Disclosure statement
If contacted by a prospective homeowner, you must give them a disclosure statement before you can enter into a site agreement. This statement highlights the key aspects, including details of the fees and charges, that will be payable for a particular site and the services and facilities available in the community. Download the approved form of a Disclosure statement (PDF, 39.87 KB).
Either before, or at the same time as giving a disclosure statement, you must also give the prospective homeowner a copy of the NSW Fair Trading brochure moving into a land lease community (PDF, 279.52 KB). Go to the order publications section to order bulk copies of the brochure. Both must be given to the prospective homeowner at least 14 days before signing a site agreement.
Site agreement
All homeowners must enter into a written site agreement. A site agreement does not have to be for any fixed period of time. If there is a fixed period agreement, it must be for at least three years or more. An agreement can only be terminated in the limited grounds set out in the law.
Condition report
As well as a site agreement you will also need to provide a site condition report. This sets out the condition of the site that the homeowner will be leasing. Download the standard Site condition report form prescribed under the law and available in the Forms section of the NSW Fair Trading website.
Cooling-off period
A home owner generally has a 14 day cooling-off period if they change their mind. They can cancel the agreement in writing during this period without having to pay any penalty.
The 14 day cooling-off period is waived if, before the end of the cooling-off period, the homeowner:
- moves into the home, or
- causes a home to be placed, installed or erected on the site.
Fees and charges
Once a site agreement is signed, you may:
- request a refundable deposit for a key or access device to the community. This refundable fee can be no greater than $25.
- require a homeowner to pay the cost of registering the site agreement with NSW Land and Property Information, if it is for a fixed period of three years or more.
You cannot require a prospective homeowner to pay any fees and charges, including:
- charges for supplying disclosure material and other documents
- a fee for you to assess or consider their application to be a homeowner
- any amount for the cost of you supplying or preparing a site agreement
- a reservation fee or holding deposit, other than a deposit to build or supply a home on the site under a separate agreement
- a rental bond
- bonds for utilities being provided.