Purchasing a property? This is what you need to know!

Whether you’re a first home buyer, experienced home buyer or seasoned investor, one thing remains the same:

Once you sign a Contract of Sale, you are legally bound.

Many people assume a Contract of Sale is “standard”. Unfortunately, by the time problems are discovered, your options can be limited — and expensive.

Obtaining legal advice before you sign a contract allows you to proceed with the purchase with confidence, minimising unnecessary risk to you.

What are the benefits of obtaining pre-contract advice?

Unfavourable Special Conditions

Contracts are often drafted to protect the Vendor or work in the Vendor’s favour. We identify clauses that may expose you to financial or legal risk, or be at detriment to you. We also ensure that the Contract represents exactly what you have agreed to purchase and the terms of that purchase.

Title Issues

Easements, covenants, zoning restrictions, or unapproved structures can affect how you use or develop the property. Not having a clear understanding of any easements or covenants on the title can also put you at risk down the track.

Finance & Termination Clauses

Whilst subject to finance clauses seem simple, there are legal obligations placed on the purchaser that determine the ability to end the Contract if finance is not obtained. Not understanding your obligations under the finance clauses could put you at risk of losing your deposit.

Settlement Times

Fast settlement times can create stress and financial penalties, particularly if you require finance approval. Our pre-contract advice provides guidance to you on the steps you can take to ensure settlement proceeds smoothly with no delays or penalties.

Auction Contracts

If you purchase at auction, there is generally no cooling-off period. The contract becomes unconditional immediately. This means you do not have time to get the Contract reviewed in the normal “cooling off” period.

Building Defects and Pest Reports

Understanding your obligations to obtain a satisfactory building and pest report are crucial to minimising the risk to you. Not undertaking these reports as required by the terms of the Contract may mean the Contract is still legally binding even in the event of any major structural defects.

Obtaining pre-contract advice will provide:

✔ Clear advice as to exactly what you are buying

✔ A clear understanding of your obligations in accordance with the terms of the Contract

✔ Opportunity to negotiate the Contract if there are terms that are not in your favour

✔ Protection against common mistakes that people make that put them at risk of losing their deposit and more

✔ Peace of mind

Purchasing a property is one of the biggest financial decisions you can make. Obtaining proper legal advice before you sign is a small price to pay to keep expensive problems away!

If you are looking to purchase a property, be sure to contact us to obtain your pre-purchase advice!