Buying a house can be a confusing process which takes a lot of time. That's why we have prepared this article to help guide you through the property buying process.
Here is your step-by-step guide to buying a house:
Step #1: Review the contract
This is an important step before you sign any document. You and your conveyancer should have at least discussed the settlement process, the value of the property, and the deposit required. Before signing anything, you should obtain a pest and building inspection report, and an easement and boundaries report to make sure that there are no unexpected issues with the property. Your conveyancer should be able to give you advice at this stage.
Step #2: Exchange of contracts
If both you and the seller are happy with the conditions then it’s time to sign the contract documents and exchange them with the vendor. This is also the time where you need to pay the deposit. The contract should include the complete address of the property, the name of the seller and buyer, the selling price, terms and conditions, and the settlement date.
Step #3: Before settlement
Your conveyancer and the seller’s solicitor should be the ones to arrange the transfer of legal title of the property from one person to another. Your conveyancer should be able to arrange any loan documentation to make sure that there will be money available on settlement day.
Step #4: Cooling-off period
In most states if you bought the property through private treaty there is a cooling-off period. The cooling-off period starts once the contracts have been exchanged. This lets you cancel the contract within a specified number of business days but with a penalty. The cooling-off period time and penalty will depend on your location.
Step #5: Settlement day
Settlement is the last step in the property buying process. At this stage, your conveyancer will transfer the money to the seller, the documents will be handed over to you and your lender, and the keys to the house will finally be yours.