Common Pitfalls in Real Estate Agreements of Purchase & Sale

Chattels & Fixtures

When you purchase a house, you will often find yourself purchasing a number of items on the property in addition to the house itself. Things like kitchen appliances that might be included in the agreement are considered chattels while things that can’t be easily removed from the property, like a garden shed, are usually considered fixtures. Normally, their value is included in the purchase price.

Unfortunately, it is all too common for chattels and fixtures to be in less than good condition and for them to breakdown shortly after the close of the transaction. Worse still, agreements of purchase and sale are often silent as to the condition of chattels and fixtures. This means that the purchaser is often left high and dry when things breakdown.

If you’re purchasing a property, you may be wise to discuss with your realtor or your lawyer whether or not it would be appropriate to include a clause requiring the seller to warrant that the chattels and fixtures are in good working order. If something serious goes wrong and such a clause is present in the agreement, you may be in a better position to obtain some compensation from the seller.