Buying off the plan then selling prior settlement

Discussion in 'The Buying & Selling Process' started by VinMariani, 5th Apr, 2016.

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  1. VinMariani

    VinMariani Well-Known Member

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    Hi guys,

    I wanted some advice regarding buying off the plan then selling prior settlement.

    I bought two apartments for which I put down a deposit (they are currently being built) and the settlement is due in November.

    I would like to keep one apartment but possibly on-sell the second prior to settlement.
    Is it at all possible to do this and actually break even or even make some money on it?

    What would be involved? Would I need to contact a RE agent and formally advertise it etc?

    Thanks
     
    VinMariani, 5th Apr, 2016
    #1
  2. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    Yes it is possible.

    First point would be to read the original contract and see if there are any restrictions. Then get legal advice from your property lawyer, and then find an agent.
     
    Terry_w, 5th Apr, 2016
    #2
  3. Nick Valsamis

    Nick Valsamis Well-Known Member

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    If you are restricted from doing this, then you can try asking the developer for a special exemption. Although it is probably unlikely that they would agree to it.
     
    Nick Valsamis, 5th Apr, 2016
    #3
  4. bob shovel

    bob shovel Well-Known Member

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    Have a listen to the property couch podcast. Their recent one discussed getting out of purchasing if that's another option for you
     
    bob shovel, 5th Apr, 2016
    #4
  5. VinMariani

    VinMariani Well-Known Member

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    Thanks.

    I was actually nominated for these two properties so they weren't on-sold to me as such which is against the contract.

    If I was to nominate the second property into another person's name, what is the process? Can I ask a RE agent to help me find someone willing to "buy" this way?

    Or even contacting another property manager responsible for selling these apartments at the site to see if they have potential buyers?
     
    Last edited: 5th Apr, 2016
    VinMariani, 5th Apr, 2016
    #5
  6. sanj

    sanj Well-Known Member Premium Member

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    you recently appointed a property lawyer. he/she presumably has the contracts or at least access to them.

    why don't you get specific advice from them based on the actual contract instead of random Internet opinions on the legality of something which is entirely based on the contract? how can anyone here answer that without knowing what is in the contract?


    you've got a lawyer, use them. failing that, read your contract inside out. this is a legal question, why would you be asking a forum of random who don't have the contract in front of them? it's asking for trouble imo.
     
    sanj, 5th Apr, 2016
    #6
  7. VinMariani

    VinMariani Well-Known Member

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    Good points. I did have a word with my lawyer and was told I can nominate but not on-sell these apartments.

    I am just trying to figure out how people usually nominate others to buy their apartments rather than on-selling.
     
    VinMariani, 5th Apr, 2016
    #7