A Buyer's Guide to Purchasing Off the Plan in New South Wales
Jamie Lee Pouwhare • October 22, 2025
Purchasing a property off the plan - before construction is complete- can offer attractive benefits, particularly in a rising market. However, it also carries distinct legal and financial risks.
Understanding the regulatory framework and contract terms is essential to ensure your interests are protected.
This guide outlines the key considerations under New South Wales property law and how a solicitor can help safeguard your investment.
1. Understanding "Off the Plan" Purchases
In NSW, buying off the plan means entering into a contract to purchase a property that is yet to be built or is still under construction. These contracts are governed primarily by the Conveyancing Act 1919 (NSW), and the Conveyancing (Sale of Land) Regulation 2022 (NSW), which impose specific disclosure obligations on developers to promote transparency and fairness.
Developers must provide a Disclosure Statement that includes the draft strata plan (or community plan), proposed by-laws, a schedule of finishes and any other prescribed information.
If there are any material changes before settlement, the purchaser may have rights to rescind or claim compensation under Part 4, Division 10 of the Conveyancing Act 1919 (NSW)
2. Secure a Fair Purchase Price
When purchasing off the plan, you are locking in today's price for a property that may not be completed for several years. This can be advantageous if the market rises- but problematic if property values decline before settlement.
Conduct thorough market research and compare the contract price with similar completed properties in the area. Consider engaging a qualified valuer or property advisor to ensure the purchase price reflects fair market value at the time of exchange.
3. Be Aware of Variance Clauses
Many off-the-plan contracts contain variance clauses that allow developers to make changes to the layout, finishes or size of the lot. Some variances are reasonable and necessary, but broad clauses can significantly alter what you ultimately receive.
Under Section 66ZP of the Conveyancing Act 1919 (NSW), developers must notify purchasers in writing if a change occurs to a material particular disclosed in the contract.
If the change is likely to adversely affect the use, enjoyment, or value of the property—such as a reduction in lot size, alteration to layout, or downgrade in finishes—the purchaser may have the right to rescind the contract within 14 days of receiving notice.
A property solicitor can review these clauses and ensure your contract provides fair protection if any material variations arise.
4. Review the Developer’s Credentials
Your confidence in the transaction depends largely on the developer’s reputation and financial standing. Research their past projects, construction record, and history of completing developments on time. NSW Fair Trading and ASIC databases can help verify credentials and identify any past disputes or insolvencies.
5. Understand Fixtures, Fittings, and Finishes
Off-the-plan marketing materials can be aspirational. Always review the schedule of finishes included in the Disclosure Statement and confirm that the listed fixtures and appliances match what was promised. Ask for specifications and model numbers in writing.
If substitutions are proposed, the developer must provide written notice under the Regulations—and you may have recourse if the change is not of equal or better quality.
6. Clarify Floor Plans and Common Property
Carefully review the draft plan to confirm:
- Lot boundaries and room dimensions
- Allocated car spaces and storage areas
- Access to common facilities and shared property
In strata developments, these details determine ownership rights and levies under the Strata Schemes Management Act 2015 (NSW). A solicitor can ensure the plan accurately reflects what you are purchasing.
7. Deposits
When purchasing off the plan in New South Wales, your deposit and any instalments are protected by strict legislative safeguards.
Under Section 66ZT of the Conveyancing Act 1919 (NSW), any money paid by a purchaser under an off-the-plan contract—whether as a deposit or progress payment—must be held securely in a trust or controlled money account until settlement.
This means your money cannot be accessed by the developer during construction, reducing the financial risk if the project is delayed, altered, or does not proceed. Any interest earned on invested funds must also be returned to the trust account, ensuring transparency and security throughout the process.
8. Legal Review Before You Sign
An off-the-plan contract is complex and heavily weighted in favour of the developer. It may include special conditions relating to construction delays, sunset dates, and settlement adjustments.
A solicitor experienced in NSW property law can:
- Review and explain contract terms in plain English;
- Negotiate fairer variance or delay clauses;
- Verify compliance with statutory disclosure requirements; and
- Identify potential risks before you are bound by the agreement.
