Buying a home is a very exciting prospect. It lets you have a new environment and a fresh start in life. However, the purchasing process can be very stressful, involving a lot of paperwork and steps. Here’s what you can expect:
1. Understanding the contract
It’s important for you to understand the contract of your purchase of the house. There can be a lot of legal terms, but you need to read everything through before signing. There are many property lawyers in Townsville and other parts of Queensland who can help you understand the technicalities. Make sure that you have your lawyer present before signing anything.
You need to do a number of inspections before exchanging any contract. These ensure that your house is safe for inhabiting. You need a report for a building inspection to ensure that the infrastructure is strong. You also need to have the house checked for pests or infestations, such as termites, which can weaken its structure.
Boundaries are important, so you need a surveyor to inspect the property and create a report on whether the house’s fences are within your property. The surveyor can also tell you if any of the neighboring houses have crossed your boundary.
Lastly, you need to have the local Council inspect your home. They can tell you whether they have any concerns about the property or if they approve of it.
3. Financial matters
Many people get loans in order to purchase property. In this case, you will have to give your finance provider copies of your legal documents. Once you are approved, you can proceed to prepare your deposit.
The deposit is the amount of money that you need to pay to the real estate agent before you can buy the house. Normally, this is 10% or 20% of the total price of the property, but it can be smaller, depending on the negotiations.
4. Contract exchange
Once everything has been agreed on, the deposit has been paid, and you are satisfied with the deal, the exchanging of contracts can proceed. This is when your lawyer exchanges the contract you signed with the contract signed by the seller of the property. After this is done, the house is effectively off the market.
A cooling-off period of five business days will be observed after you receive the signed contract. During this time, you are given the opportunity to change your mind. If you do, then the vendor must give you back the deposit.
5. Conveyancing period
Conveyancing is done in order to make proper inquiries about the title and ownership of your property. Your conveyancing lawyer makes certain that the title transfer and settlement are done properly, ensuring that your rights are protected during the transaction and that you meet all the necessary legal obligations.
A week before the final settlement, you will need to pay the rest of the amount to the vendor of the property. You can then make a final inspection of the house in order to determine if any problems have been overlooked. This is also the ideal time for you to arrange for house insurance.
The settlement gives you ownership of your new house. Documents for title and transfer are given to you. You can collect the property’s keys from the agent, and start to move in. Congratulations on your new home!
Purchasing a house is both exciting and frustrating. It will be even more stressful if you don’t know the legal side of things. Spare yourself the headache of not knowing what to expect by keeping these things in mind.