Inclusions and Exclusions - NSW

What Stays and What Goes

Understanding what items stay with a property and what can be taken by the Vendor is a crucial aspect of any real estate transaction. Inclusions are those items you expect to remain in the property when you take over ownership, for example curtains, stove and dishwasher in most residential properties.

Exclusions are those items fixed to the property that the Vendor plans to take with them once settlement is complete.

In case of disputes or where the inclusions and exclusions are not clearly stated in the contract, the rules regarding chattels and fixtures are considered.

What distinguishes chattels from fixtures in a property sale?

When purchasing or selling a home, it's important to understand the difference between chattels and fixtures, as this can impact what is included in the sale of the property.

Chattels are movable items, not permanently attached to the property. They include furniture, loose appliances, pool equipment and garden tools. Chattels are considered personal property and are not typically included in the sale of a home unless specifically agreed upon in the contract. Fixtures (of a property), on the other hand, are items that are attached to the property in a more permanent way. This includes built-in wardrobes, light fixtures, and permanently installed appliances.

Fixtures are considered part of the property and are generally included in the sale.

What are the key differences between chattels and fixtures?

The key difference lies in how each item is attached to the property:

• Chattels can be removed without causing damage to the property. They are not integral to the property's structure or operation.
• Fixtures are integrated into the property. Removing them would typically cause damage or reduce the property's functionality or value.

Whether buying or selling, it's crucial to check the contract of sale to understand what is being included. If there's any confusion about whether an item is included or not, it's best to clarify this in the contract to avoid disputes later on.

What happens to items that are not inclusions and not removed by the Vendor before settlement?

The Vendor is generally required to remove all items not included in the sale before settlement. The Vendor may also remove any fixtures that are excluded from the sale.

If the Vendor leaves behind rubbish and perishables, you can dispose of these in any appropriate manner.

If the Vendor leaves behind other types of items, such as personal documents and goods, you may need to safeguard and return these to the Vendor unless the Vendor does not collect them. In these instances, you can dispose of these after a certain amount of time and after giving the appropriate notice. The amount of time and type of notice depend on the type and value of goods.