How Dawson Pouwhare Legal & Conveyancing Can Help
Buying off the plan can be an excellent opportunity—but it demands careful legal oversight. At Dawson Pouwhare Legal & Conveyancing, we provide comprehensive advice and representation for purchasers, including:
- Reviewing and negotiating off-the-plan contracts;
- Ensuring compliance with the Conveyancing Act 1919 (NSW) and related Regulations;
- Liaising with developers and agents for construction updates; and
- Protecting your contractual rights throughout the process.
Speak to a Solicitor Before You Sign
Before committing to an off-the-plan purchase, ensure you fully understand your rights, risks, and obligations under NSW law.
Contact Dawson Pouwhare Legal & Conveyancing for clear, practical advice to help you make a confident, informed decision.
(02) 4954 8666
www.dawsonpouwhare.com.au
Your trusted property solicitors in Lake Macquarie and Newcastle, protecting your interests in every transaction.
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A financial agreement is a formal document made between couples in a marriage or de facto relationship, setting out how finances and assets will be handled. In some ways, a financial agreement is similar to what some people would call a "prenup", but can be made before, during or following the end of a relationship. What Issues Can Be Covered These agreements may outline arrangements for: The division or sale of property The way in which parties to an agreement will split or retain their superannuation, and Ongoing financial support such as spousal or child maintenance They do not cover parenting matters or decisions about children's care, as those fall under separate legal processes.  Timing of a Financial Agreement Couples have the option to enter into a financial agreement: Before a relationship becomes formalised (for example, prior to marriage) During the relationship After separation or divorce Who is Eligible? A financial agreement can be used by: Married couples Same-sex couples De facto partners Making the Agreement Binding To ensure enforceability, both parties must: Obtain independent legal advice and financial advice Properly sign the agreement This safeguard ensures fairness and full understanding of the terms. Why Enter into One? The purpose behind a financial agreement varies: During a relationship - to clarify how assets will be divided should the relationship end After separation - to avoid costly and stressful court proceedings and provide certainty These agreements may provide peace of mind, reduce disputes, and save both time and money. A Binding Financial Agreement can also save you and your former partner significant costs by potentially avoiding Stamp Duty on any property transferred between you. Steps to Finalise the Agreement Once negotiations are complete and both parties have obtained independent legal advice, signing the agreement makes it binding. Alternatively, parties may also choose to apply for consent orders through the court, which formally validates the agreement and provides the same enforceability as a court judgment. If Your Partner Breaches the Agreement If one party does not comply, Dawson Pouwhare Legal and Conveyancing can assist by negotiating enforcement or, where necessary, commencing court proceedings to ensure compliance. Setting Aside of Cancelling an Agreement A financial agreement may be altered or invalidated if: There was fraud, non-disclosure, or undue pressure at the time of the signing The agreement was created to defeat creditors A significant change in circumstances creates hardship (e.g. a child's injury or care needs) The terms have become impractical or unenforceable In such cases, the court has the power to set aside or vary the agreement. Why Work With Dawson Pouwhare Legal and Conveyancing? Because of their technical nature, financial agreements require experienced legal drafting and advice. Our team can: Explain your rights and obligations clearly Negotiate terms with your partner or their lawyer Draft agreements that comply with strict legal requirements Work alongside financial experts where additional advice is needed If an agreement is disputed or terms break down, we can also guide you through court options. Contact Our Family Law Team If you are considering a financial agreement, or if you are unsure about one you have already signed, Dawson Pouwhare Legal and Conveyancing can provide tailored advice. Speak with one of our experienced family lawyers today to dicuss the best way forward. Contact us today on (02) 4954 8666.
