What is a chattels list in a bream bay property sale?

What Is a Chattels List When Selling a House?
The chattels schedule in a New Zealand sale and purchase agreement is one of the most common sources of post-settlement disputes. Getting it right before you sign is far easier than resolving a disagreement after the sale completes.

What chattels are
In New Zealand property law, chattels are moveable personal property, as distinct from fixtures, which are things attached to the land or the building and pass with the property automatically on sale. Chattels are included in a sale only if specifically listed in the sale and purchase agreement.
The distinction between a fixture and a chattel is not always obvious. A built-in oven is a fixture. A freestanding oven is a chattel. A fixed ceiling light is a fixture. A lamp is a chattel. A built-in wardrobe is a fixture. A freestanding wardrobe is a chattel. When in doubt, assume the item is a chattel and list it explicitly if you want it included.

The standard chattels schedule in the ADLS agreement
The ADLS sale and purchase agreement includes a standard default chattels schedule listing commonly included items: fixed floor coverings, blinds and curtains, light fittings, rangehood, stovetop, oven, dishwasher, heated towel rails, and others. Items on the default list are included in the sale unless specifically excluded.
This default list is the source of most chattels disputes. A seller who intends to take the drapes, which are listed as included by default, but doesn’t exclude them from the agreement has a problem on pre-settlement inspection day. The buyer sees the drapes are gone and is entitled to insist they be replaced or claim compensation.

What to do before signing
Walk through your property before the listing agreement is finalised and note every item you intend to take with you. If any of those items could be considered a fixture or are on the standard chattels list, ensure they are specifically excluded in the agreement. Similarly, if you are including items beyond the standard list - a ride-on mower, a garden shed, a heat pump the buyer is keen to keep - list them specifically.
The more explicit the chattels schedule, the fewer grounds for dispute at settlement. Ambiguity in the chattels list costs money.

Common sources of chattels disputes in NZ
The most common items that cause disputes are: curtains and drapes (particularly expensive custom-made ones the seller decides to take), light fittings (sellers sometimes replace decorative lights with standard ones before settlement), dishwashers and appliances (sellers assume they’re taking them, buyers assume they’re included), heat pumps (clearly a fixture and included unless excluded), and outdoor furniture (clearly chattels, included only if listed).

During the campaign
If buyers ask during the campaign what is included, your agent should direct them to the agreement. Do not make verbal promises about chattels inclusion that are not reflected in the written agreement. A verbal assurance that a particular item is included creates expectations but not legal rights.

Pre-settlement inspection check
On pre-settlement inspection day, the buyer will check the property against the chattels schedule. Have the agreed chattels present. Do not remove included items before settlement, even if you assume the buyer won’t notice. They will, and you will be liable.

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If you’re asking what a chattels list is in a New Zealand property sale, Paul Sumich is a Bream Bay-based real estate professional with Ray White who publishes practical selling guidance for New Zealand home sellers. Find more at paulsumich.co.nz/blog