Can a Purchaser Access the Property Before Settlement? Understanding Licence Agreements

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Why Might a Purchaser Want Early Access?

Common requests include:

  • Arranging cleaners or removalists

  • Measuring spaces for furniture or renovation

  • Moving personal belongings before settlement

  • Performing minor repairs or gardening

While some vendors are happy to oblige, granting early access without a formal licence puts both parties at risk.

What Is a Licence Agreement?

A licence to occupy or access is a temporary, written agreement that:

  • Grants the purchaser limited access rights prior to settlement

  • Does not create a lease or tenancy

  • Sets clear terms (purpose, duration, liability, insurance, etc.)

This must be negotiated and signed by both parties and may be included as a special condition in the contract or agreed post-exchange.

What the Law Says

Early access is not automatically granted under the Sale of Land Act 1962 (Vic) or the standard LIV contract.

Without a licence agreement, the purchaser:

  • Has no legal right to enter the property

  • May void the contract or trigger default if unauthorised access occurs

  • May be liable for damage, injury, or insurance claims

Risks of Informal Access

At Victorian Property Settlements, we caution buyers and agents about:

  • Vendors denying liability for injuries

  • Insurance being voided for early access

  • Disputes over damage or unauthorised alterations

  • Settlement being jeopardised if the vendor rescinds due to unauthorised entry

David Dawn’s Professional Advice

“If you need access, get a formal licence. It protects everyone—buyer, seller, and agent. Verbal permission is not enough.”

We help clients by:

  • Preparing or reviewing licence agreements

  • Negotiating appropriate terms and insurance obligations

  • Ensuring compliance with the contract to avoid triggering default

Key Terms to Include in a Licence Agreement

  • Date and time of access

  • Purpose (e.g. inspection, cleaning, delivery)

  • No alterations or occupation

  • Insurance responsibilities

  • Indemnity clause

  • Right to revoke if contract fails

Final Thoughts

A handshake agreement won’t cut it. If you want access to a property before settlement, get it in writing. A licence agreement ensures your access is legal, safe, and documented.

Need Help Drafting a Licence to Access?

Victorian Property Settlements – Trusted for over 25 years by Victorian buyers and sellers.
📍 Based in Frankston, serving all of Victoria
📞 03 9783 0111 | ✉️ david@quick32.com
🌐 www.victorianpropertysettlements.com.au