Found the perfect property and keen to make it yours? Before you submit your offer, there are a few must-dos.
Whether it’s your dream home or the ideal investment, landing on a new property is a pretty exciting event.
But while it’s easy to get caught up in the thrill, it’s well worth laying a bit of groundwork before you put in your offer.
1. Make sure you’re financially ready
Buying a property is a huge financial commitment. You might be locked into a mortgage for several decades, so you want to ensure your finances are in order before signing up for one.
Make sure you’ve got home loan pre-approval ahead of putting in your offer. This gives you a clearer (but not necessarily concrete) idea of how much you can borrow and the price you can submit in your offer.
Check you can afford the repayments, too. Sit down and put together a budget that factors these in, because with the cost of living today, this part is more important than ever.
And remember, not only do you need to fork out a significant amount of money for the deposit, but you’ll also be up for several other up-front costs.
These may include stamp duty, legal and conveyance fees, and insurance.
2. Get in touch with a conveyancer
The legal aspects of purchasing a property can be tricky to navigate, which is why engaging a conveyancer can make all the difference to your purchase.
A conveyancer specialises in the legal side of property transactions, ensuring the transfer of ownership goes smoothly and is in line with applicable laws and regulations.
Your conveyancer can help you go through the seller’s contract of sale – an important document that must be made available to prospective buyers.
It includes the property’s zoning certificate, a copy of the property’s title and other documents, along with details on the property’s purchase conditions.
3. Do your due diligence
The initial inspection will give you a decent idea of a property’s condition, but it doesn’t tell you everything.
Organise an additional inspection to take a closer look and to gauge things you might not have paid attention to previously – like noise, parking and neighbours.
As part of the inspection, your prospective purchase will be thoroughly investigated from top to bottom for structural problems, safety hazards, asbestos, rising damp, and the presence of pests like termites.
There’s a visual check of the property’s plumbing and electrical to check for any issues, too.
4. Get ahold of your emotions
There’s often a lot of emotion involved in purchasing a property, especially if it’s a home you intend to raise a family in.
You might be immediately swayed by the picture-perfect bay windows, or perhaps you’re worried you’ll miss out on a lucrative investment opportunity.
Your feelings towards a property absolutely have a part to play in the process, but to ensure your decision isn’t being overly influenced by your emotions, weigh them up against the property’s objective advantages.
This is where a professional, like a conveyancer, can really come in handy. They assess the property’s fundamentals to guarantee you’re not looking at them through rose-tinted glasses.
5. Think about what to include in your offer
If you’ve done all your checks and the property seems like a worthy purchase, you might be ready to put together your offer.
There are several elements within a formal offer. Price is obviously a big one, but it’s not as straightforward as just putting down the asking amount.
Think about the property’s condition, whether it needs renovations, what you’re comfortable paying based on your research, and your pre-approved mortgage amount.
You also want to include your deposit, proposed closing date and any special conditions – such as whether you want the seller to make certain repairs or have the property professionally cleaned before closing the offer.
Once again, your conveyancer can support you with putting together your offer to ensure it’s as comprehensive and compelling as possible.
