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Vendor Statement: What Victorian Buyers Should Check Before They Sign
- fastsettleinfo
- Aug 12
- 11 min read
A Section 32 Vendor Statement is one of the most important documents a Victorian property buyer receives before signing a contract. It provides information about legal and financial matters affecting the property, including title details, easements, restrictive covenants, planning information, outgoings and other required disclosures.
But receiving the document is not the same as understanding it.
The real question for a buyer is not simply, “Is there a Section 32?” It is whether anything disclosed in the statement could affect how you plan to use the property, what you may need to pay after settlement, or whether further investigation is needed before you commit.
If you are unfamiliar with the wider transaction process, Fast Settle’s guide to what conveyancing involves in Australia provides useful background on contract review, property searches and settlement.
This guide explains what Victorian buyers should check in a Section 32 Vendor Statement, what the document does not tell you, and why reviewing it before signing should form part of your property due diligence.
Important: This article provides general information about Victorian conveyancing and property transactions. It is not a substitute for advice about a specific property or contract.
What Is a Section 32 Vendor Statement in Victoria?
A Section 32 Vendor Statement, often called a vendor’s statement, is a disclosure document a Victorian seller must provide to the purchaser before the purchaser signs the contract of sale.
The name comes from section 32 of the Sale of Land Act 1962 (Vic).
The statement may contain information about matters such as:
the property title
mortgages and certain charges
easements
restrictive covenants
planning and zoning information
rates and other outgoings
owners corporation information where applicable
certain notices affecting the land
services connected to the property
bushfire-prone area information where applicable
Consumer Affairs Victoria’s guidance on Section 32 statements and conveyancing explains the role of the Vendor Statement and the importance of accurate disclosure.
For buyers, however, receiving the paperwork is only the first step.
A Section 32 should be treated as a source of information about legal, planning and financial matters affecting the property. It should not be interpreted as confirmation that the property is free from every possible problem.
Why Buyers Should Review the Section 32 Before Signing
Property advertisements show you how a home is presented. A Section 32 can reveal matters that may not be obvious during an inspection.
An easement might affect the part of the backyard where you hope to extend the house.
A restrictive covenant could interfere with future development plans.
A planning overlay may introduce additional requirements for renovation or redevelopment.
An owners corporation may have fees, rules, financial commitments or upcoming works that influence the actual cost of ownership.
None of these issues automatically means you should avoid the property. What matters is understanding their effect before you become legally committed.
Victorian buyers can obtain professional help through Fast Settle’s conveyancing services in Victoria when they need assistance reviewing a contract, Vendor Statement and other transaction documents.
Section 32 Vendor Statement Checklist for Victorian Buyers
There is no universal checklist that replaces a property-specific legal review. However, the following areas deserve particular attention when examining a Section 32 Vendor Statement in Victoria.
1. Check That the Title Matches the Property You Think You Are Buying
Start with the Certificate of Title and plan.
The title identifies the legal parcel of land being sold and can show registered interests affecting the property.
Look for matters such as:
the registered proprietor
lot and plan details
mortgages
caveats or other registered interests
easements
restrictive covenants
multiple titles
separate car spaces or storage areas where relevant
This is particularly important when buying apartments, townhouses, properties with rear access or homes where fences and driveways make the boundaries appear obvious.
Do not assume a fence represents the exact legal boundary.
Consumer Affairs Victoria’s property advice guidance explains that a Section 32 does not provide information about the accuracy of measurements shown on the title.
If boundaries are important to your intended use, further surveying or professional advice may be appropriate.
2. Look Closely at Easements
An easement gives another person, authority or property certain rights over part of the land.
Common examples may relate to:
drainage
sewerage
utilities
access
carriageways
The useful question is not simply:
“Is there an easement?”
It is:
“Could this easement interfere with what I want to do with the property?”
For example, an easement running through the rear of a block could be much more important to a purchaser planning an extension, pool, garage or additional dwelling than to someone intending to leave the property largely unchanged.
A conveyancer can help explain the legal effect of an easement. Depending on your plans, you may also need advice from a surveyor, building professional, council or planning specialist.
Fast Settle’s property conveyancing services can assist buyers with reviewing title matters and the wider purchase process.
3. Read Restrictive Covenants Against Your Future Plans
A restrictive covenant can limit the way land is used or developed.
The exact wording matters.
Depending on the property, restrictions may relate to matters such as:
development
the number or type of dwellings
building materials
construction requirements
particular uses of the property
Do not treat the existence of a covenant as automatically good or bad.
Instead, compare the restriction with what you actually want to do.
If your reason for purchasing the property involves subdivision, redevelopment, extensions or another specific project, investigate the covenant before committing to the purchase.
This is where a professional review becomes more useful than simply checking whether a covenant appears in the paperwork. The important issue is how the restriction may affect your intended use.
4. Check the Planning Zone and Relevant Overlays
Planning information can influence what you are allowed to build, alter or operate from the property.
A Section 32 may contain information about:
the applicable planning scheme
zoning
overlays
planning restrictions
notices affecting the land
Depending on the property, relevant planning considerations may involve:
heritage controls
bushfire controls
flood-related controls
environmental or vegetation requirements
design and development requirements
A zoning classification should not be treated as a guarantee that a particular future development will be approved.
