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The importance of the chattels list.

Sam inherited a small investment property from his parents approximately five years ago. The property was tenanted by long-term tenants who had lived in the property for over a decade.

The tenants paid market rent and always took great care of the property. Sam managed the property himself as he lived nearby, but he only ever visited the property a few times.

Sam was offered his dream job which was based in the North Island. He packed his bags and started his new adventure without a second thought.

After a year or so, the property market really started to take off. Sam decided to make the most of it and sell the investment property to make a large profit. He contacted a local real estate agent and began the marketing process.

Sam informed the tenants that he was putting the property on the market and would try his best to find a purchaser who would keep the property tenanted. After a few weeks of marketing, it appeared that the majority of the potential purchasers wanted to purchase the property as their home, rather than to rent out. Unfortunately, this meant that the long-standing tenants would have to move out.

Sam secured a great unconditional offer which was to be sold with vacant possession. Sam gave the appropriate notice to the tenants to vacate the property. The tenants were not happy about this, as they were under the impression that they would stay on as tenants for the new owners.

The tenants reluctantly began to pack all of their belongings as the settlement date quickly approached. This included the curtains, the dishwasher and the garden shed, all of which they had set up themselves.

When the purchasers carried out their pre-settlement inspection they advised their solicitor that these items had been removed. These items had been listed on the chattels list of the Agreement for Sale and Purchase and were, therefore, part of the sale.


When completing the chattels list on an Agreement for Sale and Purchase, it is important to ensure none of the items listed belong to the tenants. 
Contact details:

Sacha Peterson, Property Team.
09 915 4397


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