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Is the agent allowed to do that?

The agent works for the seller. These rules still protect you.

Every licensed real estate agent in New Zealand has to follow the Professional Conduct and Client Care Rules 2012. Pick what happened below and you'll see whether it's allowed, the rule number so you can check it yourself, and what to do next.

Brokers: send this to clients before they make an offer, not after they've signed.
The HouseMe Legal Sherpa, your guide up the mountain
The agent works for the sellerThey must act in the seller's best interests and follow the seller's instructions (r 6.1, 9.1).
You're the "customer"Not a client (r 4.1). The agent can't look after you on price or terms.
Some rules protect youFair dealing, no misleading, known defects disclosed, no undue pressure (r 6.2, 6.4, 9.2, 10.7).
Get advice before you signThe agent must recommend legal advice and give you a reasonable chance to get it (r 9.7).
1

What happened?

Pick the one closest to your situation. Nothing is saved.

2

The cheat sheet

Everything the agent must and can't do for a buyer, on one page. Each rule number links to the official text.

✓ The agent MUST duties owed to you

    ✕ The agent CAN'T things that break the rules

      Download the one-page PDF Read the full rules on legislation.govt.nz
      3

      Protect yourself: our due diligence wording

      The agent works for the seller. A broad due diligence condition is how you look after yourself.

      This is the condition we use for clients buying by negotiation. It gives you a set number of working days after the agreement is signed to check anything you choose: title, the LIM and council records, finance, a building report, insurance. If you're not satisfied, for any reason, you can walk away and get your deposit back. You don't have to give a reason.

      Further Term: Due Diligence

      This offer is conditional upon the Purchaser completing within ten (10) Working days from the date of this Agreement a due diligence investigation of the Property on the terms and conditions satisfactory to the Purchaser in all respects including without limitation title, compliance with local council and other authority requirements, the raising of finance, and any other matter which the Purchaser in their sole discretion may decide to investigate.

      The Vendor undertakes and agrees to allow the Purchaser and its consultants full access to the Property for the purposes of the due diligence investigation and to provide the Purchaser with any information held relating to the Property relevant to the due diligence investigation.

      This clause is inserted for the sole benefit of the Purchaser and the Purchaser may waive it by giving written notice to the Vendor. Satisfaction of this clause will be at the sole discretion of the Purchaser and if this clause is not satisfied the Purchaser will not be obliged to disclose any reason for non-satisfaction and any deposit paid must immediately be refunded in full.

      1Ten working days is standardUse fifteen if there's more to check, such as a cross-lease, a property file and both bank and insurer sign-off.
      2It covers finance tooBecause it includes "the raising of finance", you usually don't need a separate finance condition alongside it.
      3Secure the house first, spend secondYou're under contract straight away, and you pay for reports during the condition period. We usually set the deposit to be payable once the agreement goes unconditional.
      4The trade-offThe seller may prefer an offer with fewer conditions. More protection can mean a less competitive offer, so talk it through before you choose.
      !
      Not for auctions
      Auctions are unconditional. You can't add this condition on auction day, so your checks have to be finished before the auction. The Road Map to Auction shows what to do and when.

      Send your offer to your lawyer before you sign it. We check that the wording, the dates and the rest of the agreement fit together.

      4

      If something's wrong

      Two routes. You don't have to use the first one before the second.

      The agency's own process

      Every agency must have written procedures for complaints and disputes, and must tell you about them before you sign anything (r 12.1, 12.2). Ask the agent or their manager for a copy.

      The Real Estate Authority

      You can go straight to REA. Using the agency's process first doesn't stop you complaining to REA later (r 12.3).

      0800 367 732 · rea.govt.nz

      A complaint doesn't change your agreement. If something you were told affects whether you go ahead, talk to your lawyer before any condition date passes.

      Before you sign anything, send it to us

      The agent has to recommend legal advice before you sign (r 9.7). Book a free 15-minute Teams intro call and we'll walk you through the agreement, title and LIM before you commit.

      Book a free 15-minute call

      Or call 09 918 9404  ·  angus@housemelegal.co.nz