Obtaining a Land Information Memorandum (LIM) report can be a crucial step in purchasing a property.
LIM reports are provided by the local Council. You can find out how to apply for a LIM report by visiting the local Council website. Some Councils have an online application and payment process
Things to look out for when reading a LIM report:
- What the authorised planning uses for the property are, and whether there are any
proposals to change these;
- Whether there are any difficulties in finding a firm footing for foundations;
- Whether the Council has raised any requisitions in relation to the building or its use;
- Whether the area is prone to issues such as flooding, erosion or subsidence;
- Whether there are any rates arrears for the property;
- What Consents and Code of Compliance Certificates have been issued for building work
completed at the property;
- Whether the property is connected to a Council sewer;
- Whether the property is connected to town supply water.
Obtaining a satisfactory LIM report can be included as a condition in your Agreement for Sale and Purchase. Make sure you allow at least 15 working days to give you sufficient time to receive and
consider the LIM report.
A LIM report must be supplied to you within 10 working days of the Council receiving your application. There will be a fee for the LIM report and this varies from Council to Council. Most Councils also offer an urgent LIM report service with a reduced timeframe for an additional cost. The purpose of the LIM report is to give you all the information the Council has on the property in a readily accessible form so that you, as the purchaser, can make an informed decision about whether you wish to proceed with the purchase.
A LIM report is an important condition in an Agreement for Sale and Purchase. If you have any doubt, you should always talk to us as soon as possible.