This is an extremely common question that we are asked when we have clients purchasing unregistered land.
The short answer is that regardless of the change in your circumstances, you are still locked into a contract that is required to be completed.
It is therefore extremely important that when you purchase unregistered land you should be aware of all of the changes in circumstances that may occur while you are waiting for your land to register, such as:
- Loss of job
- Death of a party to the contract
- The block of land losing value (worth less than what you are paying)
Unfortunately, none of these circumstances allow you to get out of the contract. You are still legally bound to complete your purchase.
What are the consequences if I then do not complete my purchase?
The consequences are quite severe and include:
- You will be issued with a legal notice by the developer/vendor giving you a specific time in which you need to complete (settle) called a Notice to Complete.
- If you then still do not settle, the developer/vendor can terminate the contract and claim the deposit that you paid when you first purchased the land.
- On top of the loss of your deposit, the developer/vendor can commence legal action to recover any further losses they suffer.
From this you can see how important it is to be sure of your decision and circumstances when you are considering purchasing unregistered land.