Buying a home is likely to be one of the most expensive investments you ever make. So it’s important to understand the buying process and be well informed about the property market.
With so much to think about and so much money at stake, every decision is an important one. For further information on the processes and current legislation, we recommend you visit: http://www.fairtrading.nsw.gov.au/Tenants_and_home_owners/Buying_property.html
Australia is well renowned as ‘the lucky country’ and owning your own home in one of Sydney’s prime real estate locations is, for many, the ultimate dream. In order to turn your dream into reality, it is important to try to base your decisions and actions on logical motivations rather than emotional impulses, and do your homework so that when you find the property that is right for you, you are in a position to move forward.
Banking on Your Budget
The fundamental aspect you need to establish is your budget. Your bank or mortgage broker will be able to provide financial advice on your borrowing power, however, it is important to keep a level head and not get overly excited and out of your depth with the maximum amount that you can borrow. It is always a good idea to consider a number of ‘what if’ scenarios regarding your future. For example, your financial provider will not necessarily take into account that you and your partner may be planning a family and therefore will be reduced to one salary. These types of circumstances will significantly influence your ability to keep up with mortgage repayments.
The Early Bird Gets the Worm… or in this Case, the House!
It is recommended that you arrange pre-approval of your loan so that when you do find a property that you fall in love with, you can move on it quickly. Make sure you register to receive the CJ Hills Real Estate property email alert. This will allow you to receive notifications of properties about to go on the market, before others hear about them. In addition to our property listings on this website, we also advertise on www.domain.com.au and www.realestate.com.au. If for any reason you are unable to attend a scheduled inspection time, we will do our best to arrange an alternative time that is convenient for both you and the vendor.
Make a Wish!
Take the time to write a list of all your ideal property ‘must haves’, ‘nice to haves’ and ‘don’t wants’. This will help you to clarify your personal priorities and expectations when looking for properties. It will also help you to remain flexible and realistic when considering specific features on which you may be prepared to compromise.
BFF! (Best Friends Forever)
We recognise that our buyers are our clients too, and given that our business is built on referrals, we pay particular attention to investing time and energy into all our relationships and ensuring that we work in your best interests too. Keeping your agent up to date of your buying position can ensure that you are in the best position to secure a property. In other words, be sure to keep us informed if you are waiting to sell another property before you can move ahead, if you’re waiting for finance approval or if someone else is representing you at an auction etc. Take a look at our testimonials to see some of our previous buyers turned lifelong friends.
Ensuring What You See Is What You Get
Before you make an offer or establish your maximum bidding price (if the property is going to auction), it is important to arrange a building and pest inspection, and for units that are managed by Strata, a Strata Report. The findings of these reports may impact what you are prepared to pay for the property. We can recommend and refer you to a number of reputable independent building and pest inspection companies should you require.
Making an Offer
Offers are to be made in writing, either hard copy or via email, to the selling agent so that the agent can take the offer to their vendor. The agent will then negotiate between you and the vendor. Depending on the terms of the contract, you may need to act quickly and exchange unconditionally or the vendor may allow a cooling off period. You can choose to waiver this with a mutual agreement between the vendor and yourself.
Going Once, Twice, Final Call…
If you are intending to bid and buy at auction, you must register as a bidder on the day. A representative may only bid on your behalf if they have a binding authority form signed by you. Should the property fail to reach the reserve, the highest bidder will have the first right of negotiation.
If your offer has been accepted either via Private Treaty negotiations or at auction, you will need to sign the sale contract and pay a deposit (usually 10%). This money will be held in trust in an interest bearing account until settlement. This interest is shared between you and the vendor.
When contracts are exchanged, there is usually a six week period until settlement occurs. Prior to settlement, your solicitor is likely to advise a pre-inspection settlement to ensure everything at the property is in the condition you agreed to and that all the inclusions meet the specifications outlined in the contract.
We are here to help you navigate through, what may feel like, a daunting maze of not knowing what to do next. We deal with solicitors on behalf of our vendors and buyers almost every day and are well versed in every aspect of Real Estate law. We try to take away the stress to turn your ‘dream home’ into ‘your home’!