How to Buy
Karl can take the hassle out of the property purchasing process, making moving an enjoyable, easy experience.
Several web sites include information on recorded sales. Whilst it is useful, some published data can be out of date, especially in a changing market. Most people attend open for inspections and auctions to find out what is really happening in the area at the time.
Making An Offer
- In Queensland, an offer to buy a property is usually made in writing on a pre-printed contract, but may also be submitted on a single page ‘letter of offer’
- The real estate agent will ask you to sign the contract documents in the correct order, which includes the 27c and 30c disclosure statements
- The real estate agent then presents your offer to the seller; the seller may accept, reject, or countersign your offer
- Once negotiations have been completed, the contract is signed and intialled by all parties. The deposit is paid and a copy of the contract is sent to each solicitor
Queensland property law states that the property is at the buyer’s risk from 5pm the business day following the contract date. In other words, you need to arrange a cover note to insure the property as soon as you get a contract on a property.
Cooling Off Period
Under Queensland legislation, property buyers have a standard five day cooling off period. If you change your mind for any reason you can pull out of the contract (a termination penalty of 0.25% may apply). The five day cooling off period does not apply when someone buys a property at auction.
- The most common conditions are ‘Subject to Finance’ and ‘Subject to Building & Pest Inspection’
- The time frame for most conditions to be satisfied is usually 14 or 21 days
- Once all conditions have been satisfied the contract becomes ‘unconditional’
Buying at Auction
The main advantage with buying at auction is you know exactly how much the competition is willing to pay. By contrast, if a private treaty property has an offer on it, you won’t know how much the other buyers are prepared to pay.
Buying at auction is more transparent than private treaty because an auction is conducted in an open forum, not behind closed doors. When buying at auction, be aware that the contract is not subject to finance or building & pest inspection. A bid at auction is known as ‘cash unconditional’.
If you would like to know more about how to buy at auction, simply contact Karl Grossman from LJ Hooker Property Hub on 0413 73 288 and he can explain reserve price, how to register, bidding at an auction and any other questions you may have.
|Total||$12,040 – $34,860|
|Solicitors fees||600 – 1,200|
|Building & pest inspection||440 - 660|
|Loan application fees||500 – 1,000|
|Mortgage Insurance (LMI)||0 – 12,000|
|House Insurance (12 months)||500 – 1,000|
|Stamp duty||10,000 – 20,000|
- Most contracts settle within 30 days, but may take longer
- Settlement transfers the title from one owner to another
- Your solicitor arranges everything for settlement; you don’t need to attend
- On the day of settlement you get the keys to your new home
Stamp duty is paid to the state government on the purchase of real estate. Queensland has the lowest stamp duty rate of any Australian state or territory. In addition, owner occupiers in Queensland pay a lower rate of stamp duty than investors.Stamp Duty When Buying Real Estate in Queensland
|Purchase Price||Owner Occupier||Investment|