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QLD Deposit

Discussion in 'Where to Buy' started by hash_investor, 30th Mar, 2016.

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  1. hash_investor

    hash_investor Well-Known Member

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    What is a common deposit money in QLD to make an offer. In NSW we put 0.25% how much in QLD? An agent has sent me a contract copy with deposit money as 10K.

    WTF?
     
  2. kierank

    kierank Well-Known Member

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    For my latest purchase (settles next Wednesday), I handed over $1k on signing of contract and increased the deposit to 2% of purchase price when the contract went unconditional.
     
  3. Tranquilo

    Tranquilo Well-Known Member Premium Member

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    1k deposit until settlement for my Qld IP
     
  4. A Jeremy

    A Jeremy Active Member

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    I second this. I don't have spare capital laying around. It's invested.


    Jeremy
     
  5. Jess Peletier

    Jess Peletier Mortgage Broker - Australia Wide Business Member

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    I tend to put as little as possible down - if you don't like what's in the contract, change it.
     
  6. kierank

    kierank Well-Known Member

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    I feel it depends on the purchase price.

    If you are buying a $200k block of land, $1k might be accepted.

    If it is a $3M PPOR, $1k might not be accepted and you might be pushed to increase your deposit.
     
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  7. Inov8ive

    Inov8ive Well-Known Member

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    Just tell them you will pay 1k or 2k and they will be fine.
     
  8. Jamie Moore

    Jamie Moore MORTGAGE BROKER - AUSTRALIA WIDE Business Member

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    Generally there's a $1k deposit when your offer is accepted - then a larger deposit is payable once contracts go unconditional.

    Cheers

    Jamie
     
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  9. Azazel

    Azazel Well-Known Member

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    I usually note a figure like $1k in the contract, but don't transfer it until they accept.
     
  10. Marg4000

    Marg4000 Well-Known Member

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    You can go as low as the vendor is prepared to sign off on.
    Marg
     
  11. Befuddled

    Befuddled Well-Known Member

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    The bare minimum is 1k initial deposit until settlement. In my recent purchase however I offered a 10k balance deposit upon unconditional to strengthen my offer. Do seek legal advice though, I only did it because I knew finance was not going to be a problem.
     
  12. Dmarkw

    Dmarkw Well-Known Member

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    Balance deposit should never exceed 10% either as it becomes an "installment contract". Unsure of the implications of this.
     
  13. Azazel

    Azazel Well-Known Member

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    I prefer to put an amount rather than a %.
    % amount could change depending on factors such as B&P results.
     
  14. Marg4000

    Marg4000 Well-Known Member

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    I always insist on enough at unconditional to pay the agent commission in case the sale does not go through. Agent still entitled to commission. Seen it happen recently.
    Marg
     
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  15. Big Will

    Big Will Well-Known Member

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    Typically the REA will want to make sure there is enough in the total deposit that they still get paid.

    As @kierank mentioned before it depends on what you are purchasing as a 3M place is highly unlikely to be accepted on a 1k deposit.

    Typically 1K initial is to pay the cooling off fee if you do use it and then enough to pay the fees due by the REA for the full deposit.

    Also be mindful that if you put down $20,000 deposit and you pay 1k deposit then 4k and then another 5k later it could also be deemed as an installment contract.
     
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  16. kierank

    kierank Well-Known Member

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    Totally agree. In my contract, it did specify an actual amount. The total deposit was equal to 2% of the purchase price.
     
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  17. Azazel

    Azazel Well-Known Member

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    That's the ticket.
    Where does that saying come from?
    Hmm...
     
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  18. dabbler

    dabbler Well-Known Member

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    Made many offers, no money, some ask for something to see if your serious, 10k down to make an offer..... they are pulling your chain or have too much interest, or you got something wrong.

    If offer accepted, 1k is common.

    In NSW you do not pay .25 for an offer either.
     
  19. Chode

    Chode Member

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    We paid 1k with contract and 14k once it went unconditional. Had the usual "conditional on finance with x bank" clause so size of the deposit wasn't a big issue really.