When a marriage or de facto relationship ends, dividing property can be stressful and expensive. One key cost that separating couples in New South Wales should be aware of is stamp duty. Fortunately, under the Duties Act 1997 (NSW), there are stamp duty exemptions for property transfers after separation that can save you thousands of dollars. Stamp Duty Exemptions for Marries Couples and De Facto Relationships Under Section 68 of the Duties Act 1997, stamp duty is not payable on the transfer of matrimonial property if the transfer is made: To a party to the marriage; or To a child (or children) of either party. A similar exemption also applies to the breakdown of a de facto relationship under sections 68(1A) and 68(2). However, to qualify for the exemption, the transfer must be documented: Under a Binding Financial Agreement (prepared in accordance wth the Family Law Act 1975 (Cth)), or Through an order of the Court This ensures the transfer is legally valid and recognised by Revenue NSW. Motor Vehicle Transfers After Separation Stamp duty exemptions also extend to motor vehicle transfers where (s267(6)): The vehicle was registered in the name(s) of the parties in the marriage or relationship; The vehicle formed part of the matrimonial property; The transfer occurred under a Binding Financial Agreement or Court Order; and The Chief Commissioner is satisfied the transfer was made to divide property following the breakdown of the marriage or de facto relationship. Why These Exemptions Matter The savings can be susbtantial. For example, with the median house price in Newcastle and surrounding areas being around $940,000 - the stamp duty payable would ordinarily be aroound $37,000. By properly documenting the transfer under a Binding Financial Agreement or Court Order, couples can avoid this cost entirely. While preparing a Financial Agreement or obtaining Court Orders involves legal fees, these are usually far less than the stamp duty payable, making it a financially smart decision. Current NSW Stamp Duty Rates
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Buying your first home is an exciting milestone, but it can also be one of the most overwhelming financial and legal decisions you’ll ever make. In New South Wales, the process is layered with contracts, statutory requirements, and a range of government schemes designed to help first-time purchasers. As property solicitors, we see many first home buyers feeling uncertain about what to expect and what pitfalls to avoid. This guide outlines some of the key considerations you should keep in mind when taking your first step onto the property ladder in NSW.
If you've recently lost a loved one and have been names as an executor in their Will, you may be wondering: how long does probate actually take in NSW? While probate is just one part of administering a deceased estate, understanding the timeline - and potential delays- can help reduce stress during this difficult time and ensure you meet your responsibilities correctly and efficiently. At Dawson Pouwhare Legal & Conveyancing, we guide executors every step of the way. Here is what you need to know.
Obtaining probate is a major legal milestone in the administration of a deceased estate. It confirms that the Will is legally valid and empowers the executor to manage the estate. But once probate is granted, many executors are left asking: "What happens next?" At Dawson Pouwhare Legal & Conveyancing, we guide executors through every stage of estate administration. Below is a breakdown of the typical steps following the grant of probate - and the common issues to look out for along the way.
When a loved one passes away, dealing with their estate can be complex—especially when it comes to superannuation. Many people are unaware that superannuation does not automatically form part of a deceased’s estate. Instead, it is distributed in accordance with the fund’s rules, trust deed, and applicable superannuation laws. This distinction can lead to significant legal complications if not planned for properly. In this blog, we explore the key legal issues surrounding superannuation death benefits, including binding nominations, discretionary trustee decisions, and potential disputes. Does Superannuation Form Part of the Estate? Under superannuation law in Australia, a person’s superannuation is held in trust and managed by the trustee of their super fund. As such, superannuation is not automatically covered by a person’s will. Unless it is paid to the estate via a valid nomination, the trustee decides who receives the death benefit. This means that wills alone are not sufficient to deal with superannuation entitlements. Binding vs Non-Binding Death Benefit Nominations One way to direct the payment of superannuation is through a Death Benefit Nomination. These come in two main forms: Binding Death Benefit Nomination (BDBN) Must be valid and current (typically lapses every 3 years unless non-lapsing). Must nominate a dependant (as defined under the Superannuation Industry (Supervision) Act 1993 (Cth)) or the legal personal representative (LPR). If valid, the trustee is legally required to follow the nomination. Non-Binding Nomination Provides guidance to the trustee but is not binding. The trustee ultimately decides how the death benefit is paid, which may differ from the nomination. Who Is Considered a Superannuation Dependant? Under Section 10 of the SIS Act, a dependant includes: A spouse or de facto partner (including same-sex partners), Children of any age (including stepchildren in some cases), Anyone in an interdependency relationship with the deceased, Financial dependants. Nominations made to people outside these categories—such as parents, siblings or friends—may be invalid, potentially