Hi all I'm new to both property chat and the property world. I have read some very interesting threads and was hoping for some guidance. I'm looking to purchase in QLD, specifically around the logan region site unseen. I have come across a few properties that I wouldn't mind. I did want to place an offer on a property, however, my MB has requested I not submit a formal proposal until i run it by him. Don't know if that is the norm? I have asked a real estate agent if i could put through an informal offer and his sent a form to complete. Should i already have a solicitor on hand? Also, what special considerations does one put on the contract?
Some times it can be worth chatting to your MB prior to putting in an offer - for eg in Qld, settlements get expensive if they go over the set date so he/she might just like to make sure there's enough time in the contract for finance and settlement, especially if you live remotely or the lender you're using is a bit slow for eg.
Yes. A solicitor and tax advisor can do more for you (e.g. structuring) if you engage them before you make an offer. A solicitor can advise you on what special conditions to include in your offer.
Different brokers have different ways of doing things. I generally look over supporting docs, etc and make sure I'm reasonably certain that finance will be approved before I give clients the OK to start placing offers. I generally request that they have a finance clause as a backup - if they want to forego the finance clause then I'd likely arrange a pre-approval with a lender that actually assesses pre-approvals. Cheers Jamie
If you haven't, then I would insert a special condition along the lines of: This Contract is subject to and conditional upon the Contract being reviewed within 10 business days from the Contract Date by the Buyer's solicitor and the review report must be to the Buyer's satisfaction. Should the review not be satisfactory to the Buyer, the Buyer may terminate the Contract by notice in writing to the Seller's solicitors within the 10 business days, and the Deposit paid will be refunded to the Buyer.
You can insert any clause you want. But as the vendor, I would read this clause as. " I don't know if I want your property. But how about you take it off the market for 10 days while I make up my mind. Oh, by the way, if I don't go ahead you don't get anything". Marg
Agree - I'd give them a copy of the contract, and once it has their soli's approval they are welcome to sign.
As a vendor, would you also read the Finance clause as. " I don't know if I want your property. But how about you take it off the market for 20 days while I make up my mind. Oh, by the way, if I don't go ahead you don't get anything"? Of course not. I put that Solicitor clause plus a number of other clauses in every Contract I have signed over the last 15 years (the last one being in February this year) and I have never had the response you are suggesting. BTW, I have only ever pulled out of one property Contract in my entire life (and there have a lot that I have signed) and that was due to a B&P inspection.
I have a different approach - I don't like incurring legal fees until I have the property under Contract.
Nothing stops you from advertising the property as normal, run your open house as normal. So you don't lose anything it is just the same as a STF. It would be stupid to stop advertising or marketing a property when a property is not yet unconditional, regardless of which condition hasn't been met including cooling off.
