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The Deal Breakers: Navigating LIM and Building Reports Without Losing Your Buyer

Selling Tips By Eric Wu 2026-07-22 4 Min Read
Property files and building plans on a table during a house sale in Auckland

The two documents most likely to cost you money when selling in East Auckland are the LIM and the building report — and the cost depends almost entirely on whether you read them first or the buyer does. An issue you discover before listing is a task with a price. The same issue discovered during due diligence is leverage in someone else's hands.

Decoding the LIM

The Land Information Memorandum is the council's record of your property, and the red flag buyers look for is unconsented work. The common cases in East Auckland are familiar: a basement converted into a sleepout, a deck extended past its original footprint, a garage turned into a living space.

If council has no record of the alteration, the buyer's solicitor will flag it, and lenders may decline to advance against the property — which quietly removes a large part of your buyer pool before you ever hear about it. Where the work is old and sound, a safe-and-sanitary report is sometimes an accepted path; where it is recent, retrospective consent may be needed. Either way, the time to find out is before the campaign, not during it.

The Proactive Building Report

We recommend sellers commission their own independent building report before going to market. The advantage is control: if the inspector finds moisture in a bathroom or degraded roofing iron, you decide whether to repair it, price it in, or disclose it — on your timeline. Under pressure, with an offer on the table and a buyer's inspector holding the report, the same finding usually converts into a discount far larger than the repair.

What This Looks Like in Practice

Clearing compliance before the first open home is unglamorous work, but it is one of the more reliable ways to protect a sale price. Team Eric Wu at Ray White Botany walks sellers through this before listing — 82 transactions across East Auckland since January 2025, at a median of $1,301,000. Request a free appraisal and we will flag what your property is likely to need.