Once you’ve found your home or investment property we recommend it is a good idea to obtain pest, building and/or strata inspections. We can make the arrangements for a pest, building and/or strata inspection to be done for you. The approximate costs for a pest & building report (combined) is $595.00 (approximately) and a strata report is $295.00 (approximately).
A “sales advice” is forwarded to our office and we contact the vendor’s solicitor or conveyancer to obtain a copy of the Contract for Sale. Once our office receives the Contract, we contact you to make an appointment to come in, get advice on the contents and sign the Contract if you are happy to go ahead with the purchase. You will need to bring with you the amount of the agreed deposit (usually 10%) as this is payable on the date of exchange. Deposit can be paid by personal cheque and made in the favour of the selling agent.
Your agent may encourage you to sign the Contracts for Sale with a “5 day cooling off period”. This means you have exchanged a Contract to buy a property but you have 5 business days (until 5.00pm on the 5th business day) to rescind the Contract. You will forfeit 0.25% of the purchase price to the vendor should you rescind.
Most transactions take 6 weeks to complete and this is why 42 days is the standard completion time-frame on most Contracts. However this date can be negotiated if needed.
Finance from a Lender:
Your lender will want a copy of the front page of the Contract for Sale so that they can start to prepare mortgage documents. It is often a good idea to bring all the details of your lender with you when you attend our office to sign the Contract. We are able to assist you with the signing of mortgage documents if need be.
Costs to take into consideration:
Stamp Duty is payable either 3 months after exchange or on the day of settlement, which ever occurs first.
Our Fees for a purchase are $1,200.00 inclusive of GST plus disbursements for government searches and certificates. We do not charge for faxing or photocopying.
Our fees include reviewing and explaining the Contract for Sale to you, dealing with the seller and their solicitor or conveyancer in relation to exchange and any changes you may require, dealing with your incoming mortgagee in relation to your mortgage, undertaking searches of government department records in relation to the property (council, water, education, energy, state rail, roads & traffic, defence, etc), arranging and attending settlement on your behalf. Once settlement has taken place we provide you with all of the documents relevant to your purchase.
Bank Fees are different for every lender. Ensure that you take into consideration such things as bank cheque fees (usually around $10), mortgage insurance, mortgage stamp duty, application fees, etc.
Adjustments of rates are made on settlement for council, water and strata, if applicable.
A few days before your matter settles we will contact you to confirm that settlement is going to occur. You do not have to attend settlement; we will attend on your behalf. We will give you a “settlement sheet” and “settlement statement” showing all the calculations for the property and where the money for your purchase is coming from. You will not be allowed to move into your new home until settlement has been confirmed with the agent. Once this happens you can attend the agent’s office, collect the keys and move in! After settlement we will forward to you all final documentation in relation to the purchase. You should contact your accountant to obtain advice on your taxation obligations.