Buying private sale Victoria process

I am quite new to the buying process.

I have found that at times I have offered a unconditional contract that some agents will hold the contract for 24 hours before they present to vendor. In this process they call all other interested parties to start a private sale auction like process.

Is this quite normal as I don't like getting into a bidding war. Are there ways around this for quick sale. I know a sunset clause of 24 hours or 5pm that same day is possible.

 

I think you answered your own question You could even make an offer that morning that expires 12 pm. Always have a solicitor/conveyancer look over the contract to ensure you have the correct clauses/conditions.

 

No need to get into a bidding war, but it's prudent to be strategic. You wouldn't want to lose a good property over a small difference in the purchase price. Plus it's handy to reserve another 5-10K in your budget (hold it back from your offer), to later increase your offer if the agent pushes you. That way, the vendor feels that they have "won", the agent looks like they have added value and you're fine, because that extra money was always in your budget!

 

Thanks guys great tips!

 

I'm in a similar situation- we bought at auction last time so aren't quite sure how private sale process works. We have found one we are keen on that's within budget.
It's a great price, but we have only just began a refinance/equity release but our broker has provided us with a max figure for the new IP purchase. The property we are looking at is 70k under this figure.
Serviceability is there, it's just a matter of the refinance going through, releasing equity and then making a new app for the new IP.
Is it okay to make offers now or do we wait til the refinance and equity release is done before we go making offers? If it's okay to make offers now,
how should I word a "subject to finance"and "building and pest clause"?

 

Hi @Otie

You really should have a solicitor/conveyancer chosen first and have them guide you.
With respect to deposit money... keep in mind that when you go under contract, deposit money will be due soon thereafter so you must have access to this money. Unless you have that money lying around it would be far safer to wait for your equity release to be settled (not just approved, but settled).

 

Hi Otie, private sale is 10 times better for buyers I feel so you are better off. My advice would be to wait until refinance. Refinance can sometimes not go as quickly as planned. However if the property is an amazing buy, cover yourself but putting in relevant clauses in the contract (engage a good conveyancer to help you) so you can get out relatively unscathed.