Planning outcomes can depend on the exact proposal, local planning provisions, overlays and permit requirements.
If your decision to buy depends on a specific development or use, investigate that proposal before signing rather than relying only on the broad zoning description.
5. Review Rates, Charges and Other Outgoings
The Vendor Statement contains information about certain outgoings affecting the property.
These can include council rates, water-related charges and other amounts associated with the land.
For buyers, this information can help in two ways.
First, it provides a clearer picture of ongoing ownership costs.
Second, it may highlight amounts or liabilities that require clarification before settlement.
Your purchase budget should therefore consider more than the mortgage repayment.
Depending on the property and the purchaser’s circumstances, ongoing expenses may include:
council rates
water charges
owners corporation fees
special levies
insurance
maintenance
land tax implications where relevant
A conveyancer can also explain how relevant rates and outgoings are generally dealt with as part of settlement adjustments.
Fast Settle’s main conveyancing service explains the wider role conveyancing can play from contract review through to settlement.
6. For Apartments and Units, Scrutinise the Owners Corporation Information
If you are buying an apartment, townhouse or another property affected by an owners corporation, do not skim over the owners corporation documentation.
Look for information relating to:
owners corporation fees
special levies
insurance
rules
maintenance obligations
financial records
major works
disputes
management arrangements
The cost of an apartment is not limited to its purchase price and standard rates.
A property that initially appears affordable may become considerably more expensive if major repairs or special levies are approaching.
Consumer Affairs Victoria’s guidance on owners corporation records provides further information about owners corporation records and certificates.
Where appropriate, buyers may want more current information about:
building repairs
proposed works
insurance matters
disputes
levy changes
significant expenditure
For apartment buyers, owners corporation information should be treated as part of the property’s financial and governance history, not simply as another attachment.
7. Check Recent Building Works and Permit Information
Recent alterations can create additional questions.
If you see a:
recently constructed deck
extension
converted garage
new studio
substantial renovation
additional structure
compare what you observe with the documentation available.
Depending on the circumstances, the Section 32 may contain information relevant to building permits or owner-builder works.
However, the existence of a structure does not itself prove that every required approval was obtained or that the construction is physically sound.
If recent works are important to your buying decision, ask what documentation is available and whether additional enquiries should be made with relevant professionals or authorities.
What a Section 32 Does Not Tell You
This is one of the most important distinctions Victorian buyers should understand.
A Section 32 is primarily a legal disclosure document.
It is not a building inspection report.
According to Consumer Affairs Victoria , the Section 32 does not provide information about:
the condition of buildings
whether buildings comply with building regulations
the accuracy of measurements on the title
This means a Section 32 that raises no obvious concerns does not tell you whether:
the roof leaks
termites are present
structural defects exist
drainage is poor
foundations have moved
renovations were properly constructed
plumbing or electrical systems require work
Legal due diligence and physical property due diligence answer different questions.
Depending on the property, you may therefore need separate advice from:
a building inspector
pest inspector
surveyor
engineer
planning consultant
another appropriately qualified professional
The Victorian Government’s property buyer due diligence guidance is a useful resource for understanding additional investigations that may be relevant before purchase.
Do Not Review the Section 32 Separately From the Contract of Sale
The Vendor Statement and contract should be considered together.
The Section 32 provides information about the property.
The contract establishes the legal and commercial terms on which you are agreeing to purchase it.
A contract review may identify matters involving:
the settlement date
deposit requirements
finance conditions
building and pest conditions
special conditions
inclusions and exclusions
adjustments
default provisions
GST where relevant
An issue may involve both documents.
For example, a planning restriction in the Vendor Statement may become much more important if you intend to redevelop the property and the contract gives you no opportunity to complete further investigations before becoming committed.
Buyers in metropolitan Victoria can learn more about the process through Fast Settle’s guide to conveyancing in Melbourne for home buyers.
Buying at Auction? Review Everything Before You Bid
Auction buyers need to complete their investigations early.
Consumer Affairs Victoria’s guidance on buying property at auction explains that a successful auction purchaser does not receive the usual cooling-off period.
Before auction day, consider:
having the Section 32 reviewed
having the contract reviewed
confirming your finance position
arranging any necessary building or pest inspections
investigating title restrictions
reviewing relevant planning matters
investigating owners corporation concerns
understanding the proposed settlement period
clarifying anything unusual in the special conditions
The time to identify a significant legal or property issue is before you become the successful bidder.
Corporate Buyers Should Not Assume They Have Cooling-Off Rights
Corporate purchasers need to pay particular attention to cooling-off rules.
Consumer Affairs Victoria’s guidance on buying property by private sale identifies circumstances where the ordinary cooling-off period does not apply, including where the purchaser is a corporate body.
Other exclusions may also apply.
This makes pre-contract due diligence particularly important for businesses purchasing property in Victoria.
A company buying:
investment property
residential property
development land
business premises
another property asset
should not assume it can sign first and investigate later.
