Property buyers in Whanganui face charges of up to $1,598 for Land Information Memorandum (LIM) reports when the official council price is $305. Whanganui District Council is warning residents to avoid third-party websites that act as expensive middlemen by charging inflated fees for the same official data, Local Democracy Reporting reported.
The council became aware of the practice after a local real estate agent alerted a resident who had paid a significantly higher price for a “fast-tracked” report. One website, which presents itself as a New Zealand land information service but is understood to be operating from overseas, lists residential LIM reports for $1,299, with an additional $299 fee for express delivery.
Whanganui District Council identifies overpriced LIM services
Jason Shailer, the council’s Regulatory and Compliance Operations Manager, stated there is no need for buyers to use go-betweens. He described these websites as middlemen that order reports from councils on behalf of customers and charge substantially more for the service.
Shailer noted that some customers pay hundreds of dollars extra for “express” services. However, paying a third party does not accelerate the council’s processing time. The overseas website in question advertises a 10-working day turnaround for express delivery, but Shailer pointed out that councils are already legally required to process LIM reports within 10 working days of receiving payment and an application.
Pro Tip: Order your LIM report directly through whanganui.govt.nz to avoid third-party markups and ensure you receive the official document in the standard legal timeframe.
Similar markup warnings in Waitaki District
This issue is not isolated to Whanganui. The council’s warning follows similar concerns raised by the Waitaki District Council, where third-party websites were also found charging significant markups for LIM reports, according to Local Democracy Reporting.
Shailer said the prevalence of these “sophisticated websites” makes it difficult for consumers to identify who they are dealing with. He urged buyers to be vigilant and verify if they are getting a fair deal before paying for services online.
Did you know? LIM reports are critical for property buyers because they contain official council data on building consents, drainage, rates, and potential natural hazards.
Councils issue official LIM reports regardless of application source
LIM reports provide essential details held by councils that may affect a property purchase. Because these reports are official government documents, they are issued by the council regardless of whether the application was submitted by the buyer or a third-party agent.
Shailer emphasized that the official report and the timeframe for delivery remain identical whether the customer uses a middleman or the council directly.
Common Questions About Whanganui LIM Reports
Does paying for “express” delivery speed up the council’s process?
No. Jason Shailer stated that paying a third party will not make the council process the report any faster, as the legal processing limit is already 10 working days.
How can I verify the official cost of a LIM report?
Buyers can verify pricing and order reports directly through the official council website at whanganui.govt.nz.
What specific information is included in these reports?
Reports include council-held data on rates, drainage, natural hazards, and building consents for the specific property.
Worth a look