The buyers of about 140 properties may be unknowingly affected by road corridors after the state government admitted a major administrative bungle late on Friday.
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The error relates to the proposed F6 motorway through southern Sydney and the Werrington Arterial road near Penrith.
A statement from the Finance, Services and Property Minister, Dominic Perrottet, said Land and Property Information services had issued incorrect certificates to property buyers along these corridors.
"I have been advised that an estimated 309 inquirers may have received an incorrect response," Mr Perrottet's statement said. This affected "at least 140 recently transacted properties in which Roads and Maritime Services (RMS) may have an interest".
Mr Perrottet said he had been made aware of the errors late on Thursday.
The errors relate to the Central Register of Restrictions, which tells prospective property buyers if the government has any interest over land they are looking to buy.
The errors affected searches undertaken through the CRR from June 27 to October 24.
"The properties are potentially affected by the proposed F6 motorway and the Werrington Arterial project," Mr Perrottet's statement said. "Efforts are continuing in the department to determine the complete details in relation to this error.
"This is a concerning incident for people who have recently purchased property in the affected areas, and the government's first priority is ensuring that affected residents are provided with the correct information and support they require."
Mr Perrottet said he had asked the Customer Service Commissioner to ensure residents who may be affected receive assistance, and had instructed the secretary of his department to conduct an immediate independent investigation.
The F6 motorway is intended to run south from WestConnex at St Peters through to the Sutherland Shire, while the Werrington Arterial Road is an upgrade to Kent Road and Gipps Street, Claremont Meadows.
The Baird government intends to privatise the Land and Property Information service.
Residents who believe they may be affected by the error are being advised to contact the Land and Property call centre on 1300 052 637 or email generalenquiry@lpi.nsw.gov.au.
