Purchasing Property

Price Range

Research your desired area and decide what you would like to spend ideally.

Home Loan

The next step is to arrange pre-approval from your home loan lender. Pre-approvals will be subject to conditions and your Lending Manager will advise you of these conditions. Most Pre-approvals are valid for 3 months. Once you have this in your possession, you can house/unit hunt knowing your price range, and know that your financing is up and ready to go.

Legal

Select a Solicitor. There are several alternatives for choosing a solicitor or conveyance firm. You may already have a solicitor, your Lending Manager may suggest one that they use, a friend may recommend one to you. In any event, a professional service is considered a must for the legal side of your property purchase.

Building Inspections

Inspections of properties for pests and building can be considered "a must" before purchase. Contracts can be made subject to clear building & pest inspection. If the report(s) show reason for repair, this can be negotiated with the sellers. In some cases, the reports have already been done by the seller(s) and can be purchased by interested parties. Check with the selling agent.

Property Valuations

Property valuations can be ordered via your Lending Manager or in some cases the lender requires that it is done through them directly. Property valuers consider the age, size, condition and position of the property. The valuation is produced so that your lender can see that the property that they are lending on is worth at least the purchase price.

Contract

Residential property must have a sale contract to be able to be on the market as a property for sale. You are entitled to examine the contract at any time prior to making an offer or putting down a deposit. There will be two copies of the sale contract - one for the seller and one for an interested purchaser. Once each copy is signed, they are then exchanged. A deposit is expected at this point, normally 10%, with some exceptions. Copies of the contract should be given to your mortgage consultant and solicitor at this point. Once you have invested in a deposit, it is wise to discuss insurance with your conveyance or legal firm.

Pre-Approval to Final Approval

Working with your Lending Manager in getting any further documents required, home valuation, building inspections and the like, all being well, your Lending Manager will provide you and your solicitor with a Final Approval, or Unconditional Approval. At this time all of the costs of the loan should be presented to you. This will usually be followed by a formal ‘Letter of Offer’ from your lender.

Settlement

Settlement of your purchase will take place as stated in your contract. Your new Lender’s solicitor will arrange a time with your own solicitor. The time between finding your new home, securing your home loan is usually between 4-8 weeks. The time for settlement can vary and this information is given as a guide only, as each situation is different.

Note: If you are about to attend an auction, please check the Auction Information section. Attending Auctions