Fire safety order at property sale: what buyers, sellers and conveyancers need to know

An outstanding fire safety order does not disappear when a NSW building changes hands. It binds whoever owns the building next under the Environmental Planning and Assessment Act 1979, appears on the property's Section 10.7 planning certificate, and is one of the first things a buyer's solicitor will flag before exchange. Here is what it means from every side of the transaction.

If you are...What matters mostWhat to do
BuyerThe order and its compliance cost transfer with the property, not with the seller personallyAsk for a copy of any current fire safety order and the fire safety schedule before making an offer
SellerAn unresolved order gives a buyer negotiating leverage and can delay exchangeResolve it, or at least get firm pricing and a timeframe, before the property goes to market
Buyer's solicitor or conveyancerThe order appears on the Section 10.7 planning certificate whether or not the vendor discloses itConfirm it directly with council and get the compliance deadline and cost estimate in writing
Already under contractA late-discovered order can justify a special condition or a price adjustmentRaise it with your solicitor immediately, do not wait for settlement day
Strata purchaserThe obligation sits with the owners corporation, not with the seller of a single lotCheck the strata records and ask the strata manager directly, not just the selling agent

A fire safety order does not go away when a NSW building is sold. Under Schedule 5 of the Environmental Planning and Assessment Act 1979 (NSW), the order binds whoever owns the building next, the same way it bound the owner it was originally given to, and it survives the change of ownership. It appears on the property's Section 10.7 planning certificate, the standard council disclosure a buyer's solicitor obtains before exchange. A buyer's solicitor who finds one will typically require it resolved, or its cost accounted for, before settlement. A seller who clears it before listing avoids both the delay and the negotiating leverage it hands a buyer.

How the order surfaces during a sale

The order attaches to the building by force of statute, not to whoever happens to hold it on the day it was issued. Schedule 5 of the Environmental Planning and Assessment Act 1979 (NSW) provides that an order given to an owner also binds any person who is a subsequent owner or occupier, as if the order had been given to them directly. It is not recorded against the property's Torrens title, and a standard title search on its own will not surface it.

What does surface it is the Section 10.7 planning certificate: once an order is issued, it becomes a permanent matter of public record and appears on all future planning certificates for the property, the standard council document a buyer's solicitor requests during a sale. Councils also issue a standalone Outstanding Notices and Orders Certificate on request. This is true whether or not the seller mentions it, and true whether the sale is a straightforward single-owner building or a strata lot.

Fire safety sits alongside accessibility, asbestos and essential-services certification as one of the standard building-compliance searches a buyer's lawyer conducts on a commercial property, over and above the standard title search. It is not an obscure check a buyer needs to know to ask for. It is part of the ordinary due diligence list.

What the order actually is, in brief

A fire safety order is a council power under Schedule 5, Part 2 of the Environmental Planning and Assessment Act 1979 (NSW), used to compel a building owner to install or improve specific fire safety measures by a set deadline. The recipient can appeal all or part of it to the Land and Environment Court of NSW within 28 days of receiving it. Our dedicated guide on the fire safety upgrade order mechanism covers the notice-of-intention stage, what typically triggers one, and the full appeal process; this guide focuses on what an order means once a sale is on the table.

If you're buying: what to check before you exchange

Ask for a copy of the building's current fire safety schedule and confirm in writing whether any fire safety order is currently in force, rather than relying on what the selling agent volunteers. A clean AFSS history does not rule this out, because an order is a separate council action that can be issued independent of the annual statement cycle.

If an order is in force, get the required work, the deadline and a realistic cost estimate before you factor it into your offer. An order with a distant deadline and a small scope of work is a different negotiating position to one requiring major upgrades due within weeks, and that difference is worth pricing into the contract, not discovering after settlement.

If you're selling: resolve it before you list

An outstanding order is the kind of finding that gives a buyer's solicitor room to push for a lower price, a longer settlement, or a special condition making completion of the work a condition of the contract. None of those outcomes favour the seller. Clearing the order, or at minimum getting firm pricing and a start date for the required work, before the property goes to market removes that leverage.

And a seller who waits until an offer is on the table to deal with it usually ends up paying for the same work anyway, just on the buyer's timeline instead of their own.

If you're the buyer's solicitor or conveyancer: what the search should confirm

Confirm the existence and scope of any fire safety order directly with the relevant council rather than relying solely on vendor disclosure or a standard title search, since an order does not sit on title: it binds the current owner by force of Schedule 5, and it is disclosed through the Section 10.7 planning certificate and, where useful, a council-issued Outstanding Notices and Orders Certificate obtained on request. Council can confirm the compliance deadline and, where relevant, whether the required work has already started.

Where an order is confirmed, a special condition addressing responsibility for completing the work, adjusting the price, or extending settlement until the work is done is the standard way to allocate that risk between the parties. The order itself does not specify how a sale should handle it. That allocation is a matter for the contract.

Strata purchases: who is liable, and what changes for a buyer

In a strata scheme, the fire safety obligation sits with the owners corporation, not with an individual lot seller. A buyer of a single strata lot is not personally exposed to an order issued against the building, but they do inherit a share of whatever levy the owners corporation raises to fund the required work, the same way they inherit a share of any other capital works cost.

Check the strata records directly, and ask the strata manager rather than only the selling agent, since a lot owner selling a single unit may not have full visibility of a building-wide order the way the owners corporation does. A strata report that is silent on fire safety is not the same as confirmation that no order exists.

Frequently asked questions

Can I still buy a property that has an outstanding fire safety order?

Yes. Nothing prevents a sale from proceeding with an order in force. What changes is the negotiation: buyers typically factor the required work and its cost into price, timing or a special condition, rather than treating the order as a reason to walk away.

Does the fire safety order transfer to the new owner, or stay with the seller?

It transfers with the property. Under Schedule 5 of the Environmental Planning and Assessment Act 1979 (NSW), an order given to one owner also binds any subsequent owner, so a new owner takes on the same compliance deadline the previous owner faced. It is not registered on the title; it is disclosed through the property's Section 10.7 planning certificate.

Who pays for the work, the buyer or the seller?

There is no fixed rule; it is negotiated. A seller who resolves the order before listing bears the cost directly. A seller who does not typically sees it reflected in a lower price, a special condition requiring completion before settlement, or an adjustment at settlement, depending on what the parties agree.

In a strata purchase, does a single lot owner pay for the whole building's fire safety order?

No individual lot owner pays for it alone. The obligation sits with the owners corporation, funded through the administrative or capital works levy, so a buyer of one lot inherits a proportional share of that cost, not the whole bill.

Sources

This is general information, not legal or compliance advice. Check requirements and figures with your council and the FPAA register.