What is a Section 32 statement and what should you be aware of?

What is a section 32 statement feature

Whether you’re buying or selling a house, you’ll want to familiarise yourself with the Section 32 statement.

In the course of any property transaction, whether you’re the buyer or the seller, you’ll come across a document known as a Section 32. This document, also known as a Vendor’s Statement, is provided by the seller and must be given to the property buyer. It contains information about the land being sold and the property title.

What is a Section 32?

A Section 32, or Vendor’s Statement, is a document that discloses any information that could affect the land being sold in a property transaction. The document ultimately serves to disclose to the buyer information that could impact their decision to purchase the property.

The Section 32 contains information about the land and the title of the property being sold. It provides the buyer with information that wouldn’t be readily obtainable by inspecting the property. Below are seven pieces of information usually disclosed in a Section 32 statement:

1. Zoning

A Section 32 must contain information about how the land is zoned and how the local council will allow it to be used. This is vital information for buyers, as it will define whether the land is available for residential, commercial or mixed-use purposes.

2. Outgoings

This provides information on the rates payable on the land. Sellers are not required to give an itemised breakdown of any outgoings, but must provide an overall figure.

3. Title

A Section 32 must include a Certificate of Title, which will give a detailed description of the property being sold and verify that the vendor has the right to sell the land.

4. Land use

The document must also disclose any easements, covenants or restrictions on land use. An easement is a right for the use of the land by a third party. For example, the council may have an easement for the use of a drainage or sewerage pipe. A covenant is a restriction on how the land may be used. For example, a covenant may state that the owner promises not to construct more than one dwelling on the land. The Section 32 also must disclose if the land has road access.

5. Bushfire danger

The Section 32 must disclose whether the land is in a bushfire-prone area.

6. Building permits

The Section 32 must disclose the particulars of any building permits issued within the last seven years.

7. Proposals

A Section 32 must make buyers aware of any approved public authority or government proposals that could affect the land.


Who needs a Section 32?

The Section 32 is provided by the vendor to the purchaser in a property transaction. The vendor must provide a Section 32 in order for the transaction to reach settlement.

For sellers, it’s important to ensure that the Section 32 provided to the buyer is a full and accurate representation of everything affecting the land on which the property sits. Failure to disclose any of the information required in a Section 32 could see your property transaction fall apart. A buyer could take legal action against a vendor if the Section 32 is inaccurate or incomplete.

For buyers, it’s important to pay close attention to all the details disclosed in the Section 32. This will ensure that the property you’re buying meets your needs and that you won’t be in for any unwelcome surprises regarding the land on which your property sits.

What’s not in a Section 32?

Almost as important as the information that must be included in a Section 32 is the information that’s not included.

A Section 32 does not have to disclose anything about the condition of the building or buildings on the land. While it does have to disclose any services that aren’t connected, such as water, gas or electricity, it doesn’t have to provide information about whether those services are available. If you’re a buyer, you’ll want to do your own research into the areas not covered by a Section 32.

How do I obtain a Section 32?

A Section 32 is usually prepared by a conveyancer or solicitor. If you are a buyer, the completed Section 32 will be provided to you by the seller. If you are the seller, a conveyancer or solicitor can complete the form for you. While there are DIY conveyancing kits available that include blank Section 32 documents, it’s often wise to have the document prepared by a professional.

Section 32 documents are extremely detailed and can be time-consuming to complete. Even a solicitor or conveyancer may take up to two weeks to complete a Section 32. This is because the searches required to find information about the land being sold can often take time. If you’re selling your house, you’ll want to enlist the aid of a conveyancer or solicitor to prepare the Section 32 well ahead of the time you expect to settle the transaction.

