In New South Wales, “vacant possession” is a term used in property law to describe a situation where a property is empty at settlement. It means that the property is free from occupants, belongings, rubbish, debris, and any legal impediments or encumbrances that could interfere with the use and enjoyment of the property.
For a vendor to provide vacant possession, they must ensure that:
- The property is physically empty of people and chattels (personal belongings) that are not included in the sale.
- There are no legal impediments preventing the purchaser from taking immediate and exclusive possession, use, and enjoyment of the property.
If a property is sold with vacant possession, any existing leases must be terminated before settlement. If a tenant remains in the property after settlement, the vendor may be in breach of their obligation to provide vacant possession.
If you are selling a property and would like to include certain items as part of the sale i.e. shelving, items in the garage, spas etc then you need to ensure that these items are marked as “inclusions” as at the time contracts are exchanged.
If you or someone you know is preparing to sell their property, contact us today on 02 4627 3333 to ensure you receive the right advice before going to market.
This article was published on 04/06/25 and the information is valid as at the date of publishing. This article is general in nature and is not and should not be considered or relied on as legal advice. Meehans Solicitors is not responsible in the event this information is relied upon by the reader in the absence of specific legal advice.