triggering disputes. Common Legal Complications Lapsed or Invalid Nominations A binding nomination that has lapsed or incorrectly names a non-dependant can result in the trustee exercising discretion, often contrary to the deceased's intentions. Disputes Among Beneficiaries Competing claims from spouses, ex-spouses, children, or other dependants can lead to lengthy and costly disputes through internal dispute resolution or the Australian Financial Complaints Authority (AFCA) - Super Paid Outside the Estate When the trustee pays the benefit directly to the dependant (rather than to the estate), this amount is not governed by the will, which can cause issues in blended families or where unequal distributions are expected. Tax Implications Death benefits paid to non-dependants (as defined under the Income Tax Assessment Act 1997 (Cth)) may be taxed up to 32%, reducing the benefit received. Planning Ahead: How to Minimise Risk Review and update BDBNs regularly – ensure they remain current and compliant. Seek legal advice when preparing your will and superannuation nominations to ensure alignment. Consider paying superannuation to your legal personal representative (estate) if you want the distribution controlled by your will—particularly important for blended families. Document interdependency or financial dependency relationships if relevant, to support valid claims. Superannuation can be a significant asset, and failing to plan for its distribution can lead to unexpected outcomes and family conflict. A carefully drafted estate plan—supported by legal advice and up-to-date binding nominations—can help ensure your wishes are carried out and reduce the risk of disputes. Need assistance with your superannuation and estate plan? At Dawson Pouwhare Legal & Conveyancing , we help individuals and families across NSW navigate the complexities of estate planning. Contact our team today for personalised legal advice. (02) 4954 8666 www.dawsonpouwhare.com.au
When purchasing property in New South Wales, buyers often focus on securing finance, arranging inspections, and reviewing contracts. But one lesser-known protection that can be equally important is title insurance. This blog explains what title insurance is, how it works in NSW, and whether it's worth considering for your property purchase. What is Title Insurance? Title insurancde is a one-off insurance policy that protects property purchasers and homeowners against certain unknown risks that can affect the legal ownership of the property. It is commonly issued by companies such as First Title or Stewart Title in Australia. Unlike general insurance (which protects against future events), title insurance covers risks that exist at the time of the purchase but may not be known until after settlement. What Does Title Insurance Cover? While coverage varies between insurers and policies, typical protections include: Illegal building works: Cover for structures built without proper council approval (e.g. unapproved extensions or decks). Errors in council rates, land tax, or water rates: Protection if you're forced to pay outstanding charges that should have been paid by the vendor. Boundary or survey issues: If a structure encroaches onto a neighbour's land, or vice versa. Fraud, forgery or identity theft: Cover if another person fraudulently claims ownership of your property. Planning and zoning discrepancies: Cover if a property use is not permitted under zoning laws, despite representations to the contrary. Important: Title insurance does not replace legal advice or due diligence - it complements it. Is Title Insurance Mandatory in NSW? No. Title insurance is optional in New South Wales. However, some solicitors and conveyancers may recommend it, especially if: You are buying at an auction without the ability to negotiate contract terms; There are uncertainties in the planning certificates or survey reports; The vendor refuses to give certain warranties; The property has been renovated without clear documentation. How Much Does Title Insurance Cost? Title insurance is a once-off premium based on the value of the property. As a general guide: For residential property purchases under $500,000: premiums may start from $400-$500; Higher property values attract proportionally higher premiumS. Unlike other types of insurance, there are no annual renewal costs. Key Benefits and Limitations Benefits: Peace of mind against hidden legal risks; One-off payment - no ongoing costs; Covers risks that may not be discoverable in standard due diligence. Limitations: Exclusions apply (e.g. known issues, environmental contamination, or tenant disputes); Not a substitute for building inspections or legal review; Claims may be subject to excesses and conditions. Should You Get Title Insurance? Title insurance can be a valuable safety net, particularly for risk-averse purchasers or those buying under time pressure. However, it should never be seen as a shortcut for proper legal review or property investigations At Dawson Pouwhare Legal & Conveyancing, we recommend discussing your individual circumstances with your solicitor before purchasing a policy. We help you understand what is already covered by law, what the policy offers, and whether it's the right choice for your property transaction. Final Thoughts While title insurance is not required, it can offer valuable protection in certain scenarios—particularly in an increasingly complex property market. The key is understanding what it does (and doesn’t) cover and how it fits within a comprehensive legal and conveyancing strategy. Need help with your property purchase in NSW? Contact our experienced team today on (02) 4954 8666 or visit www.dawsonpouwhare.com.au to discuss how we can assist you.