Frequently asked questions about Section 32 Statements

Need a home loan? Start comparing

Rates last updated October 21st, 2018
$
Loan purpose
Offset account
Loan type
Your filter criteria do not match any product
Name Product Interest Rate (p.a.) Comp Rate^ (p.a.) Application Fee Ongoing Fees Max LVR Monthly Payment Short Description
3.59%
3.59%
$0
$0 p.a.
80%
Enjoy flexible repayments, a redraw facility and the ability to split your loan. Plus, pay no application or ongoing fees.
3.57%
3.58%
$0
$0 p.a.
80%
Get a very low interest rate and pay fewer fees. Enjoy a fast online application process and add a 100% offset account for $10 a month.
3.59%
3.61%
$0
$0 p.a.
90%
Get a low interest rate loan with no ongoing fees. Plus you can make extra repayments and free redraw online. Available with just a 10% deposit.
3.64%
3.66%
$0
$0 p.a.
80%
A simple mortgage with a competitive interest rate and no application or monthly fees. Borrow up to $2 million from a convenient online lender.
3.69%
3.73%
$600
$0 p.a.
95%
A home loan with no ongoing fee and a redraw facility that you can borrow up to 95% LVR.
3.68%
3.82%
$0
$10 monthly ($120 p.a.)
80%
Get double Velocity Frequent Flyer Points with this mortgage to spend on flights and more (for a limited time, subject to eligibility requirements). Redraw facility available on this variable rate home loan. Competitive interest rate.
3.59%
3.62%
$0
$350 p.a.
90%
Get a low variable interest rate and buy a property with just a 10% deposit. 100% offset account attached.
3.54%
3.57%
$0
$0 p.a.
80%
A competitive variable essentials interest rate product aimed at refinancers looking to switch to a lower rate.
3.69%
4.12%
$0
$395 p.a.
80%
Unlock a range of savings with this competitive package home loan offer. Offset account and redraw facility included.
3.49%
4.57%
$0
$395 p.a.
90%
Loans over $150k get a discount off an already low fixed rate. Available for NSW, QLD and ACT residents only.

Compare up to 4 providers

Aussie Home Loans Logo

Enter your details below to receive an obligation-free quote from an Aussie home loans expert today

By submitting this form, you agree to the Finder Privacy and Cookies Policy and Terms of Use

Applications are subject to approval. Conditions, fees and charges apply. Please note that you need to be an Australian citizen or permanent resident to apply.

Credit services for Aussie Select, Aussie IQ and Aussie Optimizer products are provided by AHL Investments Pty Ltd ACN 105 265 861 Australian Credit Licence 246786 ("Aussie"), and its appointed credit representatives. Credit for Aussie Select products is provided by Residential Mortgage Group Pty Ltd ACN 152 378 133 Australian Credit Licence 414133 (“RMG”). RMG is a wholly-owned subsidiary of the Commonwealth Bank of Australia ABN 48 123 123 124 AFSL and Australian Credit Licence 234945. Credit for Aussie Optimizer products is provided by Perpetual Limited ABN 86 000 431 827 (Lender). Credit for Aussie IQ is provided by Macquarie Bank Limited ABN 46 008 583 542 AFSL and Australian Credit Licence 237502. Home loans issued by the Lender are serviced by Macquarie Securitisation Limited ABN 16 003 297 336, Australian Credit Licence 237863 (MSL).

Aussie is a trade mark of AHL Investments Pty Ltd. Aussie is a subsidiary of the Commonwealth Bank of Australia ABN 48 123 123 124. ©2018 AHL Investments Pty Ltd ABN 27 105 265 861 Australian Credit Licence 246786.

By submitting this form, you agree to the finder.com.au Privacy and Cookies Policy, Terms of Use, Disclaimer & Privacy Policy and the Aussie privacy policy.

Aussie Home Loans is both a lender and a mortgage broker, and offers a range of services.

  • FREE Suburb and Property Report with every appointment.
  • Access 3,000+ loans from over 20 lenders.
  • Get expert help with your loan application, including paperwork and eligibility.
  • Over 1000 brokers who are able to help you in your local area.

Aussie Home Loans Lender Logos

The Adviser’s number 1 placed mortgage broker 5 years running (2013-2017)

Adam Smith

Adam has more than five years of experience writing about the Australian home loan market.

Was this content helpful to you? No  Yes

Related Posts

Ask an Expert

You are about to post a question on finder.com.au:

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • finder.com.au is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked

Finder only provides general advice and factual information, so consider your own circumstances, or seek advice before you decide to act on our content. By submitting a question, you're accepting our Privacy & Cookies Policy and Terms of Use, Disclaimer & Privacy Policy.

4 Responses

  1. Default Gravatar
    christineJanuary 30, 2018

    Hi. Is it correct that in Victoria a sec 32 is only valid for 3months?

    • finder Customer Care
      JonathanFebruary 23, 2018Staff

      Hi Christine, thanks for your inquiry.

      Can we ask where you heard this from? We couldn’t find anything about Section 32 only being valid for 3 months from our research.

      Thanks,

      Jonathan

  2. Default Gravatar
    markJune 11, 2017

    Hey Adam!

    How goes?

    Can I get Section online? I could only find one place and they wanted $50 for a copy.

    Cheers!
    Mark

    • Default Gravatar
      JonathanJune 11, 2017

      Hi Mark!

      Thanks for the comment.

      Obtaining Section 32 Statement thru a licensed conveyancer is possible. You may inquire with your local consumer services or affairs for the public register of conveyancers online, as they vary in each state.

      Alternatively, you may also our list of DIY conveyancing kits listed on this page.

      Hope this helps.

      Cheers,
      Jonathan

Ask a question
Go to site