Changes affecting site agreements and dwelling purchase agreements - Legislation update

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Date
23 January 2013
Category
Legislation updates

From 1 February 2013, people who buy a movable dwelling located or intended to be located in a park will have additional legal rights.

Currently, people have a five-day ‘cooling-off’ period to cancel a signed site agreement (that is, an agreement to rent the land in the park on which their movable dwelling sits or will sit).

Under changes to the Residential Tenancies Act 1997, a purchaser will also - in certain cases - be able to use cooling-off rights to cancel an agreement to purchase a movable dwelling.

The legal changes will ensure that a person who has already bought a dwelling: 

  • does not feel obliged to sign an unsuitable site agreement   
  • is not discouraged from using their cooling-off rights to cancel a signed site agreement.

The new right to cancel a dwelling purchase agreement will only be available where the purchaser: 

  • has been given, but decides not to sign, a related site agreement , or
  • having already signed a related site agreement, decides to use their cooling-off rights to cancel the site agreement. 

A person who cancels an agreement to purchase a dwelling will also be able to apply to the Victorian Civil and Administrative Tribunal (VCAT) to recover money they have already paid. 

For more information, download Movable dwellings: a guide for residents, owners and managers (PDF, 1.3MB)

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