Should I get the Property papers checked by a lawyer before every auction

Hi there

I have contacted some property lawyers in Melbourne and have been told that the first 2-3 properties they would advise for free but after that they would be charging me for checking every additional property

If the lawyer asks me to put or remove a clause before bidding ,In this heated market, would the vendor be willing to accept such a clause ?
As such any sense in getting the papers checked?
Have any members faced problems post auction which they could have avoided had they got the property papers checked in advance ?

What is the process followed by the experienced members on the forum ?

Cheers

 

The experienced buyers understand basic contract clauses.

 

The sellers are in the bargaining position. Depends what sort of clauses you want in? Looking at how our client purchases in Melbourne are tracking - it appears to be a very hot market esp in the first home buyer segment.

 

What kind of clauses are you looking to put in the contract?

 

I am not looking to put in any clause from my side, unless the lawyer insists on it

I am just trying to understand if there is any merit in getting the papers checked ?
What will the lawyer do ?
I am presuming at best He will advise me to put in a clause or delete an existing clause to safeguard my interest

But will the vendor agree to it ?
If not, then what is the use of going to a lawyer every time as I intend to bid on at least 2 properties every week

I am a first time buyer, very new to Australia so have no idea about what are the standard clauses and what are not

Cheers

 

I disagree with the Property Twins... Prior to an auction the buyers are in the bargaining position as the seller wants as many people bidding as possible at the auction.

A friend of mine was selling her house and a potential buyer asked for a short settlement clause. Her sister, who was a real estate agent, said that if a buyer asks for a change then they are serious about purchasing and said that she should never reject that sort of request. She agreed to the clause, and in the end there was a bidding war and the price went up way beyond her expectations. The person asking for the short settlement clause was the highest bidder.

Every situation is different though, but every sale is an agreement and there can be give and take on both sides (although for an auction the give and take must be agreed on beforehand), plus the vendor wants to sell and would likely to agree to anything that doesn't inconvenience or cost them too much.

And it never hurts to ask. The worst outcome is that they say no.

As far as paying for lawyers... There are other expenses around auctions (such as building and pest inspections) that will not be free for the first couple. In the situations where I was the unsuccessful bidder at an auction, I have had a lawyer review the contract for free, but paid for the inspections. After a couple of discussions with the lawyers (and reading the contracts myself) I had a reasonable idea of what most of the clauses meant.

 

If the auction is in a hot market and likely to be top dollar finish price, then you would be a fool not to have the contract check properly unless you know what your reading.

Contracts are not all standard, and vendors can have all sorts of things in there that could be a problem. If you know it is a standard contract, no problem if you understand.

Would not be too concerned about trying to modify contract to be in your favor,

 

And thats why the lawyers only review a few contracts for free. Bidding on 2 a week tells me you are not very selective. Probably want to lowball (of course you want to pay as little as you can, right?) So your going to lose a lot of auctions. Thats fine, but your lawyer isnt being paid enough.

Understand the standard contract first, then you know if something looks weird.

 

You should get legal advice before entering any contract.

 

Our conveyancer read through 6 contracts till we finally bought. Didn't charge us extra but would happily pay to be sure no issues.

 

they will normally charge if you do go past a couple.....

 

Anybody used this firm

Asking for 99$ per pre auction contract review

Victoria Conveyancing Property Solicitor - Cheapest Online & Fixed Fee

Happy to pay if recommended by members to be value for money

Cheers

 

Anyone ?????

 

I would be asking

1. is the review done by a lawyer?
2. is the conveyance run by a lawyer?
3. is a lot of the work done by off shore staff?
4. does a lawyer have any involvement in running the conveyance at all?
5. a list of the extra fees payable for circumstances outside their "standard conveyance"
6. contact name and contact details for the person who will be running the conveyance

I am not commenting directly on the link above, just generally. I don't operate in Vic so don't know these guys.

Many conveyancing firms are factories that get people in with bait pricing and then have most of it run by overseas staff or other unqualified staff. Often there are then a whole range of extra charges for anything outside a "standard conveyance". Looking at what some constitute as a standard conveyance - there would only be 10% of their transactions that would be standard.

 

@James Baker

Check the PC services directory for solicitors:

Service Provider Directory

 

Hi James, just go with who you get the right feel from, this part of the equsion does not need streamlining for some time.....i.e if you pay 3 grand in fees on a 4 or 500k property, compared to say 2, or even 1, does it matter ? Will it ,ake or break you ?

Get the buy right, as you go along you will work out the rest.

 

I got charged $400 just to review a s32 and order a meaningless cert. the lawyer even did not review the Contract, and no written report provided either. He did though called me 2-3times to talk the s32. I honestly I feel being ripped off.......

 

Unfortunately you were. No idea why you'd pay 400 just for that .

 

• Did you ask what it would cost beforehand?
• Has the solicitor read 27 of these for free for you previously?
• Will that cost for advice be offset against the purchase of that property?
• How much time was spent talking you through the S32?

 

Think what you want the lawyer to find. Settlement clauses etc are easy. I would be more concerned about easements, caveats etc

Again it comes to experience. Experienced buyers know what they do not know. So they know if there are things that they need a lawyer to review.