How can you requisition a title?
Under an agreement for sale and purchase of land, a requisition of title is a request made by the purchaser to the vendor to ‘make good’ any defects to the title of a property before settlement. The purchaser may have a right to requisition the title where there is a serious defect or encumbrance that is not notified or included in the agreement.
The purchaser may requisition the title within 10 working days from the date of the agreement. If a requisition is not made within this period, the purchaser is deemed to have accepted the title. Once the requisition is raised, the vendor can remove the defect before settlement or if the vendor does not comply with the requisition, the purchaser can cancel the agreement or proceed regardless.
Defects to a title (in the case of a cross lease) may include alterations to the external dimensions of a leased building that is not included on the current flats plan.
We suggest obtaining legal advice when purchasing a property.
Why do we pay rates?
Rates provide income to councils around NZ to help fund services and facilities that benefit the public. Rates are collected for the overriding purpose of helping and improving local communities. Some of these services may include:
- road works, and new infrastructure
- waste collection, and water supply
- maintaining public grounds
- running community facilities such as libraries
- protection of buildings and general promotion for safer communities
- property information and advice
Councils calculate the annual rates for each property based on their respective valuations (including land and buildings) and the use of the property. Generally, these valuations are based on the current market value and are usually reviewed every three years. The use of a property generally falls into one of the three main categories being rural, commercial or residential.