The transaction should be assessed according to the particular property, contract and purchasing entity before execution.
What If the Section 32 Contains Missing or Incorrect Information?
A Section 32 must contain the disclosures required under Victorian law.
However, buyers should be careful about assuming that every mistake automatically provides an unrestricted right to terminate the transaction.
Consumer Affairs Victoria’s Section 32 guidance explains that incorrect or insufficient information may have legal consequences.
What rights may be available depends on the circumstances.
If you identify:
missing documents
inconsistent information
an undisclosed restriction
incorrect title information
unusual planning information
another potentially significant omission
seek advice promptly.
Do not rely on a general online explanation of rescission or termination rights when dealing with a live property transaction.
What Should You Ask Your Conveyancer Before Signing?
A useful Section 32 review should convert legal paperwork into practical purchasing decisions.
Consider asking the following questions.
Is there anything on title that affects my intended use?
This may include easements, covenants, restrictions or other registered interests.
Are all expected Section 32 documents present?
Missing documentation may require further investigation.
Could the planning controls affect my plans?
This is particularly relevant for buyers interested in extensions, redevelopment, subdivision or changing the property’s use.
Is anything unusual in the owners corporation information?
Ask about levies, insurance, financial issues, maintenance and significant upcoming expenditure.
Do recent renovations or structures require further investigation?
Legal documentation should be considered alongside physical inspections where appropriate.
Are any special conditions in the contract particularly important?
Special conditions can materially affect a buyer’s obligations.
Should additional searches be completed?
The searches that may be useful depend on the property and transaction.
Is there anything I should resolve before making my offer?
Some risks are much easier to address before the contract is signed.
Why Use a Conveyancer to Review a Section 32?
A buyer can read the basic information contained in a Vendor Statement, but a professional review focuses on what that information means legally and practically.
A licensed conveyancer can consider the:
Section 32
Certificate of Title
contract of sale
special conditions
relevant searches
settlement requirements
together rather than looking at each item in isolation.
For purchasers seeking a conveyancer in Melbourne , Fast Settle provides support for property purchases, sales, transfers and settlements.
Buyers elsewhere in Victoria can also explore Fast Settle’s Victoria conveyancing services.
If you have already received your Section 32 and contract, you do not necessarily need to wait until your offer has been accepted to arrange a review.
Get in touch today to discuss your property transaction.
You can also book a consultation with Fast Settle to discuss your conveyancing needs.
Final Section 32 Vendor Statement Checklist
Before committing to a Victorian property purchase, consider whether you have:
Received the Section 32 Vendor Statement.
Reviewed the Certificate of Title and plan.
Checked relevant easements.
Understood restrictive covenants.
Reviewed zoning and planning controls.
Checked rates and relevant outgoings.
Reviewed owners corporation documentation where applicable.
Investigated recent building work where necessary.
Considered separate building and pest inspections.
Reviewed the contract of sale.
Read the special conditions.
Clarified your cooling-off position.
Completed your investigations before an auction.
Asked about anything inconsistent or unclear.
Obtained appropriate professional advice before signing.
The purpose of reviewing a Section 32 Vendor Statement in Victoria is not simply to confirm that the paperwork exists.
It is to understand whether the legal, financial and planning information disclosed about the property fits what you intend to do with it.
A restriction that has little practical effect on one purchaser could significantly affect the suitability of the same property for another.
Understanding that difference before you sign is the real value of thorough pre-contract due diligence.
Frequently Asked Questions
What is a Section 32 in Victoria?
A Section 32, also known as a Vendor Statement, is a statutory disclosure document provided to a prospective purchaser before the purchaser signs a Victorian property contract.
Its requirements arise under the Sale of Land Act 1962 (Vic).
It can contain information about matters such as title details, easements, covenants, planning controls and certain property outgoings.
Should I get a Section 32 checked before signing?
Having the Section 32 and contract reviewed before signing can help identify issues that may affect your decision to purchase.
Consumer Affairs Victoria recommends obtaining expert advice when buying property.
This is particularly important where an auction or offer deadline is approaching.
Does a Section 32 show building defects?
No.
A Section 32 is not a building inspection report.
According to Consumer Affairs Victoria, it does not provide information about the physical condition of the building.
A separate building or pest inspection may therefore be appropriate.
Does a Section 32 prove renovations comply with building regulations?
No.
Consumer Affairs Victoria also advises that the Section 32 does not tell purchasers whether buildings comply with building regulations.
If recent renovations, extensions or structures are important to your decision, further investigation may be necessary.
What should apartment buyers look for in a Section 32?
Apartment and unit buyers should pay particular attention to owners corporation information, including:
regular fees
special levies
insurance
rules
maintenance
financial matters
major works
You can review additional government information through Consumer Affairs Victoria’s owners corporation guidance.
Does a company buying property receive the normal cooling-off period?
A corporate purchaser should not assume that the standard residential private-sale cooling-off period applies.
Consumer Affairs Victoria’s private-sale guidance identifies a corporate body as one of the circumstances where the ordinary cooling-off period does not apply.
Corporate buyers should therefore confirm their position and complete appropriate due diligence before signing.
