Let's negotiate, how should I play this.

How sure are you that the B&P will be ok or will matter that much if you're doing massive renos?

Get B&P done during cooling off period to secure contract and if you cool off could be a ~$1,400 lesson.

 

+what OP said

Its personal choice what you are comfortable with.

However, you have the cooling period, 3 days, you can pull out right?? and how bad to want the property? will make a difference going unconditional IMO?? but your choice of course

 

Hi kinnon, I'm not sure which is why I wanted b&p, there might be termite damage trees or house, those trees are huge and costly to remove, just say'n I have no idea what will come back in the report.

So how does this 3 days work exactly? I put my offer in, it gets accepted, I have 3 working days to get the inspection done. I find to much wrong with the house and want to pull out, I loose 1400?
Is the 1400 for the agent?
My building and pest is 600.

 

Have a read of this --> Buying property by private sale

If I were selling and was presented with 2 offers - one unconditional for $720k and one subject to B&P for $720k I know which one I would be accepting. I'd probably even accept $10k less for an uncon contract if my house was in need of work.

That's from a vendor's perspective. But if I were buying a PPOR in a hot market and needed to make an uncon offer I would get the B&P done during the cooling off period and hope a deal breaker is not discovered. If something is discovered then at least it would be 0.2% well spent where I could otherwise be buying a dud that would cost a lot more in the long run.

 

Awesome thanks, greatly appreciated. I haven't bought in a hot market before so I'll give it a shot. If something is found, say 20k of repairs required, in your experience do vendors/buyers usually renegotiate the price at this stage?

 

Absolutely, this is why if I want a property I go unconditional. My last purchase in a hot market was Melb, riddled with white ants, I knew it but it was a development site, still rented it out for 9 months.

MTR

 

I thought unconditional meant no cooling off period? No B & P. No further negotiaions?
I always get my B&P done during the 1 week cooling off period. (??)
If you're going to say 'uncondtional', you might want to clarify what it means to yourself and vendor.
As Kinnon said, if house needs renos, vendor would probably prefer no conditions. Everyone is different though. You could ask.
If you could take a builder on an inspection on Monday, it might give buy you some time? If you want it, offer money and tell them you have finance and a hefty deposit burning a hole in your pocket. Baby on the way? Play it.

 

Reading through the link @Kinnon Bell posted above, 3 business days to cool off and terminate, but a fee must be paid of 100 or 0.2% or which ever is greater. Can get my b&p done in those 3 days from signing. Worst case I loose about 2k if I have to pull out.
I'd prefer to get accepted on the offer first, then get the b&p done, otherwise like many years ago, I paid for it twice, then outbid both times at auction. Wasted my time and money

I will definitely clarify the 3 day period between the agent and myself prior to offer.

 

No worries. I doubt it. You could try, the worst they could say is 'no'.

Cooling off still applies for an uncon contract. If you sign a 66W form then you can waive your cooling off period too.

3 days in Vic which isn't long!

 

Yeah so just get your hands on the contract and sign it.

 

Lucky *******. lol.
Buying in a hot market is as much fun as playing roshambo and going second.

 

If I send the section 32 to my conveyancer to look over it, will I wave my rights to the 3 cooling off business days? @Kinnon Bell

 

No. As far as I'm aware it can only be done by signing the 66w form (or by buying at auction) but I'm not a conveyancer!

 

Thanks kinnon. Time to play..

 

Good luck @Barny, fingers and toes.

 

Wow wow wow, lost out. Offered above asking and it went higher again with multi offers. Offered more, then went above and beyond almost matching renovated homes in the area. I'm blown away, even with a full Reno it's overpriced by a huge amount.
I hate this market, I'm out. Thanks for the help peeps.

 

Waaaahhhh. I know it's cold comfort that someone overpaid but at the end of the day even though it's a PPOR you have to keep some sensibilities.
On the plus side, you've now found 3 or 4 that suit your needs so another one will come along

 

True, more will come along. And I'm sure they will cost more again. Little down at the moment. Can't believe my unconditional offer wasn't accepted over someone paying a tiny bit more and subject to building and pest. Unless all is lies from the agent. I would have signed my offer instantly if I was selling, I know this market, or though I did.

 

I've found in a hot market unrenovated properties can sell for the same as renovated.. trying to explain the maths to the agent is like banging your head against a brick wall sometimes..

Why spend your hard earned cash and time, and live with the inconvenience of a reno when you can buy a renovated property cheaper?

 

I agree. And the agents will respond by saying but you get to renovate it the way you want.