Purchasing your first home is an exciting milestone, but it also involves navigating complex financial and legal considerations. Fortunately, the NSW Government prvoides a range of stamp duty concessions and grants designed to support eligible first home buyers and reduce the upfront costs of entering the property market. This article outlines the key assistance schemes available in 2025, including eligibility critera, application processes, and legal considerations.
If you're a business owner in New South Wales (NSW) preparing to lease a premises, it's essential to understand whether your lease is classified as retail or commercial. This classification significantly affects your legal rights and protections as a tenant - including disclosure requirements, lease terms, and financial obligations. Misunderstanding the lease type can result in missed entitlements or unexpected costs. Here's what every prospective tenant should know before signing on the dotted line. Retail vs. Commercial: What's the Difference? The main distinction lies in the nature of your business and whether the Retail Leases Act 1994 (NSW) applies. A retail lease typically applies to premises used for selling goods or services directly to the public (e.g. beauty salons, cafes, clothing stores, takeaway outlets, or tenants in a shopping centre) A commercial lease applies to non-retail uses like offices, industrial warehouses, and storage spaces. If your lease falls under the Retail Leases Act, you benefit from additional statutory protections - but many tenants are unaware of their entitlements. Does the Retail Leases Act 1994 (NSW) Apply to Your Lease? You are likely entering into a retail lease if: - Your business falls within a class of retail business listed in Schedule 1 of the Retail Leases Regulation 2022 (NSW). - The premises are under 1,000 square metres. - The lease is not for certain excluded uses (such as ATMs or storage-only premises) If in doubt, always seek legal advice before signing. Many tenants sign leases that should be classified as retail without receiving the benefits of the Act. Why Classification Matters: Key Protections for Tenants Under a Retail Lease If your lease is governed by the Retail Leases Act 1994 (NSW), you are entitled to significant protections that commercial tenants may not receive: 1. Mandatory Disclosure Statement Before you sign, your landlord must give you a Disclosure Statement (Section 11). This outlines key lease terms such as rent, outgoings, and renewal options. If the landlord fails to provide this document (or if it is misleading), you may be entitled to terminate the lease within six months. 2. Minimum Lease Term of Five Years Under Section 16, a retail lease is automatically deemed to be for five years (even if a shorter term is written) - unless you voluntarily sign a certificate waiving this right. This gives tenants valuable security of tenure. 3. Limit on Security Bonds Security bonds in retail leases are capped at three months' rent (Section 16C), providing certainty and protecting your cash flow. The bond must be returned promptly after the lease ends, assuming there are no breaches. 4. No Landlord Legal Fees for Lease Preparation In retail lease, the landlord cannot pass on their legal costs for preparing the lease to the tenant (Section 14), which can save thousands in upfront costs. What If You're on a Commercial Lease? If your lease is not covered by the Retail Leases Act , you won't receive these protections - your rights and obligations will depend entirely on what is written in the lease. For this reason, getting the lease reviewed by a solicitor is crucial before you sign. Commercial leases often place a heavier burden on tenants in areas like: Responsibility for repairs and maintenance Contribution to outgoings (e.g. council rates, water, insurance) Limited notice periods for termination or relocation Don't Sign Until You Know Where You Stand Understanding whether you're entering a retail or commercial lease is more than a technicality - it directly impacts your legal rights, long-term costs, and business security. Need Clarity on Your Lease Type? At Dawson Pouwhare Legal & Conveyancing , we help tenants review and understand their leases before signing. Our Lease Classification Review Service ensured you don't miss out on the protections you're entitled to under NSW law. Call us today on (02) 4954 8666 or visit www.dawsonpouwhare.com.au to book a fixed-fee lease review.