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Subdivision- Selling the new lot.

  • Writer: Swarup Dutta
    Swarup Dutta
  • Aug 3
  • 2 min read

When Can You Sell a Subdivided Lot in Victoria?


If you’re planning to subdivide your land in Victoria, it’s important to understand when you can legally sell a newly created lot. This guide explains each stage of the subdivision process and when selling becomes legally permitted.



Plan of Subdivision
Plan of Subdivision
  • Quick Summary


You can only sell a subdivided lot after new titles are officially registered with Land Victoria.


Prior to this, you may use conditional contracts, but they are not legally binding as sales.


The subdivision process usually takes 12 to 18 months from start to finish.


  • Step-by-Step: Subdividing and Selling Land


1. Get a Planning and Subdivision Permit

Apply through your local council.


The permit includes a list of conditions (e.g. connecting sewer, water, power, roads).


You cannot sell yet.


2. Complete Required Works

Fulfill all permit conditions.


You might install services or agree to delay them using a Section 173 Agreement (a legal contract with council).


Still, no legal sale allowed yet.


3. Obtain a Certificate of Compliance

Council inspects the site and confirms all conditions are met.


They issue a Certificate of Compliance.


This is needed for final registration.


4. Register Titles with Land Victoria

A licensed surveyor lodges your Plan of Subdivision and supporting documents.


Land Victoria processes the application and issues new titles for each lot.


You can now legally sell the lots.


  • Can I Sell Before Registration?

Technically, no. You can’t complete a sale before titles are registered.


However, you can:


Sign “subject to subdivision” contracts


Allow builders or buyers to reserve lots


Use these agreements as part of off-the-plan marketing


Just know:


These deals are not legally binding sales


You can’t settle until the titles exist


  • How Long Does It Take?


On average, the full process takes:


Stage Time Estimate

Planning approval 6-9 months

Construction and compliance 2–6 months

Title registration 1–3 months

Total time 12–18 months


Timelines vary based on council, location, and complexity of your site.


  • Costs and Tax Considerations


Costs per lot may range from $50,000 or more, including:


Council fees


Engineering


Sewer, water, NBN connections


Legal and surveying fees


  • Tax and contributions you might pay:


Capital Gains Tax (CGT) on profits if not your primary residence


Goods and Services Tax (GST) if selling vacant land


You may use a GST margin scheme to reduce tax payable


Councils may require a Contribution- minimum 5% of land value.


Always speak to a property accountant or solicitor before proceeding.


  • FAQ


Can I list the land for sale before I have titles?

Yes — but only under conditional terms. You can’t complete a sale.


Do I need a solicitor?

Yes. Subdivision involves legal contracts, title registration, and possibly tax implications.


Can I build and sell together?

Yes. Many developers subdivide, build homes, and then sell the properties.


Conclusion

You can only legally sell a subdivided lot in Victoria after the new titles have been registered. Any sale before this is not enforceable and must include proper legal disclaimers.


If you’re unsure about where to start, a qualified town planner, surveyor, or solicitor can guide you through the process.


Talk to Swarup to subdivide your land.

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