When Buying (Real Property)
YOU Need to...
When Selling (Real Property)
YOU Need to...
YOU Need to...
Below are some of the things buyer might consider before engaging with a contract to Purchase a Property (see if it can be applied in your purchase):
Outside the Property:
Inside the Property:
1. Not Shop around for the best loan. There are more than 40 lenders in Australia and interest can vary by any up to 2%. Now, think for a minute, let’s say that the loan was $350,000. That is $7,000 year! As there are so many lenders, how do you find them? Talk to an experienced mortgage broker who has at least 5 years of experience.
2. Holding deposit. You will quickly know this term because the salesman will drum it into you. The truth is it has no meaning, as it is a fictitious term invented by the salesman. It has no real meaning. It has no legal basis.
3. Incompetent and slow lawyer. Make sure you get a recommendation and look for the one that deal only with property matters. Do not get the one that specialises in going to court because they will spend most of their time in court and not on your matter.
4. Inclusions. Make sure on the sales contract you also tick things that will come with the purchase eg. Curtains, dishwasher and Stove or you will be shocked at settlement time.
5. Not making sure the inclusions are working. Don’t be disappointed to find out during the final inspection that things like the dishwasher or the range hood are not working. There is nothing you can do as there are NO guarantees in the contract that it will be working.
6. Deposit. It is important that the 10% deposit has to arrive at the real estate agent before the agreed time or you will lose 10% of the purchase price (clause 2.5 and 9 of the contract).
7. If you do not have the funds at settlement you can lose more than 10% of the purchase price (clause 9 of the contract).
8. The meaning of pre-approval. The word pre means before like in Pre School. Therefore it means that your loan is not approved.
9. Lender’s Mortgage Insurance (LMI). This is an insurance that protects the bank and not you! Usually you will have to pay LMI if you borrow more than 80% of the purchase price.
10. Claiming Tax Deduction on Investment property. Your house and all the inclusions do depreciate over time. You are entitled to claim these depreciation but very few people know about it.
11. Title Insurance. Most people have not heard of it and therefore do not buy it. For a one off fee, title insurance protects the buyer from risks such as illegal building work, boundary defects and fraud & forgery.
What to know more? Why don’t you speak to our friendly staff?
What is a will?
A will is a legal document that is prepared when you are still alive. It set out how you wish to distribute your assets after you die.
Is it good to have a will?
Yes it is. So after you die, your wish can be carried out the way you wanted it.
What if you don’t have a will?
When you die without a will, it is known as you have died "intestate". This can be messy.
If you don’t have a will when you die, there could be a complication in distributing your assets. In some cases, your estate will goes to the government.
Things to note:
Where should you keep the will?
Most people keep the will in their bedroom where it can be easily found after their death. It's all up to you to do the same.
Can you use the will while you are still alive?
No. A will is only come into use after you have died. You cannot use it when you are still alive.
By Stephen Lu