It is now standard practice to get a LIM report before buying a property in New Zealand. But what is a LIM report, why is it helpful and how do I get one?

LIM stands for Land Information Memorandum. A LIM report is drawn up by the relevant local council in New Zealand and is a collection of all the details of the particular property that is currently held by the council.

You do not have to obtain a LIM by law but it is included as a ‘YES/NO’ option on the standard ‘Sale and Purchase Agreement’ used by real estate salespeople in New Zealand. If you are going to get a LIM, it will be a condition of sale that you are satisfied with its contents before buying. If you are buying at auction, a copy of the LIM is often available beforehand. This is because buying a property on auction day needs to be unconditional.

How do I get a LIM?
Procedures may vary between councils but normally a request for a LIM is made on an approved form. For example, if you want a LIM from Christchurch City Council then you have to complete form (LIM1). The good news is that this is a one page application form. You’ll need to know the full and correct address of the property and its legal description. The legal description shows the lot number and the deposited plan number.

It currently costs $219.80 NZD(including GST) for a LIM in the Christchurch area and $189.10 NZD (including GST)for a LIM for the Banks Peninsula area e.g. Lyttelton Harbour, Akaroa. (The Banks Peninsula area now comes under the Christchurch City Council.) You can pay by EFTPOS, credit card or cheque. Or cash! LIM applications can be emailed/faxed or posted (with payment details.) All the details are on Form LIM1.

Most LIMs are available within 10 working days.

What information does a LIM provide:

– The size of the site
– The property’s legal address and description
– Location of stormwater and sewer drains
– The rateable valuation, rates and water charges
– details of all the building permits and consents issued by the council
– Information on potential problems such as erosion, subsidence, slippage and flooding
– Land use and conditions of use
– protected buildings and trees, historic buildings
– resource consents and subdivision consents
– any special characteristics of the land or buildings
– information about refuse and recycling collection
– resource consents issued in the immediate neighbourhood (100 metre radius default)
– compliance schedules, building warrant of fitness
– registrations and licences
– If there is a swimming pool- whether the pool fence is compliant
– Any other information that the council considers to be important for the property.

New LIM information

The 7.1 earthquake in the Selwyn/Christchurch/Canterbury areas of New Zealand revealed some areas where liquefaction occurred. Therefore, zones are currently being created to show any areas in the region at risk of liquefaction. From now on, any property inside and within 300 metres of the zone will have the risk mentioned in future LIM (Land Information Memorandum) reports.

As the data is not yet available on LIM reports; structural integrity of the land and property/a building inspection and geotech specialist reports are advised before buying real estate.

Don’t be caught out on a LIM!

Author Bio: Email: belinda.langrish@raywhite.com View her listings at: http://www.rwhalswell.co.nz/HLW20177 Tel. 0064 (0)3 322 1810 (24 hours) or 0064 (0)22 0602 061. Read her updates at: http://www.lytteltonharbourrealestate.blogs Belinda lives in Charteris Bay, Lyttelton Harbour. She is now a licensed real estate salesperson at Ray White Halswell, Christchurch- part of the A.J McPherson group (licensed REAA 2008.)

Category: Real Estate
Keywords: Banks Peninsula, Christchurch, real estate, LIM, Selwyn