses payable and any interest accrued. 'Buyer' includes the Buyer's assignee or nominee disclosed. 'Servioes' has the same meaning as supply for all purposes of the GST including supply as dened therein and to mean and include Professional Fees and all other fees and costs payable under this Agency agreement 'Settlement' means the date referred to in any contract for the sale of the Property or upon a transfer of the Property. 'Sole Agency' means the Agent appointed is the only appointed Agent for the period. 'Statutory Forms' means and includes all forms detailing the property searches required to be served and delivered under the Civ Law (Sale of Residential Property) Act 2003 (as amended) or the Act. 'the Society' means the Society of Auctioneers and Appraisers Incorporated. A reference to an Act of Parliament or to a section of an Act includes any amendment thereto or reenactment thereof for the time being in force. Where two (2) or more persons are named in this Agency agreement as the Seller or the Agent their liability under this Agency agreement is joint and several. PRIVACY STATEMENT The Agent used personal information collected from you to act as your Agent and to perform its obligations under this Agreeme nt The Agent may also use such information collected to promote the services of the Agent andlorseek potential clients. The Age nt may disclose information to other parties including media organizations on the internet to potential tenants, or to clients of the Agent both existing and potential as well as tradespersons, stratalcomm unity managers, government and statutory bodies and to other parties as required by law. The Agent will only disclose information in this way to other parties as required to perform their duties u nder this Agreement for the purposes specified above or as othenvise allowed under the Privacy Act 1988. If you would like to access this information you can do so by contacting the Agent at the address and contact numbers in this Agreement You can correct any information if it is inaccurate, incomplete or outofdate. Real estate and tax law requires some of this information to be collected. realorms.mm.au Raining - 4008A
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