Hi just have some rookie questions When making an offer is it common to be something like this I offer xxx amount for property at address xxx This offer is subject to finance, pest and building inspection The deposit will be 1% which is xxx This offer expires on date xxx at time xx Is it common to have the building, finance, pest in this section of the offer or only the contract of sale? Thanks.
It depends on the state you are buying in. In QLD you would make your offer on a contract that you have fully signed. Most common terms Building and Pest 7 Days from Contract Date Finance 14 Days from Contract Date Amount: Sufficient to Complete Financier: Buyer's Choice Settlement 30 Days from Contract Date You can withdraw your offer at anytime prior to the Seller or their Agent communicating acceptance. That is why good agents will call you the minute the Seller signs
Sounds fine - the process does depend on the state/territory though. Chances are they will want all this info to be written into a contract of sale. Cheers Jamie
Can't help there QLD based and opening in NSW next month but I don't even have any of my lawyers who originally practiced there. But plenty of people on here will be able to, this is an outstanding forum with so much knowledge on here, you have come to the right place.
In Vic you are normally expected to make and offer by signing a contract. In a current sellers market the less conditions you have the better change of acceptance. (If lowballing, only chance to secure the property) Also in Vic (Melbourne) deposit is expected to be about 10% paid when you sign the contract, otherwise a vendor might not take you seriously. In a current market agents do no like to take offers to a vendor if not made by signing a contract. Also in Vic if expiry time is not specified on the offer, the offer lapses after some time. Please anyone who has more detailed knowledge correct me if I am wrong, but I thought that it is 3 days by law. After that the offer is void. However you can specify the offer expiry time.
Thanks, so im right in saying that there won't be any holding deposit, just the 10% on exchange of contracts for VIC? Thanks
you would normally need to include a initial deposit of $1,000 and then 10% on exchange, if there was no holding deposit I would be reluctant to accept. If you cant fork out $1,000 to secure a xxx,000s+ item then you shouldn't be looking. Yes it is three CLEAR business days for cooling off in VIC if using the REIV CoS.
Being VIC, you would write into the Contract of Sale, it would specify everything and once your and vendors signature (with all initials if amendments) then it would be a legally binding agreement. If you took that note to the REA he would likely just complete the COS for you and get you to sign it.