The LIM Report

A LIM (Land Information Memorandum) is a report provided by local councils in New Zealand that gives detailed information about a property. It's an essential document in the property-buying process, as it provides a comprehensive overview of the property’s legal, environmental, and structural status. The LIM report can reveal important facts that may influence your decision to buy or not buy a property. You need a LIM for several reasons:

• Due Diligence: A LIM report helps you make an informed decision before buying a property. It gives you insight into the property's history, any potential risks, and whether there are any issues that could impact your purchase.

• Legal Protection: If you find significant issues after purchasing a property that weren’t disclosed in the LIM report, you may be able to take legal action against the seller or council. However, councils are only required to disclose the information that is known to them, and the report doesn’t guarantee the property is free of all issues.

• Helps with Financing: Financial institutions may require a LIM report before approving a mortgage, as it provides reassurance about the property's legal standing and suitability for development.

How to get a LIM

Most vendors/agents will provision a LIM for you, be sure to check the date of the LIM and ensure its very recent. Technically you should be getting your own LIM, but consult your lawyer - many will be satisfied with what the vendor provides. If you do need your own copy of the LIM, you can get one for any property on the Auckland Council website.

How to read a LIM

The LIM report will tell you the property’s story from the Council perspective. It can be a valuable addition in supplement to the research on the GIS Viewer. There are a few things to look for:

1. Code of Compliance: Make sure the house, all alterations, and basically everything has CCC issued.

2. Issue date: The LIM should have been issued recently, ones before the house listed aren’t appropriate.

3. Any issues: The LIM will indicate if any claims have been made in relation to weathertightness, soil erosion, drainage, etc.

Your lawyer is best positioned for the details. But if you can do a quick read to identify the CCC is missing, etc, it will save you and your lawyer time, and build a better working relationship with them.