FAQ’s buying Perth property Oceania offers free information to assist you when you sit down with a real estate agent.
What name or names to purchase the property in?
The contract should state your full legal name as per your birth certificate or passport, including any middle names.
You want to sign a contract while your partner is away? You can act as their agent, state in the contract. Example Toni Ann Smith and Toni Ann Smith as Agent for Jerry Smith.
Buying a property for Superannuation Trust or Family Trust, the contract should state the full names of the trustees as per the Trust Deed prepared by a solicitor. Example: John Mathew Dodds & Marie Dodds as trustees for the Dodds Family Trust.
How much deposit should you pay?
Depending on the amount you are paying for the property the seller should accept between $1000 to $5000. Whatever you can negotiate. In todays climate a lot more real estate agents are asking for deposits between $5000 to $10,000.
Deposit will be held by the Real Estate Agent until settlement, in a non interest earning trust account.
Finance approval how long does it normally take?
Most lenders or finance brokers need up to 21 days to obtain finance approval, longer if you’re self employed as you need to provide 2 to 3 years of tax returns. You will have better bargaining power if you have a pre-approved letter from your bank.
Settlement Date how do you calculate if you are waiting on finance approval letter to buy the property?
Your bank will need 21 days from finance approval to ready themselves for settlement. If the lender is based in the eastern states you may need up to 28 days.
Inspections check Structural, Termite, Electrical, Pool, Bore who pays?
The buyer pays for the inspections, check the wording in the contract to ensure it states the seller has to repair structural issues, treat live termite and if they are unwilling you can withdraw and deposit is returned. If the property is over 15 years recommend inspections be done before finance approval.
Duty (stamp duty) who pays and when?
Buyer is liable for duty. Oceania will collect the duty from your bank on the day of settlement and pay the Office of State Revenue.
When can you move in?
If seller lives in the property, they are entitled to stay until 12 pm the day following settlement to move out, you can then move in.
If the seller decides to move out early and agrees to you moving in after they have confirmation settlement has taken place, arrange your removalist after 3pm, your settlement may not take place until 2.45 in the afternoon