When you are buying a house it’s important to have all the information about a property so you can make the best decision possible. A LIM is a really useful document that you can help you in your decision making.
A LIM (Land Information Memorandum) is a report you order from the Council. It gives you all sorts of helpful information about a property, such as building consents, what the land has been previously used for, and its zoning.
If you’re looking at buying a property you should get a LIM and make your purchase conditional on being happy with what the LIM contains. We generally make one available for all of our listings.
LIMs aren’t the easiest of documents to read, and they can be really long. So here are our top tips for making sense of a LIM.
Sometimes the seller will have an old LIM report lying around and they might give it to you to read. By all means look at it but make sure you order an up-to-date LIM and read that too. LIMs get out of date very quickly. Don’t rely on an old LIM.
Potential red flags can be pretty obvious from reading the summary pages. If you see anything that seems concerning, highlight it and tab the page with a post-it.
Read over the main part of the LIM a couple of times. Check these things:
Remember to highlight anything that seems concerning to you.
Does the property have any of these features?
If yes, then you need to check that the property has the right permits and consents for these features. If there are any differences between the property and the features described on the LIM, have a chat to the Council and the vendor to try and get to the bottom of these differences.
This is really important. Yes, paying a lawyer can be a pain, but for many of us buying a property will be our biggest investment, so now is not the time to scrimp on getting legal advice. Your lawyer will be able to talk to you about any of the issues you’ve highlighted as well as any other issues they notice. This will give you peace of mind that you’ve done your homework on the property.
You need to have a serious think about whether any problems highlighted by the LIM could affect the way you use and enjoy the property, and the value of the property down the track.